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Value Creation & Exit Strategy
• Operational Upside: Roll‑ups and consolidation, shared services, procurement scale, governance upgrades, and digital modernization. • Capital Structure: Conservative leverage, with flexibility to layer mezzanine or bridge financing from a related debt fund. • Exit Pathways: Long‑term exits via strategic buyers, recapitalizations, or regional consolidators, supported by predictable EBITDA growth and improved institutional optics. • Investor Impact: Capture valuation discoun
msuraqui
Nov 21, 20251 min read


Expected IRR Profile
Disciplined Entry Pricing: The fund focuses on acquiring businesses at attractive valuations, typically: $1–6M EBITDA 4.0x–6.0x EBITDA for platform investments Add-on acquisitions often at even lower multiples These valuations reflect: Limited competition Undermanaged operations Market complexity that discourages larger funds Lower entry pricing provides built-in downside protection and supports strong risk-adjusted returns. Targets return: Based on conservative assumptions:
msuraqui
Nov 21, 20251 min read


Tax Efficiency: Puerto Rico Act 60 / PEF Benefits
Qualifying investments under Puerto Rico’s Act 60 Private Equity Fund regime may provide significant tax advantages, including: Fund-level tax efficiency Tax-advantaged distributions Up to a 60% super-deduction for eligible Puerto Rico investors These benefits materially improve after-tax returns without increasing investment risk. A financial analyst examining detailed investment reports. Structural Advantage: Puerto Rico Dealer Protection (Act 75) Many distribution business
msuraqui
Nov 21, 20251 min read
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