Integrated Partners is the private equity arm of IAM. Founded in 2000, Integrated Partners focuses on the Canadian Mid-Market, providing capital, strategic planning, management advice and financial expertise to unlock value in Canadian businesses. The emphasis is on making good businesses better. One of Canada's most experienced private equity teams, the senior partners have been responsible for the investment of over $2 billion in private equity capital since 1989.
Investment Philosophy
Integrated Partners seeks to form true partnerships with portfolio companies. We become a trusted advisor and a collaborator. We always take Board seats and frequently recruit independent directors to bring additional industry-specific expertise.
While our returns are not dependent upon financial engineering, as our companies grow and need additional capital, we have the knowledge and experience to plan, develop and facilitate creative financing solutions.
Our focus on growth and expansion means that our portfolio companies frequently make acquisitions as part of their business plan. We help find acquisition and joint venture candidates, assist in evaluation and due diligence, participate in negotiations, structure transactions, and provide advice on integration.
The Mid-Market Sector
The Mid-Market sector in which Integrated Partners operates represents the largest opportunity set in Canada, with the most attractive risk/return potential. Defining the Mid-Market as companies with fewer than the 100 employees, there are 1 million businesses in this sector.
While there is great opportunity, there is little competition. Large Canadian private equity investors and international private equity firms focus on larger transactions and have no interest in this sector.
By virtue of their size, Mid-Market companies have greater room for growth, leading to superior returns. Often, they are owned and managed by self-made entrepreneurs who are driven to succeed.
Investment Criteria
Integrated Partners seeks out companies with the following characteristics:
- Less than 100 employees
- Revenues $10 to $20 million
- EBITDA $1.5 to $3 million
- Enterprise value $10 to $30 million
- Skilled, experienced management team
- Proprietary product or process
- Sustainable competitive advantage
- A defined, defensible market niche
- Growth acceleration opportunities
- Attractive/growing margins
Competitive Advantage
Depth and Experience
The partners have a long history of success in private equity investing across many sectors and market cycles.
High Quality Deal Flow
Integrated Partners enjoys a steady flow of high quality potential transactions. The extended time in market and superior track record of the partners attracts businesses seeking to grow with a strong partner. In addition, the other investment management firms in the IAM group provide a unique source of pre-qualified potential transactions.
Advisory Network
Integrated Partners has an extensive network of former CEOs, senior executives and directors. They not only refer potential deals, they provide a valuable source of industry and company expertise to assist in evaluating opportunities and conducting due diligence.
Patience
Integrated Partners is a patient, disciplined investor. Our investment horizon is typically 3 to 7 years. The focus is on long-term value creation, not short term incremental gains and quick exits.
Value Creation
All of the partners have a long history of creating real value. By forging genuine business partnerships, we have been able to apply our capital and expertise to help talented entrepreneurs significantly expand their businesses. We know what works and how to apply it.
