Whitehorse Finance

Investment Strategy

investment_strategy

Investment Strategy

Our investment strategy is to generate current income and capital appreciation for our shareholders primarily by originating senior secured loans to performing small-cap companies across a broad range of industries. We expect our investment size to range from $10 million to $50 million, with target businesses typically exhibiting some or all of the following characteristics:

  • enterprise value of between $50 million and $350 million
  • organized in the United States
  • an experienced management team
  • stable and predictable free cash flows
  • discernible downside protection through recurring revenue or strong tangible asset coverage
  • products and services with distinctive competitive advantages or other barriers to entry
  • low technology and market risk
  • strong customer relationships

We expect that the proceeds of our loans will be used for a variety of purposes, including refinancings of existing debt, acquisition financing, or working capital to support growth or realignment. While we intend to focus principally on originating senior secured loans, including first lien and second lien facilities, we may also opportunistically make investments at other levels of a company's capital structure, including mezzanine loans or equity interests.