Private Equity Strategy
The Avenue Private Equity Strategy seeks to generate current income and capital appreciation by investing in situations where it can provide capital solutions to businesses in various industries that are headquartered in or principally operating in Europe and the U.S.
The Avenue Private Equity Strategy generally focuses on:
- Companies that are undergoing transition due to a change-of-control transaction, refinancing or restructuring
- Companies that are having trouble accessing the capital markets
- Companies that are undervalued because of discrete extraordinary events
Avenue’s experienced investment professionals seek “good companies with bad balance sheets”— firms with sustainable businesses and positive cash flow. The investment team conducts extensive research and analysis using Avenue’s top-down/bottom-up approach to find opportunities and will typically seek to make operational control investments in underperforming businesses where a control-oriented investor can drive improvements to unlock substantial value. As a result of Avenue’s competence in fixed income instruments, the Avenue Private Equity team has the flexibility to build positions through debt securities.
The strategy generally targets:
- Common equity
- Preferred stock
- Payment-in-kind (PIK) notes
- Mezzanine debt
- Second lien debt
- Senior debt
Senior Management Team
The Avenue Private Equity Strategy is managed by a team of senior investment professionals who have spent virtually their entire careers in the distressed debt and private equity markets. In addition, numerous investment professionals support the senior investment team. The senior management team includes: