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Private Capital Investing

The Goldman Sachs Private Capital Investing group is the firm’s investment platform dedicated to providing preferred equity and mezzanine capital to growth and middle market companies across the US, UK and Europe.

Approach

The Goldman Sachs Private Capital Investing group seeks to invest in growing businesses  working closely with strong and driven management teams.

Our focus on underwriting the intrinsic value of a business enables us to creatively invest in a broad spectrum of securities across the capital structure. We have significant flexibility in the kinds of investments we make. For example, we can act as a lead or minority investor and we can provide both equity and debt financing. We underwrite investments between $20 and $150 million and have the ability to support the growth of our portfolio companies with supplemental capital.

We create custom solutions for each private investment. Our highly skilled team of investing professionals allows us to develop unique perspectives and craft creative solutions that provide the optimal investment structures for our portfolio companies.

Investing with Goldman Sachs. Our long history of financing allows us to focus our underwriting on the underlying financial assets and understanding our client’s needs.

We invest capital with a long-term focus. This investing culture allows us to focus our time and effort on understanding our companies’ long-term growth plans.

We are committed to the middle market. Our focus is on middle market companies, delivering flexible, reliable capital while leveraging the firm-wide resources of Goldman Sachs.

We back talented management teams. We search for management teams with strong visions and expertise that are looking to continue to grow their companies.

We value relationships and building trust. We create strong, lasting relationships with owners and managers and build the trust of our portfolio companies by honoring commitments, responding to needs and communicating directly.

Advantages

We provide middle-market companies with flexible and tailored capital solutions. We use our expertise and network to add value to management as they pursue their vision. Our capabilities present prospective and existing clients with clear advantages.

Flexibility and Creativity. Our experienced investment teams have the ability to think outside traditional private equity parameters as we have no external investor constituency. We can structure creative securities as a lead, minority, or co-investor, and can provide both debt and equity financing. Our investment span ranges from mezzanine debt to convertible preferred. 

Custom-Tailored Solutions. Each company we work with is unique and requires a carefully constructed investment solution. We give each of the companies we invest in the opportunity to help create the structure that works best for them.

Value Enhancement. We work closely with management and other stakeholders. Our Portfolio Operations Team assists management in identifying and executing value enhancement initiatives. We limit involvement to initiatives expected to cause measurable improvements in value creation and measure success through value enhancement, not fees or use of captive services.

Goldman Sachs’s Resources. We provide management teams with access to the Goldman Sachs franchise, relationships, and strategic network to accelerate value creation. We make introductions to vendors and customers, add-on acquisition targets, and opportunities for exits. We help our companies create competitive advantage by having Goldman Sachs as an investor.

Deep Industry Knowledge. We work closely with experts across Goldman Sachs to gain deep insight and expertise across industry sectors. Our team’s strong experience investing in the industries in which we focus serves as an advantage to management teams. We can provide access to third-party resources and industry experts to provide insights into industry trends and competitive dynamics.

Speed and Certainty. Working with a single capital provider allows for the ability to move quickly to complete transactions. 

Investment Profile

We pursue investments with the following characteristics:

Transaction Type:

  • Growth equity

  • Acquisition capital

  • Recapitalizations

  • Pre-IPO financings

  • PIPE / Take-private

  • Selective restructurings

Investment Criteria

  • Investment Size: $20-150 million

  • Minimum Revenue: $20 million

  • Minimum EBITDA: $5 million

  • Strong management team

  • Recurring revenue business model with defensible barriers to entry

Investment Structure

  • Custom, flexible investment structures including:
     - Mezzanine Debt
     - Preferred Equity
     - Common Equity
     - Other Forms of Non-Control Capital

Investment Role

  • Lead investor

  • Minority stakes

  • Co-investments 

Target Industries

  • Business services

  • Healthcare services and technology

  • Software and technology-enabled services

  • Telecom and communications

  • Data, information, and marketing services

  • Transportation and logistics

  • Consumer services

  • Environmental Services

Contacts

New York Headquarters 
200 West Street
New York, New York 10282
+1 212 902 1000

London
Peterborough Court
133 Fleet Street
London, EC4A 2BB
+44 20 7774 1000

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