We specialise in control buyouts of deep-value mid-sized businesses with enterprise values of US$25 – US$250 million. Such deep-value companies which are overlooked and undiscovered are most prevalent in the mid-sized business segment. Origination of these companies requires fundamental research and local knowledge as they vary significantly in size and characteristics across Asia.
Country Rotation Buyouts
Buyout opportunities in Asia rotate between countries. Our localised team of investment professionals in Southeast Asia and North Asia give us a regional footprint, allowing us to target the best buyouts. This infrastructure distinguishes us from other mid-sized private equity firms which tend to be “country locked-in”.
Pure Control Portfolio
We seek control without exceptions in our portfolio, allowing us to unlock value effectively as well as restructure when required. A pure control regime should outperform mid-sized growth capital private equity firms during downturns.
Proprietary Acquisition Research
We focus on proprietary acquisitions generated by our own research, relying less on auctions or “intermediated turned proprietary transactions”. We achieve this through our proprietary research and as well as research collaboration with a leading management consulting firm, reflecting Point Hope's unique commitment to innovative acquisition research internally and externally.
Minimum Variance Superior Returns
We target a narrow band of absolute returns of 25% per annum IRR and 3x MoIC with minimum volatility across market cycles. We do not believe in the singular pursuit of home runs which increases volatility and risk to the fund as a whole. We subscribe to a zero-dog-tolerance policy.
We use debt not only to enhance financial performance but to enforce debt discipline. As a result, we have evolved over the last 12 years to become a debt specialist in Asia with strong banking relationships for non-recourse financing of mid-sized businesses, providing us with a distinctive advantage.
Deep, Extensive Local Networks
We have partners located in Seoul, Hong Kong, Singapore and Kuala Lumpur who are well established in their respective business communities. These partners are suppported by a group of professionals based out of Singapore.