Advisory Services

Our value proposition is to assist managers of venture capital and private equity funds in structuring ad-hoc transactions in order to address a specific situation, or to take advantage of market dislocations. We have a tailor-made problem solving approach, and each of the transactions that we have completed were unique. For the purposes of greater clarity, we have classified our proprietary transactions into groups and coined a name for them. In reality, each new transaction is a variation of these models, or could be a new model

 

Synthetic Carried™

Pain Point:	The GP is out of carried interest on a particular fund.
Solution:	Through a structured secondary transaction, a new carried interest mechanism is replicated, resetting the high water mark on the carried at or below current NAV.

 

 

 

EncoreFund™

Pain Point:	Fully invested fund, getting close to its term, or within extension period, where assets need more time to harvest, and/or more capital to provide the kind of return that is expected from the asset class..
Solution:	Restructure all or parts of the assets of a vintage fund into a new vehicle. The process has the following benefits: - Protects GP's most valuable asset — its track record; - Provides a new stream of management fees; - Resets the high water mark on the carried interest; - Provides additional capital for follow-on investments, - Provides additional time to exit portfolio companies.

 

 

 

 

 

 

SideFund™

Pain Point:	A fund needs liquidity, to return cash to LPs, restructure debt, support portfolio companies or for any other reason .
Solution:	The Fund sells a strip of its assets to a SideFund, which will continue to be managed by the same GP, through a structured process, managing conflicts of interest and protecting LPs' value. The proceeds of the sale may be distributed to LPs, or recycled by the selling fund into follow-on investments or other uses. .

 

 

 

 

 

Preferred Annex Fund™

Pain Point:	A fund needs follow-on capital to support portfolio companies. Lack of follow on will result in dilution or loss of the investments.
Solution:	The Preferred Annex Fund is a fund that provides the follow on investments needed by the main fund. In return, the Preferred Annex Fund will receive a preferred distribution on liquidity events of both funds. The preferred distribution resembles liquidation preferences that VCs apply when investing in new rounds. A Preferred Annex Fund brings in new capital, but dilutes the value of existing LPs.

 

 

 

 

 

Secondary Direct Transactions: is the sale of a portfolio of typically minority direct investments in privately held companies. Sellers may include banks and financial institutions, corporations, corporate venture funds, venture capital funds, angel investors or founders seeking liquidity. Secondary LP Positions: is the most common form of a private equity secondary transaction, in which a portfolio of interests in a number of venture capital and private equity funds are transferred from one investor to another.