Westbury Partners :: Private equity for mid to late stage financings.

Westbury’s disciplined investment process revolves around high quality management teams. We actively support management by applying our diverse backgrounds, extensive investment and structuring expertise, and our collective corporate advisory experience to address the unique needs of our investee companies. In partnership with management, we strive to build enduring, successful companies while providing superior returns for our investors.

At Westbury, we adhere to an investment strategy designed for the efficient and thorough evaluation of investment opportunities. Specifically, in order to merit consideration, potential investee companies must demonstrate a preponderance of the following characteristics:

A True Sense of Partnership: In all of our investments, our objective is to add significant value to our portfolio companies. We work closely with management teams without compromising their control over day-to-day operations. Where appropriate, we will take an active Board role, which may range from Chairman to formal observer status. We avail all of our resources for the benefit of our portfolio companies, while providing active support in creating long-term value for our limited partners.

A Focus on Later Stage Opportunities: Westbury’s primary investment focus is on companies seeking later-stage debt and equity financings. Companies fitting our profile have demonstrated market demand for their products or services and are generating sufficient cash flow to manage a responsible level of debt service. A detailed and credible trajectory articulating the expansion challenges and opportunities of the company’s revenue base and margin components is also critical to garnering our support. We may also invest in earlier stage companies, given a compelling proprietary technology or market advantage.

Investment Profile: Westbury has an established position within the middle-market as a unique provider of responsibly positioned mezzanine debt and preferred equity securities. While the mezzanine debentures carry with them a current pay feature as well as defined principal amortization schedules, overall, Westbury’s securities are structured to foster continued growth leading to the creation of long-term enterprise value. We focus on aligning the interests of our limited partners, co-investors and management teams with the specific growth objectives and capital needs of the investee company.

Reporting: In all cases, we require access to our investee company management teams and the timely delivery of detailed financial performance reports – on both a historical and prospective basis. Westbury will work closely with management in the development of meaningful financial and operating models which can then be used to gauge progress and serve as a tool in determining modifications to the overall business plan.

Target Industries: Westbury invests in a variety of industries, with particular emphasis on the following sectors:

We leverage our collective experience and network of contacts within these industries to partner with management teams in the development of industry-leading enterprises.

In reviewing potential investment opportunities, Westbury follows a streamlined and responsive process which generally includes the following steps:

Initial Review: All business plans are reviewed promptly. Upon receipt of a proposal, we quickly ascertain whether the proposed opportunity is fundamentally consistent with our investment strategy. Offerings not meeting our investment parameters are respectfully declined via e-mail or telephone.

Preliminary Due Diligence: The next step generally entails a scheduled call with management to discuss basic issues regarding the opportunity to determine if a meeting with the company is warranted. If so, we meet directly with management and contact the existing investor group to develop a thorough understanding of the business and the transaction. Additionally, we will conduct independent research on the company, its market and competition.

Submit Term Sheet or Indicate Contemplated Participation: We are comfortable serving as lead investor or participant. In either scenario, we will only invest with other establish, high-quality investment firms.

In transactions where we serve as lead investor, we will submit a detailed term sheet outlining the basis on which we would proceed. In other situations, we indicate our intent to participate on the established terms. In either instance, our commitment is subject to satisfactory completion of our detailed due diligence process.

Confirmatory Due Diligence: At this stage, we intensify our analysis of the company, its market, competitors and financial model.

Westbury's due diligence process includes (i) subsequent meetings with all key members of the management team; (ii) extensive inquiries with past and present customers, vendors, competitors, and industry specialists; and (iii) detailed analysis of the financial projections, as well as the underlying assumptions. In select situations, we will engage independent consultants to assist in the evaluation of specific issues concerning the company or its industry. In transactions where Westbury is serving as a participant or co-investor, we will generally partner with the lead investor on due diligence in an effort to expedite the process to close.

Throughout our due diligence process, we carefully assess the most relevant timing, means and scope of prospective liquidity events.

Finalizing Transaction Terms: Concurrent with the completion of our due diligence process, Westbury finalizes the structure of the financing and resolves all outstanding terms and issues. Westbury places a high priority on ensuring there is appropriate alignment of incentives and interests throughout the capital structure.

Definitive Agreements and Closing: In transactions where we serve as lead investor, Westbury's counsel prepares and reviews definitive agreements to be executed by all parties related to the investment. In all instances, we thoroughly review all definitive documentation.

Timing: From initial due diligence through funding, Westbury adheres to an expeditious due diligence and closing schedule. Throughout, we remain sensitive to the impact this process may have on the company's management team and operations.

Remain Actively Involved: Following the close, as partners with the investee company, Westbury will strive to provide resources and guidance to contribute to its success. Typically, Westbury structures its investments to allow for further participation via subsequent financings.