Midas High Level Execution Strategy
- Very late stage, Pre-IPO or Pre-liquidity event investments that mature in 1 – 2 years (series E/F rounds)
- Primarily preferred, convertible, common and hybrid investments
- Target no more than 10% of fund invested in one company…preferably 5%.
Midas Is In Contact With Or Monitors 20-50 Funds And Investment Banks Per Week In Order To Identify Imminent Investment Opportunities With Its Targets
- Some of our clients are the world’s leading investment banks and firms
- We currently co-evaluate transactions daily with some of the world’s leading investors
Once We Identify An Imminent Opportunity We Quickly Apply Our Screen And Perform Further Due Diligence
- Core criteria screen – High margins, global growth, millions of customers, limited competition
- Due diligence – Financial, accounting, regulatory, business and management diligence. Management should own a meaningful stake
An Opportunity Investment Summary Is Prepared By A Principal And Reviewed By Our Investment Committee
- Business opportunity and term sheet or indicative summary is prepared or executed
- Investment committee representatives review business opportunity and terms
- Simple majority required to make a decision
A Midas Execution Team, Executes The Investment
- Final diligence
- Investment structure finalization
- Investment structure, board positions, shareholder class rights, exit rights etc.
- Legal document review and definitive agreement execution
Midas Monitors Investments
- Monthly unaudited and annually audited financials
- Meetings with executives to discuss performance, strategy, opportunities and risks
- While our approach is long term in nature this lets us respond quickly and appropriately to business shifts
- We suggest transactions or other opportunities that add significant value to the business
Exit
- Midas helps drive overall exit
- While most of our targets usually have well thought out exit plans we can usually add value by influencing exit strategy in an unbiased fashion that solely maximizes shareholder value
MidasLP Execution Value Chain
