American Capital Management Group - Strategy
AMCAP’s investment strategy is disciplined and opportunistic, as we pursue compelling investment opportunities that are not targeted by other traditional investors. Generally, we target US-based public companies with strong operational fundamentals, growth potential and a defined market niche. Our target companies are typically in industry sectors with “high barriers to entry” that demonstrate favorable dynamics necessary for sustainable earnings growth and down cycle resilience. Each target company must demonstrate a compelling potential to improve margins and increase shareholder value.
AMCAP performs rigorous research and analysis of target companies to define the value creation strategy through action plans for management and financing. AMCAP then implements its stock and control acquisition strategy. Upon obtaining a footing to exert influence over management decisions, through a combination of stock ownership and call options to acquire additional stock, AMCAP immediately implements its rigorous sector expertise, investment strategy, strategic business plan, capital structure, and equity incentives to ensure achievement of defined goals and management performance. AMCAP works closely with the management team to ensure that well grounded operating decisions and milestones are properly defined and achieved. AMCAP excels in special situations that require creativity and analytical rigor to unlock the full potential of an opportunity.
Our target company enterprise values range from $20 million to $500 million in market capitalization. Typically this translates into an equity stake of $4 million to $60 million US Dollars.
As activist investors and asset managers, we work with senior management to make well reasoned strategic and tactical decisions, regardless of complexity and difficulty, on behalf of our investor partners. During our continuing relationship with our portfolio companies we provide to senior management our insight, experience, skills and external resources to ensure the company’s competitive strengths and well grounded operating decisions are executed to ensure strong and stable long term success.