For the M&A Community

Valesco is focused on providing long term capital to select, growth-oriented lower middle market businesses.

We specialize in partnering with a company’s management team and utilizing our strategic, operational and financial resources to support the business’ growth initiatives.

For Management Teams & Independent Sponsors Seeking Funding

Valesco has a long and successful history of working with management teams and sponsors. We understand and appreciate the value that these groups bring to a transaction. We are a leader in providing capital for independent sponsored situations due to Valesco’s:

  • Experience with situations not “packaged” for sale
  • Ability to conduct due diligence fast and efficiently
  • Ability to provide equity, subordinated debt, or both
  • History of establishing meaningful ownership positions and economics for management team and sponsor sourced opportunities

For Investment Bankers

Valesco encourages opportunities from investment banks and business intermediaries. We develop meaningful and long-term relationships with investment bankers by:

  • Our flexible capital structure (control or non-control equity, subordinated debt)
  • One-stop-shop with proven ability to close
  • Respond to opportunities fast and efficiently
  • Timely indications of interest
  • Established team with a history of closing

Investment Criteria

While our interests span a broad range of industries, we are strictly dedicated to growing small and lower middle-market companies. Our preferred investments are businesses located in the United States that generally possess the following characteristics and satisfy the investment criteria below:

  1. Ownership
    Privately owned companies, preferably family and founder owned and operated

  2. Types of Investment
    At Valesco, our investments take a variety of forms, including majority, minority or debt in some instances.

  3. Sectors
    Manufacturing, value-added distribution and business services

  4. Economics
    $4 – $10 million of EBITDA with greater than 10% EBITDA margins

  5. Geography
    Headquartered in the United States

  6. Areas Avoided
    VC/Startup, Real Estate/Financial Services, Turnaround/Distressed

Types of Investments

  1. Majority Investment
    Unlike other investment companies, Valesco has access to all of the funds needed for the buyout, which can be structured with any combination of equity and debt.

  2. Minority Investment
    At Valesco, we believe in partnerships. Business owners don’t have to sell their whole business and give up control, but rather bring on a successful partner to help grow their business.

  3. Subordinated Debt
    Whether it’s buying a competitor or adding a new production plant, subordinated debt can be a cost-effective way to accomplish goals and foster growth/expansion.

Get In Touch

Have questions or want to learn more about Valesco? Get in touch with us by shooting us an email or giving us a call. We would love to connect!