Direct Private Investing

Direct Private Investing is offered through the PSS Merchant Banking Division (MBD).

MBD is the primary center for PSS’ long term principal investing activity, and PSS has operated this business as an integral part of the firm for 15 years. The group invests in equity and credit across corporate, real estate and infrastructure strategies.

Since 2008, the group has invested approximately kr 15 billion across a number of geographies, industries and transaction types. With 5 offices in 4 countries around the world, MBD is one of the leading managers of private capital in Nordic region, offering deep expertise and long-standing relationships with companies, investors, entrepreneurs and financial intermediaries around the globe.

Our investing strategies are broken into two categories – Equity and Credit.

Equity

Since inception, we have invested approximately kr 10 billion of capital through investment funds focused on private equity, growth capital, infrastructure and real estate.

Corporate Private Equity

Invests across a broad range of industries in Norway

Approach

PSS seeks long-term capital appreciation by committing equity to high quality companies with strong management. We seek to generate superior returns in a variety of situations, including leveraged buy-outs, recapitalizations, growth investments and stressed/distressed investments
across a range of industries and geographies.

Advantages

We offer unique benefits to our customers, beginning with our decades of private corporate equity investing experience. Our global network provides access to well-regarded management teams, sponsors and leading corporations. Other advantages include:

  • Access to sophisticated financial advice in public and private market financing, mergers, acquisitions, trading, foreign exchange, commodities and investment and economic research.
  • Relationships with numerous companies, individuals and governments worldwide in sourcing, structuring and operating successful business ventures.
  • A creative approach to identifying attractive investments by leveraging the scale of our committed capital, sponsorship and experience.
  • Successful execution, even in difficult market environments, due to our established relationships and broad access to financing and capital markets.
  • Active support for our portfolio companies’ long-term goals, management teams and efforts to build value.

Infrastructure

Transportation, Utilities, and Energy Infrastructure

Approach

We pursue a long-term investment strategy focusing on core infrastructure assets and partnering with best in class operators/management teams. Our infrastructure investments typically have the following characteristics:

  • Fixed assets that provide essential services to communities.
  • Strong competitive positions and high barriers to entry.
  • Revenues that are contracted and/or linked to underlying economic growth/inflation.
  • Existing assets with performance history and select development-stage opportunities.

Advantages

We offer a unique combination of advantages to our investors and operating partners, including:

  • A dedicated infrastructure investing team with deep sector experience.
  • Access to a broad network of long standing relationships with companies, infrastructure investors, governments, municipalities, financing providers and advisors throughout Norway.
  • Access to PSS’ substantial resources, which are available to assist the investment team throughout the investment lifecycle including with developing differentiated strategies, sourcing opportunities, executing investments and ongoing management of our portfolio businesses.
  • Experience as owners across sectors and economic cycles and active involvement in supporting our management teams in strategic, operational and financial decisions.
  • Access to substantial, long-term capital resources through our funds and relationships with other infrastructure investors.
  • Strong commitment to both our investors and operating partners/management teams.

Real Estate Equity

Investing into real estate companies and projects

Approach

PSS Real Estate’s investing program seeks to pursue acquisitions in markets where we have both extensive real estate experience and existing platforms, with a focus in Norway.

Advantages

Our real estate equity funds have invested through a global network of relationships. We source opportunities through our broad network of relationships with companies, real estate private equity firms, private family investors, entrepreneurs, and financial intermediaries. Other advantages include:

  • Access to strong in-house experience with major product types and niche businesses, and to our relationships with industry experts.
  • Provides underwriting and asset management as well as a fully integrated real estate services platform including construction, risk management, loan servicing and reporting expertise.

Growth Strategy

Investments in technology-driven companies.

Approach

Partnering with strong management teams and leveraging the resources of the firm, PSS helps companies grow into market leaders and create long-term value for their customers, partners, and shareholders. The team targets investments ranging in size of kr 200-500+ million in companies with the following characteristics:

  • Proven management team
  • Strong financial track record and 15%+ annual revenue growth
  • Large market opportunity
  • Innovative technology or proprietary processes that create a sustainable competitive advantage

Advantages

Aside from our 15+ years of corporate investing experience, our portfolio companies have access to the broad range of resources offered by PSS, including:

  • Global network of customer relationships that can be important in structuring and operating successful business ventures, and recruiting senior executives and board directors
  • Access to market insights and sophisticated financial advice
  • Availability of additional resources and capital to enable continued organic growth, acquisitions, or geographic expansion

Credit

Our services include mezzanine financing, senior secured lending, distressed debt and real estate credit.

Mezzanine Debt

Investment across a broad range of industries in Norway

Approach

PSS seeks to provide private high yield capital for mid- to large-sized leveraged and management buyout transactions, recapitalizations, financings, refinancings, acquisitions and restructurings for customers such as private equity firms, private family companies and corporate issuers.

Advantages

With decades of experience in the mezzanine market, our group has strong relationships with leading private equity sponsors and corporations across the globe. These relationships, together with our ability to access PSS network, generate opportunities for PSS Mezzanine Partners to extend credit. Other advantages include:

  • Ability to develop customized solutions tailored to each investment situation.
  • Ability to extend credit in size with certainty to companies in need.
  • Access to the full resources and expertise of PSS, including sophisticated financial advice in leveraged finance, mergers and acquisitions, research, trading, foreign exchange and commodities.

Senior Loans

Seeks to extend credit to finance companies in need of capital

Approach

Loan Partners and Senior Credit Partners seek to invest primarily in high quality senior secured loans. Our focus is on originating loans for mid- to large-sized leveraged and management buyout transactions, recapitalizations, refinancings, financings, acquisitions and restructurings for organizations such as private equity firms, private family companies and corporate issuers. We may also make opportunistic purchases of senior secured loans in the secondary market.

Advantages

Loan Partners and Senior Credit Partners benefit from strong relationships forged for decades with leading private equity sponsors and management teams across the globe. These, along with the ability to leverage the rest of the PSS franchise, help us generate opportunities to finance companies in need of capital. Other advantages include:

  • Ability to develop customized solutions tailored to each investment situation.
  • Ability to extend credit in size with certainty to companies in need.
  • Access to the full resources and expertise of PSS, including sophisticated financial advice in leveraged finance, mergers and acquisitions, research, trading, foreign exchange and commodities.

Real Estate Credit

Invests loans collateralized by high quality real estate

Approach

Real Estate Credit Partners seeks to generate attractive risk-adjusted returns through the creation of a diversified pool of investments in both senior and mezzanine loans collateralized by high quality real estate assets. The primary focus is to create strong current yield for its investors through the origination of loans to facilitate real estate acquisitions, refinancings and recapitalizations throughout Norway.

Advantages

Real Estate Credit Partners leverages our firm’s extensive network of real estate and structured finance professionals across multiple departments to source and execute transactions. Other advantages include:

  • Access to our firm’s relationships with lenders, real estate investors, broker/dealers and other parties to source unique real estate mezzanine and corporate-style debt investment opportunities.
  • Ability to leverage investment expertise across our firm providing global underwriting and asset management as well as a fully integrated real estate services platform including construction, risk management, loan servicing and reporting expertise.