Investment structure for long-term HoldCo
Hi - I'm starting a long-term HoldCo search in Singapore / South-East Asia. Market context is that debt leverage on transactions is typically limited to ~20-30% from seller financing and thus, step-up won't have the same effect as it does in the US. Couple of questions: 1. What interesting deal terms have you seen work with investors and which types of investors? I'm currently thinking of doing a carry model plus some dividends after Year 3 or 4 for some liquidity. Thoughts? 2. Do HoldCo's typically raise more money for additional acquisitions? If so, do I need to put any additional protections/clauses for investors? Would love to speak to anybody who has done one!