MD Bankers_ Fintech Disruption of the Core IT Obstruction
Sts select engagements list jan 2013
1. Select Engagements Please share/send on/call us if anyone you know would
be interested in any of these engagements.
Guy G. Beaudry
Managing Director
+1 514 448 4650
guy@stscapital.com
Claire Petryschuk
Client Operations Manager
+1 905 336-7015
cpetryschuk@stscapital.com
January 2013 www.stscapital.com
Version 1
Atlanta • Barbados • Chicago • Geneva • Grand Cayman • Houston • London • Los Angeles • Mexico City • Miami • Monaco
Montreal • Nassau • New York • San Salvador • Toronto • Vancouver • Washington DC
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2. Sell Side Engagements invest in building methanol plants, either greenfield expansion or
relocation. Prepared to re-open methanol plants that have been
Breakthrough Technology for Implant Surgery with Multi-Billion decommissioned or relocated. Seeking gas deals around 1 Trillion
Revenue Potential Cubic Feet (TCF), minority shareholder position up to 49.5%. Company
Code Name: ImplantIQ is well capitalized and has the technical internal capacity to quickly
Opportunity for a rapid entry into the advanced medical device complete a comprehensive due diligence on investment
sector, with potential for market leadership. Proprietary intelligent opportunities. Seeking investments where current management team
wireless technology with the ability to steer and recharge the implant is prepared to remain in place; client has no interest in managing the
through intact skin. A world recognized surgeon, inventor and company. STS would prefer to be engaged on the sell side advisory
entrepreneur with a track record of product success, has invested 10 role.
years to develop over 50 patented products addressing unmet needs
in 33 treatment fields. A leading international medical technology / €250 million to €1 billion Investment / Long Term Partnership
bio-pharmaceutical valuation firm has verified the extraordinary Opportunity in French, Romanian and Polish Wind Parks
quality and value of this medical device portfolio. Management has an Code Name: Wind Play
excellent track record in implant surgery, product development, France: €100 million Equity IRR of 9% and/or €100 million
creating patents and business development. Equity position in the Senior Bonds 6.25% p.a. coupon; and/or
company is available to strategic investors interested in bringing these Poland: €100 million Equity with IRR of 10%, and/or €100
products to market, capitalizing on both the financial and altruistic million Senior Bonds 7.25% p.a. coupon; and/or
benefits of this company’s medical device portfolio. Romania: €50 million Equity with IRR of 14%, and/or €50
million Senior Bonds 9.75% p.a. coupon
Chinese, State-Owned Enterprise Client has $1 billion to Invest in
United States or Canadian Methanol Plants and Adjacent Gas Fields Green investment opportunity providing a stable, long-term income
Code Name: Project Ruby stream for institutional equity and debt investors, foundations and
Chinese client has reserved $1billion to invest in methanol plants and family offices. Client is a leading renewable energy company with a
adjacent gas fields - actively seeking investment opportunities in successful 10-year track record. Three new subsidiary companies will
North America to meet immediate needs for methanol. Interested in be established to own wind energy parks in France, Poland and
companies that are well managed and will benefit from an equity Romania. These three companies will each issue equity and/or senior
injection to increase their current production and exploration targets. bonds to acquire and finance or refinance (i) already operating wind
Direct investment in fully operational methanol plant with a minimum energy parks, as well as (ii) ‘bank financed, ready to build’ wind
capacity between 500,000 to 2 million tonnes per year. Willing to energy parks in France, Poland and Romania. This is an attractive,
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3. risk-adjusted infrastructure investment opportunity with stable, long- Opportunity to acquire 100% of a technology company that has
term returns. Investment proceeds will only be used to finance a wind developed, and is now offering, a global debit and credit payment
park after project finance bank loans are in place. Long-term revenues “ecosystem” for merchants that integrates mobile phones, payment
are ensured through 15+ -year guaranteed inflation adjusted feed-in processors and banks. Its applications enable smart phones or
tariffs in France, and through long-term Power Purchase Agreements tablets that use Windows Mobile, Android, Blackberry or Apple
and Green Certificate Sales Agreements with utilities in Poland and iPhone operating systems, to securely process credit and debit card
Romania. payments. Client holds a vast patent portfolio and is maximizing its
first mover advantage for debit transactions globally by concluding
Sale of a Profitable Online Hotel Reservation Portal Ranked in the
commercial agreements with some of the world’s largest
Top 3,000 Websites in United States
multinationals. Has consistently exceeded financial and timeline
Code Name: Project Get-Away forecasts, and is being approached by key industry players interested
Sale of a privately owned company that operates two successful in utilizing its patented disruptive wireless technology.
online hotel booking portals. Hotel accommodations are offered
providing wholesale price savings while catering to the specific Investment in Technology Disruptive Start-Up - 360° Panoramic
accommodation preferences of each customer. All contracting for Camera
the network of hotel properties is supplied through distribution
Code Name: Project Astral
agreements that provide access to over 80,000 hotels worldwide,
Opportunity to invest in a ground-breaking technology company
turn-key technology, fulfillment and call centre support. With over
that has fully developed (patent pending) the world’s first
$225 million in gross hotel bookings to-date (> 800,000
consumer targeted, one click, social network technology
reservations), the company is on track to achieve over $19 million
compatible, award winning, 360° panoramic camera. Core
in revenue for 2012. Average unique visitors per day: 70,000+.
management team with extensive experience in executing a
Average conversion rate: 2.05. Customer database of over 400,000
strategic worldwide rollout is in place. Company is well positioned
and growing with significant user generated content. Traffic ranked
to become a global leader in the camera market. Investment
in the top 3,000 websites in the U.S. Hyper-scalable business
opportunity to ramp up initial mass production through supply
model for continued domestic and international growth.
chain and agreements with top tier ISO9001 certified
manufacturers. Capital equity investment for a comprehensive
Wireless Credit and Debit Payment Solution - Strategic Transaction
strategic transaction, including 100% acquisition, will be available
Opportunity – North America
in late 2013.
Code Name: Seabiscuit
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4. Sale of Two High-Yielding Assisted Living Retirement Residences in Eastern European Shale Gas Assets - €100 million
Canada Code Name: Polish Play
Code Name: Project Emerald Co-investment opportunity for industry familiar financial or strategic
Opportunity to acquire two all-inclusive, high-yielding assisted investor to co-invest with a major, publicly listed oil and gas
living retirement residences, located in Canada. Occupancy rates at company into the largest and most accessible shale gas resource in
95% with waiting list. The two properties were recently Europe. Company successfully secured a large range of
redeveloped to exacting, five-star boutique hotel standards by geographically diversified exploration licenses in shale basins where
owner-operators using knowledge acquired during many years big global players are already active. It represents a focused,
operating in the retirement residence sector. Guaranteed independent pre-IPO play backed by a prominent, local
entrepreneur.
investment return over 10 years. Highest accreditation rating
awarded to both properties. Affluent clientele in private pay
sector with rising demand due to demographic trends. Buildings Pan-American & European Competitive Local Exchange Carrier &
constructed in mature neighbourhoods where little undeveloped Enterprise Telecom Provider - Divestiture
land remains, ensuring high barriers to entry. Clients show strong Code Name: Project Smart
loyalty to the facilities and often refer friends and family members
to be fellow residents. Turn-key investment attractive to investors Sale of an established, world-class Competitive Local Exchange
looking for a healthy and steadily-rising yield well above inflation in Carrier (CLEC) and Enterprise Telecom Provider. Privately owned
a safe, politically-stable, business-friendly country with a strong provider of voice, data and internet services to residential, business
currency, with good management in place. The properties are and wholesale customers with best-in-class switching facilities and
offered for sale at a price of $137 million and will produce an end-to-end networks. Projected revenues for 2012 of $35 million.
average ROI of 8.24% over 10 years, using fairly conservative Holds telecommunications licences in 17 countries spanning North
assumptions, plus an opportunity for capital appreciation. The America, Latin America and Europe. Over 100 carrier interconnect
sellers will guarantee the annual yield and will provide ongoing agreements. Access to cutting edge fibre optic network. Opportunity
management. will be of interest to organizations wishing to diversify telecom
operations in the Pan–American region, as well as telecom and VOIP
market participants looking to instantly expand geographic footprint
and product lines.
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5. Sale of Telecommunications Company – Latin America space in a new, purpose-built contact centre facility which has
Code Name: Blue Chip significant adjacent space available for expansion.
Wireless telecom service provider in Central America offering Push-
to-Talk (PTT) services using the 800 MHz wireless spectrum band. Heavy Equipment Rental and Distribution Company - Investment
Offers mobile business communications and messaging services to Opportunity in Latin America
business customers in government, safety and transportation. Have Code Name: Equip It
invested over $50 million in its mobile network infrastructure in the Established Central American heavy equipment rental and
last six years. Company has no debt and has available tax credits. distribution company with revenues of more than $50 million with a
Complete end to end operating infrastructure, including billing nearly 40-year track record representing and servicing leading
system, call centre, MSO Bunker and towers. Strong management heavy-equipment brands. Revenue lines include rental of: Heavy
and sophisticated business intelligence systems. A strategic investor Equipment, Air Compressors, Power Generators, Aerial Work
would help develop a regional platform throughout Central and Latin Platforms and other related and complementary products. Rental of
America for 4G LTE capability and related services, leveraging the heavy equipment is experiencing high growth in Latin America,
existing infrastructure and growing client base through innovative which currently has a low base (about 15%) compared to more
uses of the wireless spectrum. LTE services market forecasted to mature markets where rental has a high share of the business (50%
grow to 53 million subscribers in the Caribbean and Latin America by in the US and 80% in Europe). The company will be of interest to a
2016. strategic investor looking to expand their operations in the strong
and growing Central American, Panamanian and Colombian markets.
Sale of Small, Specialized Contact Centre – North America
Code Name: Project Waterfall Online Broker Trading Company - Investment Opportunity in Latin
Opportunity to purchase profitable, highly-specialized North Eastern America
United States contact centre. The company provides sales and Code Name: Ticket
service support for media companies in Canada and the United Opportunity for a strategic partner to invest in leading online broker
States. Founded in 2001 to provide supplementary sales and service trading company and participate in expansion through acquisitions
support during high volume and after hours periods. Over time, and become the first regional online trading platform in Latin
many customers have outsourced their sales and service America. Willing to sell a minority stake, with option to sell a
departments to the company. Steady growth, deep customer majority position to a strategic partner that adds value. Once
relationships, EBITDA at approximately 20%. The company leases
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6. operating as regional platform, there is a potential exit through an digital media collections in order to save cost, maximize efficiencies
IPO in four to five years. Investment of up to $30 million. and create revenue-generating opportunities. Along with the benefit
of preserving and archiving media assets for posterity, there are
Global Lottery Ticket Processing and Delivery Services Divestiture – opportunities for companies to use newly digitized and transcribed
Latin America library materials to generate additional revenue. The company’s
Code Name: Global Millionaires focused marketing teams specialize in creative strategies for
Leading, multi-national provider of a business platform that lets monetizing such content. The firm offers a range of services and a
customers participate in brand name lotteries around the world will shared risk model which creates ongoing, high margin revenue
divest its operations to a strategic investor. This company is building streams for the company and its clients. The company is based in an
on success in the Americas by taking its proven approach to fulfilling offshore, tax favourable jurisdiction. With four collections in process
online gaming/lottery transactions to new markets in Europe and and over 20 collections currently in the pipeline, the company is
Asia. Continuously positive financial performance since inception. poised to take advantage of the close to $1.8 billion currently spent
Rising sales, solid customer base - the majority pay through annually in North America on paid content, not including revenues
subscriptions, proven infrastructure, global geographic presence, from the significant growth in the digital advertising space.
strong relationships with affiliates and vendors, and an experienced
management team. Product and service portfolio can be adapted Boutique Hotel Group – United Kingdom
and expanded to support delivery of other products, fulfillment of Code Name: Poseidon
online gaming/e-gaming and kiosk transactions, and/or development Opportunity for a strategic investor to take an equity position in a
of media/content applications. Company’s services have been leading 4-star boutique hotel brand in the United Kingdom.
successfully white labelled and co-marketed. Unique opportunity to Currently, the group is comprised of 260+ rooms across four
acquire a market leader in a niche, growing industry. locations: three in London, one provincial. Valuable real estate,
brand platform, development pipeline and management team with
Media Company - Investment Opportunity – North America vision for new creative concepts in hospitality. Strategy and property
Code Name: Star Power positioning focuses on the profitable and comparatively stable niche
The company works with entertainment companies, museums, of the 4-star deluxe product category. Business plan forecasts the
academic and governmental organizations as well as individual continued development of the brand and acquisition of additional
content owners to identify, manage and migrate their physical and properties within major provincial cities already identified in an
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7. active pipeline. Well established and respected lifestyle/leisure with strong corporate guarantees, as well as commercial gallery
brand developed through extensive research and marketing could anchors with solid rental contracts. Investors benefit from a well
also be leveraged across other key market adjacencies, providing a balanced portfolio, blending secure long term income with a strong
platform for further corporate expansion and diversification. value-added potential from the commercial galleries.
Management plans and financial projections for new hotel
developments could further increase revenues over a three-year Spanish American Auto Group
period by leveraging the operating platform and management Code Name: Project Drive
capabilities. Divestiture of leading Spanish American chain of authorized
dealerships focused on wholesale distribution and retail sales of
motor vehicles, as well as adjacent service businesses with $300
Upcoming Mandates
million in sales. Well run family-owned business with strong ethical
Sale of a New York Bank values, enjoying high level of customer satisfaction and top
International client will divest of a New York bank for international employer status. Company has built an extensive pipeline of
regulatory reason. No loan issues. Approximately $400 million in growth opportunities across multiple brands, both domestically
assets. Book value of approximately $60 million. Client will only and regionally.
consider offers from buyers that are pre-approved or easily
approved by New York regulators. Sale of a Profitable and Rapidly Expanding Asian B2B Enterprise
Mobility Provider
Sale of €350 million Commercial Real Estate Portfolio in Eastern Code Name: Optistore
Europe Opportunity for a strategic investor to invest in / acquire a
Code Name: Cubic Singapore based business with strong presence and blue chip client
Divestiture of a significant portfolio of retail parks in a prosperous base in China. Company has been developing and is successfully
Southeastern EU country. This represents an opportunity to invest scaling up sales of a superior, full suite of B2B mobile tools for
in / acquire one of the largest portfolios in the region, retail activity optimization – the next area of investment for
encompassing 33 income producing assets with a leasable area of consumer / packaged goods companies into enterprise mobility.
325.572 sqm (3.5m ft.). Tenants are mainly large German retailers Investor gains immediate substantial market share in a fast
growing industry segment in China, with domestic and regional
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8. roll-up opportunities. Management has proven industry related competitive advantage that mitigates profit-eroding competition
track record of building and successfully exiting businesses in Asia. and operates in a sizeable industry with growth potential and
acquisition opportunities. Interested in financial or education
Bus Manufacturer – North America service businesses, however, flexible to consider other industries.
Code Name: Project Transport Will consider a larger investment for the right opportunity. Not
Opportunity for investment in a North American bus manufacturing interested in start-ups or turnarounds.
company producing buses for use in public transport. The bus excels
the competition in various key aspects and the company has strong Rebar Business Acquisitions - Caribbean and Latin America
working relationships with many local governments in target markets Client in the business of fabricating and installing concrete reinforcing
and significant opportunities for export. The company has previously steel (rebar) is interested in buying companies in the Caribbean and
secured large orders from North American city governments and is in Latin America in the area of fabrication and installation of rebar.
advanced discussions on several very large orders. Could involve an acquisition or joint venture.
Disclaimer
Companies Our Clients are Looking to Buy This summary is for informational purposes only and is not intended as a
recommendation, offer, or solicitation with respect to the sale or purchase of
a security by STS Capital Partners. The information disclosed as historical fact
Private Bank Acquisitions - Caribbean
from sources deemed reliable and accurate. STS Capital Partners cannot
Prior client that recently purchased a private bank is interested in guarantee the complete accuracy of this information. Forward-looking
statements are subject to factors that can cause statements to differ
adding more private banks in the Caribbean onto their portfolio. materially from what is stated herein. Financial statements are based on
information provided by the Company to STS Capital Partners and have not
been independently verified as to accuracy, completeness of the information,
Logistic Company Acquisitions – North America or the reasonableness of the assumptions underlying the projections. STS
Client is looking to acquire third party logistics management firms Capital Partners shall not be liable for damages resulting from use or reliance
upon the information presented herein. Investment decisions may be made
servicing Canada and the United States. Asset light companies only by accredited investors who have relied upon more formal documents.
These investments involve risk including the possible loss of principal.
preferred that manage logistics for companies. Up to $100 million.
Financial or Education Service Business Acquisition - Canada
Client interested to acquire a Toronto-based business with sales of
up to $50 million and track record of profitability with a sustainable
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