KT Capital’s philosophy is to invest in operating companies that can take advantage of our ability to add value to a business. Our experience in the marketplace and our willingness to listen to management allows us to be better able to recognize the inherent value of a company. Our philosophy differentiates us from many large private equity firms and allows us to structure transactions in ways that often result in more attractive valuations on a business enterprise. This philosophy also allows us to consider more challenging investment opportunities, such as underperforming businesses or businesses facing strategic or operational challenges or complex structural issues.
We recognize that a mature, qualified management team is critical to the success of our acquisitions. We believe in providing management teams with considerable incentives, including the opportunity to significantly participate in equity ownership.
We believe that the motivations of an equity partner must be in line with those of the management team. With this in mind, KT Capital maintains a close, collaborative relationship with its operating companies. We work with our management teams and serve as an experienced resource, providing broad-based strategic and consultative services with a focus on developing and implementing specific operating improvements designed to increase the value of the company.
Additionally, we also believe in a high level of autonomy for the management team. We do not become involved in the day-to-day business operations of our partner-companies. Instead, we work closely with management to set strategic goals and priorities and assist in making the key business decisions facing the company, which we believe are the drivers to generate significant long-term incremental value.