Strategy

Alleghany Capital’s strategy to build value is to partner with motivated owners and managers of companies with “platform capability” that will benefit from our:

  • Long-term investment horizon,
  • Quasi-autonomous operating model,
  • More conservative approach to leverage,
  • Follow-on growth capital, and
  • Access to the resources of a long established public company.

Our management teams invest in high return organic growth projects and actively pursue accretive add-on acquisitions with Alleghany Capital’s support.

We are particularly interested in investing in businesses that are owned by entrepreneurs, families, or management teams who are considering ownership transitions and who share our long-term approach to building businesses.

Why Partner with Alleghany Capital?

  • Permanent Capital/Long-Term Investment Horizon

    Since we are not a fund, we do not face pressures to sell our companies within a short time period. This allows our companies to take a long-term approach to building their businesses.

  • Quasi-Autonomous Operating Model

    Our subsidiaries function as entrepreneurial quasi-autonomous enterprises, allowing them to maintain their unique operating principles and cultures.

  • Prudent Leverage (Focus on Business Growth vs. Financial Engineering)

    We believe excessive leverage endangers the sustainability of even the best businesses and will not risk the health of a business simply to generate a few extra points of return.

  • Follow-on Growth Capital Through Economic Cycles

    We actively seek to invest in “platform companies,” defined as businesses where we have the opportunity to invest additional capital in high return projects or accretive add-on acquisitions. As a long-term holder, we view down cycles as an opportunity to invest.

  • Resources of a Long-Established Public Company

    Our subsidiaries have the ability to leverage the banking, insurance, legal, M&A, and tax support of a NYSE-listed company, as well as a large network of CEOs and senior managers in a wide variety of global businesses.

Investment Criteria

We look to acquire majority positions – or minority positions that will eventually lead to majority control – in companies that have the following attributes:

  • Management

    Experienced and adaptable management teams that (i) share our values and long-term approach to business and (ii) have a clear strategic vision and executable growth plan for their companies.

  • Market Position

    Sustainable competitive positioning in niche markets, supplying products or services that are essential to or valued by its customers.

  • Growth

    Scalable positions in fragmented industries that will benefit from a relationship with a long-term capital provider to support add-on acquisitions.

  • Company Size

    $15 to $50 million in EBITDA.

  • Geography

    Headquarters in North America.

Safety Principles

Alleghany Capital is committed to ensuring the health and safety of the associates that work in our facilities, the customers that use our products and services, and the communities in which we operate. We have an obligation to provide a safe workplace for our employees and all those that enter our facilities, just as we have an obligation to our customers and all those that interact with our products and services.

Our fundamental safety principles are:

  • Safety first: health and safety comes before all other business priorities,
  • All incidents are preventable, and
  • Top safety performance leads to business out performance resulting in motivated and engaged employees, satisfied customers, and supportive communities.
Safety Principles