Once an attractive industry is identified, Gibraltar Consolidated applies stringent investment criteria to select a well-managed, mid-sized acquisition candidate to serve as a platform for growth in the target industry.

Gibraltar Consolidated’s experienced team then works with management and carefully selected external specialists to provide the acquired company with the professional and capital resources it needs to rise to the next level. Each acquisition is structured and subsequently managed to maximize long-term value. While all transactions are prudently leveraged to enhance returns, investments with higher volatility are capitalized with greater equity to ensure adequate funding for ongoing growth.

With this approach, Gibraltar Consolidated has been able to generate outstanding returns and create attractive liquidity events. Gibraltar Consolidated invests in established Canadian businesses, typically in the manufacturing, and service sectors. We also invest in:

THE IDEAL COMPANIES THAT CAN BECOME A VALUABLE ASSET IN OUR EQUITY PORTFOLIO:

• natural resources, mining & energy companies;
• technology-based businesses;
• consumer products/services;
• software companies specializing in military applications;
• real estate development ventures;

MINIMUM INVESTMENT CONDITIONS:

• fragmented industry structure conducive to future add-on acquisitions or merger opportunities;
• barriers to entry that mitigate competition from new players;
• a minimum diversified revenue base of $10 per annum;
• operating history of at least 3 years;
• either currently profitable or realistically within 12 months of achieving profitability;
• a diverse customer base;
• proven product or service;

Strong Management
We evaluate the experience, commitment and ability of the management team to ensure they are the right team with which to partner or acquire.

Co-Investment
We like to work with co-investors to mitigate risk and create a greater access to capital. We also view the management team as co-investors.

Proven Performance
We seek out companies with an established customer base, who offer a product or service with a clear, recognizable value proposition or point of differentiation. The reality or potential of both industry leadership and high gross margin are a key element to our assessment of the opportunity.

Liquidity
We enter into these partnerships with an exit strategy of 5 -8 years in place.