FRIEND SKOLER & CO. is a private equity firm committed to generating superior returns by investing in leading companies in the smaller end of the middle market.
FSC's approach has resulted in a proven track record of success with over $600 million of value created in FSC portfolio companies.
Committed to Growth
Our primary focus is to invest in high quality middle market businesses with attractive opportunities for growth organically or through add-on acquisitions. Sources of organic growth can include favorable demographics and environmental trends, unique value propositions, superior products or services, expansion into new sales or distribution channels, and product line or brand extensions.
We have a proven track record over 30+ years of achieving superior returns for our investors and helping our management partners grow their enterprises. Our experience makes us uniquely qualified to assist our management teams when they need support in strategic or operational matters, including add-on acquisitions, incentive compensation programs, executive recruitment, financial reporting, product development, branding, distribution and sourcing.
We Partner with Management
We consider management to be our partners in the fullest sense of the word. We seek to align the interests of our portfolio company management teams with the interests of the investors by ensuring that management has a meaningful ownership stake. We encourage management to purchase equity in the company and also reward them with stock option plans and well thought out incentive bonus programs.
Long Term Value Creation
We are patient investors focused on the long term creation of shareholder value. We work closely with management to formulate strategies focused on long term success. We do not let short term challenges cloud our view of the longer term opportunities for a business.
Flexible Approach to Transactions
We have a flexible approach to structuring our transactions to meet the unique requirements of the company's shareholders. Our capital can be used for a recapitalization, growth or to finance an acquisition. We make control and minority investments.
Only the Lower Middle Market
We seek to acquire or invest in high quality, established and growing businesses in the smaller end of the middle market, typically having valuations between $10 million and $100 million. Such companies will typically have annual revenues of at least $10 million and historical EBIT of at least $1 million. Our target investment size is between $3 million and $20 million per transaction, with our principals' capital representing a material portion of our total investment.