Accelerate your business into greatness
Our private equity division identifies businesses with potential for sustainable growth, across all sectors of the economy and partners with management in fully developing the business to create shareholder wealth for all.
“We partner with entrepreneurs who are positioned to produce consistent best in class performance”
We partner with small to medium size businesses operating in South Africa and outside its borders which can demonstrate deep experience in their chosen sector, a value oriented approach to investing, and a clear focus on operational improvements as opposed to relying only on cost cutting or leverage to drive performance.
We aim to identify trends ahead of the broader market and we seek investment opportunities which will allow us to capitalise on these future market developments.
We invest in all sectors apart from core mining and agriculture - we do however invest in mining services and companies servicing the agricultural sector.
We have two private equity funds where we house our investments:
Qualirod High Impact Property Fund - all our property related investments focussing on affordable residential units, student accommodation , rural shopping centres and commercial buildings.
Qualirod High Impact Investments- all our non-property related private equity investments where we co-invest with other funders /investors and business owners. We run a robust due diligence process, and believe that our deep networks and broad experience are key to providing crucial insights and understanding of people, businesses and the markets in which we operate.
Qualirod Capital employs a unique approach to the SME market. We can invest with local funders or on our own, providing flexible and creative solutions for capital needs including equity, mezzanine, senior debt or equity co-investments or secondary investments in order to offer our stakeholders superior access to this attractive segment of our economy.
With experience of working with a large number of small and medium businesses since 1995 we understand the challenges they typically face in developing the next stage. We have a long-term record of realising investments for high multiples of cost - partly by maximising profitability, but, crucially, by also working with our management teams to present a clear growth plan to potential buyers and remaining flexible on when we exit.
- • Defensibility- through high barriers to entry, significant market share, long term customer relationships and unique resources.
- • Regulation and licensing- in sectors with a stable and positive regulatory environment.
- • Opportunity- for acquisitions, disposals, new market entry, new product development and operational optimisation.
- • Low gearing and meaningful growth potential- our target companies have meaningful growth potential, low gearing, sustainable differentiation or value proposition and an EBITDA of at least R10million.
- • Co-ownership - we work with management teams as co-owners to develop a transformational business plan. Transformation means we want to improve grow and strengthen businesses with management - we never buy more than 70% of any business because first and foremost we buy into the management team.
“It’s clear to me when you do private equity well, you’re making companies more efficient and helping them grow and become more profitable . That success means that parties benefit ”
