Ropart Asset Management Funds

The Ropart Asset Management Funds

Direct investing in small to midsize companies

The Ropart Asset Management Funds (“RAM”) is a private equity firm that invests directly in small to midsize companies.

The firm pursues a flexible strategy, investing throughout the capital structure and in multiple industries, including Business Services, Healthcare Services, Consumer Products, Financial Services, and Software/Technology.

The current portfolio is composed of platform/control investments, mezzanine lending, and growth capital investments. RAM also makes opportunistic investments in distressed or special situations (e.g., secondary market purchases of private equity fund LP interests).

RAM uses its proprietary network to source strategic alliances, M&A transactions, and raise additional capital. Post closing, Ropart works actively alongside management to help build long-term company value.

Furthermore, RAM uses its extensive relationships among senior executives and operating-level managers to provide business and technical expertise, management talent, and industry specific investment analysis to portfolio companies. RAM regularly relies on these executives to serve on our portfolio companies’ Boards of Directors.

Investment Criteria

Investment Size

  • RAM generally seeks to invest $3-15 million of equity in deals with transaction value ranges of $10-100 million, but has and will lead or participate in deals requiring as much as $35 million in equity with values up to $200 million.

Investment Characteristics

Platform/Control:

  • Between $10-150 million in sales
  • Competitive valuation multiples
  • Strong platform businesses with opportunity for value-added change at the time of investment, such as:
    • Geographic expansion (organically or through bolt-on acquisitions)
    • Product line extension
    • Management succession
  • Recurring revenue models
  • Management alignment through equity participation
  • Proprietary deals

Mezzanine:

  • Attractive leverage and coverage ratios
  • Strong product or market position
  • Profitable and predictable financial performance
  • Strong track record of operating management
  • Strong financial sponsor (equity holder)

Growth Capital:

  • Significant or rapidly growing market
  • Attractive competitive positioning in the industry
  • Scalable business model
  • Experienced operating management with relevant industry experience

Required Terms

Platform/control:

  • Controlling equity position (51% or more), either alone or with partner(s)
  • Ability to source value-added board members and management

Mezzanine:

  • Blend of current (cash) / future (PIK, warrants) income streams
  • A term of five years or less

Growth capital:

  • At least one seat on the Board of Directors
  • A minimum of one other value added co-investor

Investment Characteristics

RAM seeks to create value for its portfolio companies by providing the following services and expertise:

  • Board-level guidance to help develop and execute corporate strategy for sustainable, profitable growth
  • Prior industry experience primarily in investment banking, business services, health care, consumer products, retail, direct marketing, and software
  • Best practice advice on operations
    • Internal controls
    • Financial reporting, operating metrics, and benchmarking
    • Recurring revenue models
    • Corporate governance
    • Human resources
    • Incentive programs
    • Outsourcing opportunities
    • Logistics and supply chain
  • Ongoing support for C-level staff development and in recruitment of executive personnel
  • Able to fill in interim management positions when needed
  • Corporate development assistance when necessary
    • Valuation
    • Analytical support for projects
    • Modeling
    • Negotiations
    • Appropriate capital structure/financing
    • Optimizing value for shareholders with an exit opportunity when the time is appropriate
  • Proprietary network of relationships to assist the firm
  • Sophisticated financial assistance, such as exploring funding options to support growth
    • Equity
    • Debt
  • Advice on risk management

Portfolio

Our Team

Investment Professionals

Todd A. Goergen
Managing Partner
tgoergen@ropart.com

Jonathan D. Shapiro, CFA, CPA
Partner
jshapiro@ropart.com
203-552-6659

Theodore W. Stofer
Principal
tstofer@ropart.com
203-552-6697

Fred M. DaSilva, CFP
Controller
fdasilva@ropart.com
203-552-6692

Advisors

Robert B. Goergen, Sr.
Advisor

Robert B. Goergen, Jr.
Advisor

Ryan J. Blair
Advisor

William R. Schlueter
Advisor

Outside Partners

Ranjit Bhonsle
Outside Partner

Louis Marx, Jr.
Outside Partner

Fred Warren
Outside Partner