GPI is a leading developer of Management Driven Industry Consolidations ("MDIC"). An MDIC is a unique private equity investment opportunity that combines (i) a sound investment thesis in an attractive industry, (ii) an accomplished management team, (iii) ample private equity, (iv) a platform company and (v) add-on acquisitions.

Industry

GPI regularly analyzes business trends to identify attractive industries to consolidate. An attractive industry is (i) large, growing and profitable, (ii) typically going through a structural change that creates a strategic advantage for well-capitalized companies, and (iii) highly fragmented with a significant base of acquisition targets. Further, the industry must possess meaningful benefits to consolidation.

Management

The most important factor is partnering with the right management team. GPI funds executive searches to identify CEOs with the passion and vision to spearhead an MDIC strategy. The CEO typically has (i) a verifiable track record of running a sizable industry player, (ii) successfully acquired and integrated businesses, (iii) implemented profit enhancement strategies and (iv) strong industry relationships.

Private Equity

Our clients ("Sponsors") invest from $20 million to $200 million of equity to fund aggressive acquisition and internal growth strategies. When leveraged, the initial equity commitment can provide up to $500 million of purchasing power. Sponsors provide capital markets expertise, invaluable contacts, and experience in supporting management in executing aggressive growth strategies.

Platform and Add-on Acquisitions

GPI uses its core search skills to identify and acquire platform and add-on companies. A platform will have sufficient scale, strong management and proven systems to realize consolidation benefits. Add-on acquisitions bring a strategic benefit to and profit from being a part of the consolidating company.

Value Creation

GPI is the catalyst that brings all parties together to build a premier company. The CEO provides leadership, a proven plan, profit enhancement strategies and relationships. Sponsors fund acquisitions and internal growth initiatives. Platform and add-on companies enjoy synergies and reap consolidation benefits. When scale, growth and margin targets are met, the company is rewarded with valuation-multiple expansion.

A successful MDIC (i) allows consolidating entities to pay business owners premium prices for their companies, (ii) rewards management through equity participation and (iii) generates superior risk-adjusted returns to investors.