Our Approach

Growthgate Capital follows a ‘buy and build’ strategy that seeks value creation by scaling-up operations of middle market companies and unlocking their true potential to become regional champions.

We, at Growthgate Capital, adopt a mid-term, value-accretive model that requires input beyond the injection of growth equity capital and mutual funds. The average holding period for harvesting the benefits of this ‘buy and build’ strategy is 5 to 7 years. Our involvement emphasizes operational efficiencies, best practices in business dealings and governance, financial discipline, and most crucially, non-organic growth via bolt-on acquisitions to reach a wider footprint in terms of market share, brand recognition and cash flow streams.

We partner with the best founders-managers in any given sector or industry. By leveraging our intellectual capital, transactional core competencies, and extensive regional network, we aim to maximize total shareholders’ value. We seek direct equity investments in companies with total EV of
$100 million to $200 million, and typically acquire between 25 percent and 50 percent of total equity.

Growthgate Capital principally acquires strategic minority stakes in companies that are managed by their original founders. In such manner, founders-managers remain in control of their businesses, while relying on Growthgate Capital for strategic advice, corporate improvements, and deal execution capacity. This gives entrepreneurs sufficient elbowroom for steering day-to-day operations, focusing on operational synergies, and unlocking inherent potential.

About Us