Alaris Equity Partners Income Trust (AD.UN)

Overview

Alaris Equity Partners Income Trust, based in Calgary, Canada, is a distinguished private equity firm founded in 2008. It specializes in a wide array of investment strategies, primarily targeting management buyouts, growth capital, and mature investments within the lower & middle market and later stage sectors. Distinguished for its aversion to investing in start-ups and turnaround projects, Alaris focuses its investments in a broad spectrum of industries, notably excluding those with a declining asset base like oil and gas resources or industries prone to obsolescence such as high-tech sectors. Its investment philosophy centers on partnering with companies pursuing partial liquidity, generational transfer, recapitalization, or growth, particularly those that are largely individual or family-controlled and wish to maintain control without the risks associated with high leverage.

Products and Services

• Management Buyouts and Growth Capital:
  

  Alaris provides funding for companies looking to facilitate a change in ownership or to spur growth without relinquishing control. This service caters to established businesses in need of a financial partner to fuel their next phase.

• Industry Consolidation and Mature Investments:
  

  Targeting companies in sectors that are ripe for consolidation or those that are in their mature stages but still have growth potential, Alaris offers strategic investment solutions tailored to the unique needs of these businesses.

• Alternative Financing Solutions:
  

  Offering a distinctive alternative financing model, Alaris enters into partnerships with a diversified group of private businesses in exchange for royalties or distributions. This model is designed to generate stable and predictable cash flows, aiming for consistent dividend payouts to shareholders.

• Non-Control Equity Investments:
  

  With a preference for minority and majority stakes without seeking control, Alaris invests in companies desiring to keep their management autonomy. These investments are made with the aim of achieving equity dividend distribution, affording businesses the leverage to grow without the pressure of relinquishing control.

• Geographic and Industry Focus:
  

  While Alaris is open to investing in a diverse range of industries, it maintains a specific exclusion policy towards sectors with declining asset bases or high obsolescence risk. Its primary geographic targets are Europe, North America, with a particular emphasis on Canada and the United States. The firm seeks to invest in industries known for their stability and minimal cyclical fluctuations.

• Investment Size and Criteria:
  

  Alaris’s investments range from $5 million to $100 million for companies with enterprise values of $10 million to $400 million and EBITDA between $5 million and $50 million, indicating a preference for well-established businesses with solid financials. Moreover, it also entertains smaller cap investments, exemplifying its flexibility in partnering with a wide array of businesses.