Buyout Co-Investments
The Adams Street Buyout Co-Investment strategy involves creating a diversified pool of high-quality buyout and growth equity investments along the parameters described below.
| Adams Street Partners Co-Investment Parameters | |
|---|---|
| Target Investments: | Equity and equity-like investments made alongside leading leveraged buyout and growth equity private equity firms around the world |
| Co-Investment Size: | $10 to $30 million per deal |
| Operating Company Size: | Small, medium or mega deals |
| Industry/End Market: | Opportunistic and diversified |
| Geography: | North America, Europe and Asia |
Gaining access to high-quality deal flow and then exercising sound investment judgment are key objectives of the Adams Street Co-Investment strategy.
- Sources of co-investment opportunities
- The primary source of co-investment opportunities is buyout and growth equity funds in which Adams Street has previously invested. Deal flow from this universe is generally robust and natural given the firm's longstanding relationship with over 70 active buyout and growth equity investment firms in Adams Street's portfolio. The majority of the deals the Co-Investment team closes are alongside these general partners.
- The second source of co-investment opportunities comes from private equity firms that want to build a relationship with Adams Street Partners as a potential investor. As a large and consistent limited partner, Adams Street analyzes a large number of high-quality firms each year that represent an additional source of deal flow.
Our team also generates deal flow through an active direct sourcing effort performed by members of the Co-Investment team. Lenders, attorneys and management teams serve as examples of sources of deal flow from the team's marketing efforts.
The Adams Street Partners' Co-Investment team will carefully analyze the merits of each opportunity in which it is offered to invest. The team will evaluate the risk/return profile of each deal along with how such profile fits the overall portfolio. This analysis includes an evaluation of the overall investment thesis, management team's ability and motivation, deal valuation and structure, and lead sponsor expertise. In addition to leveraging off the diligence of the lead sponsor, Adams Street Partners will utilize its extensive resources and network when performing diligence on a co-investment opportunity. These resources include the Firm's vast network and contacts, along with the data accumulated by Adams Street Partners over decades related to specific company and general partner information.