We typically look to take a majority or large minority stake , providing between £2m-10m of funding from us and our funding partners
We encourage existing shareholders participate in the shareholder growth we create together
We are backers of incumbent management – we want you to run the business day to day
At Rex Capital we have experience of working with brand partners from a side range of sub sectors of the consumer market. Our skill is in accelerating online growth which can apply as easily to a health and beauty brand as a garden products brand. Markets where we have particularly deep expertise are:
1.
We work with you to understand your business model and current digital strategy to determine if there is value that Rex Capital can bring through investment.
2. We want to understand the shareholders reasons for exit and their aspirations to check they align with our investment criteria.
3.
We want to understand the management team structure to ensure there is an ambitious management team with a vision to grow the business and create something exciting and successful in the future.
4. If these are all positive then we ask for some initial commercial and financial information (including forecasts) to assess the investment opportunity and structure a proposal for the shareholders.
5.
If we can agree a deal we will undertake more detailed business planning with you, undertake our due diligence and progress the legals to completion – typically the process takes c12 weeks from start to finish.
Whilst we can be flexible the most likely transaction structure is via a Newco SPV, funded by a combination of Rex Brown equity and third party funding together will a rollover of shareholder equity (in particular where the shareholders and management are one and the same). We may also look for management to invest and participate in the equity.
A service contract is put in place covering the services we and the target company agree are required from the Rex Brown Group and the business starts its transformation into a digitally focused consumer branded business.