how executives work with private equity
TRANSCRIPT
Career Networking Strategies for Corporate Executives with
Private Equity Firms
John BovaDirectorMTN Capital Partners
• My Bio and Experiences with Executive Searches• My firm – MTN Capital• Options in an executive search• Why networking with private equity should be a priority for
senior executives• What is an executive deal thesis? “ Bring me a deal”• Executive Options within Private Equity • How you position (protect) yourself• Ways you can work with me
Presentation
• Director at MTN Capital Partners. • Business Development Leader: Originates deals in New
England, Eastern Canada, Mid Atlantic, Texas and Chicago.• Provides operational experience and special diligence projects
on potential investments.• 20+ year B2B Industrial Niche Manufacturing executive that
leads growth and strategy at companies under $100MM of revenue.
• Served global customer base with highly engineered products requiring complex technical and commercial analysis for superior results.
John Bova
PASSIVE PATHS TO ACTIVE OPPORTUNITY DEVELOPMENT PATHS• Answering postings from boards or company web sites• Executive Recruiter Relationships• On-Line Presence – LinkedIn, Twitter• On-Line and Executive Networking Groups• “Hyper-Networking”• Industry Focused Searches – Direct Approach to Companies• GO WHERE THE COMPANIES ARE - THROUGH THE OWNERS
“PRIVATE EQUITY”
Executive Search Options
• Industry experts help us evaluate every investment opportunity.• “C-level” executives from major corporations• Successful entrepreneurs
• Industry experts help us sourcing new acquisitions • Closing Fees (Finders Fees)• Board opportunity
– Board fees– Options
• Consulting Contracts• Co-investment Opportunity• Management opportunity (when appropriate)
MTN Capital PartnersCorporate Executive Network of Industry Experts
• Board of Directors Opportunity – Blow-Out Prevention Equipment for Oil and Gas Industry
• MTN is a New York private equity firm. We partner with C-level industry experts to evaluate each investment we consider. Pre-acquisition our industry experts help us with due diligence. Post-acquisition they typically join the board of directors and occasionally they join management.
• We are looking for an industry expert to help us evaluate the acquisition of a company that designs and manufactures blowout prevention equipment for the global oil and gas industry. The company is a recognized market leader in the conventional and top drive drill stem market niche. Sales are over $30 million.
• If interested in learning more, please email at [email protected]
Board of Director Opportunities
• Roll-up Opportunity
• We are looking for senior corporate executives who have a plan to execute an industry roll-up in the middle market.
• We are a private equity firm that partners with exceptional corporate executives to find, acquire and improve middle market companies located in North America. We are interested in healthy companies with EBITDA of at least $5 million, and underperforming companies with Revenues of at least $50 million. For more information on MTN including our acquisition criteria, please visit our website at www.mtncapital.com.
• If interested, please contact me at [email protected]• Please include a bio, resume or link to your LinkedIn profile.
Work with us Opportunity
• Concise description of an investment opportunity for PE that lays out an opportunity.
• It is your door opening document to create a two way relationship with a PE firm.
• Goal is to get a meeting and understand the mutual needs, negotiate possible economics and the possible working relationship.
Why is a deal thesis important?
• Your current and future network• Groups you are in, LinkedIn or in person• Previous companies• Supply Chain partners• Companies you have interviewed with• Trade Magazines and Trade Show Directories• Hoover Lists
Where do you find opportunities?
• Visionary C-level leader or direct report• Seeking to complete an acquisition and lead the
resulting company• Desires partnership with a financial sponsor• Has a clear sense of how to create value in the sector he
or she is targeting• Deep experience in industry of target company(ies)• Proactively seeking to identify deal opportunities which
he/she can bring to the financial sponsor
The Executive and The Deal
Size• Small• Mid Market ($50-$500MM Rev, Enterprise Value)• Large
Sector Specialty• Industrials/Manufacturing• Consumer• IT• Healthcare and Medical Device
How to Analyze a PE Firm for Fit
• Too few deals
• Proprietary deals
• Needs for execs to run companies
• Execs who have market knowledge and connections for roll ups are valuable
BOTH SIDES WANT A RELATIONSHIP
Trends and Market Conditions in PE
• Industry Expert
• Board Member
• C – Level Roles
• Operating Partner
Roles & Responsibilities in the PE Firm for Executives
• Killer LinkedIn Profile• Your value proposition to a PE firm or a
company must be concise and focused• Your deal thesis must demonstrate industry
knowledge and connected• Need to speak the language and get on the
circuit• NEED TO DEMONSTRATE HOMEWORK
How to Position Yourself
• NDA and Non Circumvent agreements• Do not give away too much initially• Know the industry or company you are
pushing AND know about their track record• Fee Agreement – Arrangement• Embed yourself as the solution – as a
management resource and linchpin to the deal…what you want – how to get it
How to PROTECT Yourself
• Send me your resume and BIO• LinkedIn connect with me• Follow me on twitter• Can help you to form a thesis and give you tips
on how to shop it and get the most from it• Always a sounding board…..
Next Steps
• Contact InformationMTN Capital Partners489 Fifth AveNew York, NY 10017
John A. Bova - Director203-945-9480Live in Fairfield [email protected] OR [email protected]
Questions ?