Founded in 2005, Gladstone Investment Corporation (Nasdaq: GAIN) is a private equity fund focused on acquiring mature, lower middle market companies with attractive fundamentals and strong management teams. As a publicly-traded business development company, GAIN provides both equity and debt capital, which greatly increases certainty and speed of closing as well as provides GAIN’s shareholders with both current yield in the form of monthly dividends and potential capital gains upside.
In addition to providing most, if not all, of the equity and debt capital required to close a transaction, GAIN has no partnership end-of-life deadlines and can structure investments in line with the long-term needs of the businesses we invest in. By providing truly patient, long-term capital, GAIN is a value-added partner to the companies we invest in.
We welcome the opportunity to partner with independent sponsors and take pride in the longstanding relationships we have established through the years. As a partner in buyout transactions, GAIN offers a competitive advantage in that we can provide most, and in many cases all, of the debt and equity needed to close a transaction and, therefore, increase the certainty and speed of closing by eliminating the need for other third party financing sources.
GAIN typically invests generally up to $70 million of debt and equity in a transaction. Most of the businesses in which we invest are market leaders in stable industries, have profitable operations and strong management teams with proven results during various economic cycles.
Companies we invest in typically have the following characteristics:
- $3 million to $20 million in EBITDA
- Experienced management team
- Proven business model
- Predictable and stable cash flow with consistent earnings
- Minimal market risk or technology risk
- Potential to expand cash flow
- Long term customer relationships
- Continental United States location