Investment Strategy

AQY intends to identify, evaluate, and execute a qualifying acquisition by leveraging Alignvest Management Corporation’s extensive network to find one or more attractive and, wherever possible, proprietary investment opportunities. Our efforts to identify a target business will not be limited to a particular industry, though we to focus primarily on acquiring companies with an estimated enterprise value between $500 million and $2.5 billion.

We believe that the combination of our management team, board of directors, and advisory board, as well as the support of our Sponsor, Alignvest, provides us with distinctive and differentiating capabilities, including:

  • a track record of building industry-leading companies with a proven ability to deliver shareholder value over an extended period of time;
  • a prolific acquisition history in various capacities, which has resulted in an established proprietary deal sourcing methodology and differentiated transaction execution / structuring capabilities;
  • experience deploying a unique and broad value creation toolkit including identifying and executing on financial and strategic value enhancements initiatives, as well as recruiting world-class talent;
  • experience successfully sourcing and completing the qualifying acquisition of Trilogy; and
  • an extensive history of accessing the capital markets across various business cycles, including financing businesses and assisting companies with transition to public ownership.

Investment Criteria

We intend to employ a proactive targeting strategy that identifies potential acquisitions that align with AQY’s investment objectives. Consistent with this strategy, we have identified the following general criteria and guidelines that we believe are important in evaluating prospective acquisition targets:

  • Strong, experienced, and well-aligned founders and management teams, with a proven track record of equity value creation who want to continue to build their businesses
  • Recent underperformance relative to capabilities
  • Strong free cash flow generation and return on invested capital
  • The ability for Alignvest to add value through industry expertise
  • Strong competitive position within an attractive industry
  • Potential for strong public market support
  • Opportunities for platform growth through acquisitions
  • Favourable transaction dynamics
  • The potential to benefit from being a public company in Canada