ABOUT

INVESTMENT STRATEGY

Bravo's focus is on companies that are well-positioned to benefit from the fast-growing U.S. Hispanic demographic and considers investments across a range of industries. Bravo's investment strategy is flexible and designed to address a company's growth potential and fill capital voids in complex situations, while focusing on disciplined value driven fundamentals.

Primarily, Bravo seeks to invest in companies benefiting from the favorable growth trends of the U.S. Hispanic population including population growth and consumer spending growth. Bravo works with companies with attractive business characteristics and that can benefit from the Hispanic growth. Bravo's principals have unique experience in working with companies addressing the Hispanic opportunity.

Bravo realizes that companies racing to meet the new business needs arising from the growth of the Hispanic market need additional capital and experienced partners that can provide assistance. Bravo investment professionals seek to satisfy this demand by understanding the Hispanic opportunity and complex corporate transactions. Transactions include growth financings, buyouts and recapitalizations, usually representing an equity investment of $5 million to $20 million in companies with yearly revenues of $5 million to $100 million. We execute larger transactions with the participation of co-investors and other business relationships. The Bravo Team has strong mergers and acquisitions experience to help portfolio companies with add-on acquisitions and also to assist in the sale by which we will ultimately exit our investment.

Why invest in the hispanic market?

The U.S. Hispanic market exhibits favorable characteristics for private equity investing. According to the U.S. Census Bureau, the Hispanic population exceeded 52 million as of July 1, 2011 which represents 16.7 percent of the total population of the United States ? that is 1 in 6 Americans! This makes U.S. Hispanics the second largest Hispanic population, second only to Mexico (112 million). The 52 million represents a 47 percent increase from the Hispanic population in 2000, which was 35.3 million. Sixty-five percent of Hispanics are Millenials, ages 22 to 35. Hispanics are projected to grow at a rate two times faster than the general population and exceed 132 million by 2050 which will constitute 30 percent of the nation?s population by that date. Hispanic consumer buying power is driven by its young population with an average age of 26 years compared to 37 years for non-Hispanics1. Hispanic buying power exceeded $1.2 trillion in 2012 and is expected to grow faster than African-American buying power (54 percent), Native American buying power (65 percent) and Asian-American buying power (89 percent). Bravo is uniquely positioned to capitalize on this distinct market.

 


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