Palatine investments is a private equity firm that focuses on lower middle market companies. With offices in California, Illinois, and New Jersey, they have over $1 billion in capital under management. Palatine makes control investments in established companies with revenues up to $100 million across a wide range of industries. As a key player in private equity investments, Palatine brings strategic insight and operational expertise to drive growth and value creation. This article will provide an overview of Palatine investments, including its investment strategy, sector focus, portfolio companies, and track record over the past 25+ years.
Investment Strategy and Approach of Palatine
Palatine investments targets companies with $3-10 million of EBITDA for control buyouts, recapitalizations, corporate carve-outs, and growth capital investments. They focus on established lower middle market businesses that have a sustainable competitive advantage. The ideal portfolio company has a strong management team in place that wants to partner with Palatine for growth. Palatine’s approach is to invest in companies where they can accelerate growth through add-on acquisitions, geographic expansion, new product development, sales and marketing initiatives, and improvements to operations. They take a hands-on approach to creating value but do not replace existing management teams.
Sector Focus and Current Portfolio Companies
Palatine investments has experience across a diverse range of sectors including business services, healthcare, consumer products, and specialty manufacturing/distribution. Some of their current portfolio companies include Graham Medical, Raydiance, Leerink Partners, Magid Glove, and Eden Foods. Graham Medical provides medical devices and equipment for airway management. Raydiance develops ultrafast laser technology with applications in materials processing. Leerink Partners is an investment bank focused on the healthcare industry. Magid Glove manufactures protective gloves and clothing. Eden Foods produces organic soy milk, beans, and other natural food products.
Track Record and Exits
Over the past 25+ years, Palatine investments has completed over 100 transactions. They have successfully executed add-on acquisitions to build market leaders and exited companies at significant multiples through strategic sales and recapitalizations. Some notable exits have included Graham Medical which was sold to Owens & Minor, Raydiance which was sold to Coherent, C&D Technologies which completed an IPO led by Goldman Sachs, and Leerink Swan which merged with Partners to form Leerink Partners. Palatine has consistently generated top quartile returns for its limited partners over multiple fund vintages.
Palatine investments is a leading private equity firm focused on the lower middle market with over $1 billion under management. They target established companies across diverse sectors and take a hands-on approach to accelerate growth. With a successful 25+ year track record of building market leaders and exiting at significant multiples, Palatine continues to generate top returns for its limited partners.