Middle Market Focus.
We are “enterprise value” oriented and look for companies that have enterprises values between $50 and $500 million, whereby we seek to effect a “senior stock exchange listing event”. 3DOTS believe that the Healthcare, AI, Data and Software, and Technology-Enabled Business Services sectors in this middle market hold the greatest pool of businesses that meet our listing criteria and yet have significant upside for further growth and value creation.
Geography and Regional Scope
We seek to invest in global businesses with an emphasis on LatAm, Europe, and the Middle East.
We primarily focus on high-quality businesses with strong local or regional market positions that can be expanded nationally – or ‘brand champions’ – businesses with strong domestic market positions but with products and services that can be internationalized and where we can leverage resources in Central and South America, Europe and other parts of the world.
Flexible View
Where it makes financial sense, 3DOTS may invest alongside partners including entrepreneurs, family owners, management teams, financial sponsors, and corporates.
We are flexible about the situations that we look to advise in which include growth capital or replacement capital.
Selection Criteria
We look for high-quality companies led by talented management teams who care deeply about the businesses they run.
Specifically, we seek businesses which:
- Have an entrenched and sustainable competitive position.
- Have a track record of generating attractive returns on invested capital and free cash flow across multiple economic cycles.
- Benefit from positive structural market trends, providing high visibility on expected volume growth.
- Present multiple untapped levers for operational improvement or corporate development.
- The composite picture is one of companies with recurring, predictable and visible revenues and cash flows.
Our targeted business characteristics are typically found in asset-light service businesses or product businesses which have a strong service component.
- Technology-Enabled Business Services
- Healthcare
- AI/Data and Software
- Consumer
Within these, we are focused on specific sub-sectors that best meet our investment criteria.
