Kelly Cook Dao

Paul Capital Partners' investment platforms include the Paul Capital Fund of Funds, secondary investments and commercial-stage healthcare investments. The Paul Capital Fund of Funds investment team focuses on investments in venture capital and small-cap buyouts. The firm invests in funds that support innovative products and business models. They take takes a lead investment role and actively seek advisory board seats. Their strategy is both growth and value oriented. The Paul Capital Fund of Funds venture capital investment strategy focuses on providing access to top-tier venture capital managers. The firm looks for emerging managers that have the potential to become industry leaders. They employ a multi-industry investment strategy that focuses on information technology, healthcare and clean technology. Most investments are made in early-stage companies, but some investments are made in late-stage and growth equity to provide reduced volatility and more rapid exits. The strategy is biased towards small funds and is balanced by a short list of larger funds or platforms. Paul Capital invests primarily in funds in the Silicon Valley and Boston, with growing exposure to select international investments. They make secondary investments in top tier managers obtained through the secondary market to mitigate the effect of the typical J-Curve associated with private equity fund investing. The Paul Capital Fund of Funds small-cap buyout investment strategy focuses on investments in a small-cap buyout funds in North America. They invest in small-cap buyout funds that are being raised by managers who are focused on buying companies with enterprise values of $300 million or less. To select the best performing managers, Paul Capital's process begins with a large universe of buyout relationships and ends with a focused and diversified small-cap buyout portfolio. The portfolio is complemented by co-investments and by investments in target funds obtained through the secondary market. The Paul Capital Fund of Funds co-investment strategy focuses on co-investments alongside general partners that are well-known to the firm and who require capital to close pending small-cap buyout and growth equity transactions. Investments are made directly in the securities of the portfolio company. The Fund of Funds team invests directly in portfolio companies across a full range of economic and credit cycles. For investors requiring exposure to both the firm's venture capital and small-cap buyout funds, Paul Capital provides customized solutions that allow participation in both activities over a multi-year period with a desired percentage allocation to each. Large investors seeking increased exposure to emerging managers, growth equity funds or buyout funds larger than their small-cap target (but generally less than $2 billion in size) can be accommodated through a separate account relationship. Paul Capital provides secondary transaction solutions for various sellers including pension plans, financial institutions, endowments, family offices, corporations and general partners. They help sellers reallocate their portfolio across asset types and classes, achieve early liquidity from private equity investments and obtain follow-on capital for existing portfolios and other objectives. Paul Capital Healthcare employs a variety of financing options ranging from non-dilutive financings that include royalty and revenue interest financings, to more traditional instruments such as equity and structured debt. Their clients include public and private companies, academic institutions and inventors. Paul Capital Healthcare helps companies monetize their royalty streams by selling all or a portion of these future royalties in exchange for an upfront payment and, depending on the structure, potential future payments. Paul Capital Healthcare invests in healthcare products that are approved and are generating revenue or are near commercialization. Healthcare companies should have an identifiable and established market, have patent and/or regulatory protection and be marketed by a strong organization. Paul Capital Healthcare employs the use of synthetic royalties or revenue interest financings. The firm provides a company with an upfront payment and future payments in exchange for a percentage of future product revenues. These deals are structured in a way that is similar to licensing agreements. They employ tiered revenues, reverse tiers, minimum payments, caps, step-downs and buy-out options. The deals are different from a standard licensing agreement in that Paul Capital Healthcare is not responsible for commercializing the product and is not involved in the company's daily operations. The firm makes an upfront payment to the company and, in some cases, additional payments based on certain milestones, such as regulatory approvals, patent extensions and sales targets. Paul Capital Healthcare then receives a portion of the future revenues generated by the product(s). Paul Capital Healthcare provides structured debt financing for small to mid-sized healthcare companies looking to expand operations. They can structure mezzanine-like debt in combination with revenue interests or royalty financings and the purchase of equities. Paul Capital Healthcare also structures traditional equity investments, usually in combination with revenue interest and royalty financings. The Fund participates in early-stage financing rounds in syndication with venture funds and in PIPE-style offerings. Paul Capital Healthcare focuses on near market or commercial-stage investments.

Functions as a College/University

HRJ Capital specializes in private equity fund-of-funds. Their products focus on 3 asset classes: venture capital, LBOs and real estate. The HRJ Champion Ventures fund focuses primarily on giving investors the potential to generate above-average, long-term annual rates of return, comprised principally of capital gains, while providing investment diversification within this asset class. The HRJ Growth Capital funds' primary investment strategies include late-stage financing, management-led buyouts and recapitalizations. The funds invest primarily in the business services, manufacturing, energy, information technology, telecommunications, consumer products and services and healthcare sectors. For their real estate funds, HRJ seeks to generate long-term, risk-adjusted returns in an asset class that is generally uncorrelated to, and often counter-cyclical to, the public equity markets, with lower volatility.