Investment philosophy
Hutton Collins invests using mezzanine, preferred and minority equity capital. This strategy provides our investors with a risk adjusted return profile that is underpinned by strong capital preservation characteristics.
Our capital allows our partners to achieve their goals without the limitations of secured debt financing or the cost associated with raising ordinary equity capital.
Our preferred capital approach provides our investors with a risk adjusted return profile that is underpinned by strong capital preservation characteristics. It also gives us enhanced flexibility over traditional debt and equity finance, allowing us to create bespoke solutions that are tailored to meet our partners' financing objectives. We are a long term investor, holding our investments in our own funds and creating investment structures that meet the needs of the business rather than being driven by the requirements of the syndication or secondary markets. This flexibility also means that we are able to adapt to complex financial structuring situations, where innovative and creative thinking are needed to address our partners' needs.
What we look for
The companies Hutton Collins invests in typically share some important characteristics. They are all profitable businesses with established and proven business models. They usually operate in growth markets with strong fundamentals and have defensive competitive positions. We look for companies led by managers with a first class track record of success. In many cases, members of the management team are material shareholders in their business, and often they are the majority shareholders.
We maintain a broad and entrepreneurial outlook, seeking investment opportunities across Western Europe and in all business sectors. Our investment team is particularly active in Italy, Spain and France and has deep expertise in a number of specific sectors including business services, leisure, healthcare, and financial services.
Our process
Hutton Collins adheres to a rigorous, multi-phase investment process. We use our industry networks to proactively develop proprietary investment opportunities. Our investment team works closely with the management teams and shareholders of each business to develop a deep understanding of the company and its potential. Thorough due diligence and industry analysis are the cornerstones of our investment process, allowing us to develop a tailored financial structure before concluding the investment in as timely a manner as possible. Our decision making lines are short, allowing us to move swiftly.
When appropriate, post investment we work in partnership with the senior executives of each company to support them in building stakeholder value. This often includes areas such as the ongoing development of a company's capital structure, identifying, executing and funding acquisitions and leveraging Hutton Collins's wide ranging strategic network. We always commit significant resources to supporting the companies we invest in, allowing executive management to draw on relevant expertise from across the Hutton Collins team.