Hyde Park Holdings LLC
  OVERVIEW            ABOUT US            STRATEGY            PORTFOLIO            CASE STUDIES            TEAM            FAQ            CONTACT

 

 
FAQ

The following are frequently asked questions about our investment strategy and perspective and our approach:

Why partner with HPH?
HPH invests the capital of our principals. That means we care dearly about our management teams and our investments. We are focused on the long-term success of our businesses and have no predetermined exit parameters when we make an investment. We are experienced investors with decades of collective experience and are able to add value through our capital invested, our strategic perspectives and our deep knowledge of our core investment sectors.

What is HPH’s investment strategy?
We are long-term investors who work closely with management and seek to create value through investing in attractive businesses with talented management teams, defensible business models and strong customer relationships. We develop comprehensive strategic plans, make growth capital investments, implement operational improvements to enhance profitability and fund accretive add-on acquisitions. We focus on the long-term success of our businesses and we are not focused on quick turnarounds or exits like a private equity firm might be. The goal for each of our businesses is growth, enhanced market leadership and a significant increase in the strategic value of the business.

What are HPH’s investment criteria?
HPH seeks equity investments in companies with $2-15 million of EBITDA, and we selectively pursue smaller or larger platform investments. We routinely evaluate smaller strategic add-on acquisitions for our existing portfolio companies.

In what sectors or industries does HPH typically invest?
We have invested in many different industries. Our target sectors include: warehousing, third-party logistics (3PL), sub-assembly, packaging, bottling, infrastructure, value-added light manufacturing and production, commercial real estate and self-storage facilities.

What characteristics does HPH seek in an investment?
Hyde Park’s disciplined investment strategy is focused on investing in companies and assets with the following characteristics:

Experienced and motivated management
High barriers to entry
Predictable and sustainable free cash flows
Bankable assets such as accounts receivable, inventory, PP&E and real estate

What is HPH’s preferred investment holding period and exit strategy?
HPH prefers to hold investments for an indefinite time frame. The capital that we invest is our own and we have no pre-determined exit strategy when we make an investment.

What information will HPH need to evaluate an investment?
A concise overview of your business will be sufficient for us to give you initial and prompt feedback. Some of the information that will be helpful includes:

An overview of your business, its products, its customers, the markets it serves and its competitors
A description of your business and investment strategy
An overview of your management team and their backgrounds
Financial statements (income statement, cash flows and balance sheet) for the prior five years and current year to date
Financial projections for your business for the next three years
Historical and projected capex spending

What is the source of HPH’s capital?
HPH invests the personal capital of its principals. We “eat our own cooking.” This gives us the flexibility to be focused on long term investments without the need for a short-term exit strategy.

Does HPH need to be the sole investor or will it partner with a co-investor?
HPH does not need to be the sole investor in its investments but we do prefer to be the controlling investor in a business.

Does HPH pay referral fees?
Yes. HPH is always seeking new, attractive investment opportunities. If a transaction is referred to us, we are happy to pay market-based referral fees at closing on a transaction that you have referred to us.

Will HPH keep my company’s information confidential?
Most definitely. To begin with we are happy to sign a non-disclosure agreement. Beyond that, we believe that business should be conducted with integrity. We recognize that the confidentiality of your information is important to you, and we respect this desire both legally and ethically.

How long does it take for HPH to make an investment decision?
We are able to respond promptly. The capital that we invest is our own and we are a small, cohesive group. We will do thorough and prompt due diligence and are focused on closing an investment rapidly.

Any other questions?
Feel free to call us at any time at 212-644-3450.






COPYRIGHT © 2019 HYDE PARK HOLDINGS LLC
SITE MAP            TERMS OF USE            PRIVACY POLICY           BROADSPACE.COM