VISION
Orange Equity was founded on two key principles. First, we seek a true alignment of interest between the firm and its clients. To achieve that alignment, we are significantly invested in each deal we close, and no fees of any kind are collected until all our investors in the deal have recouped their entire principal investment. Second, we only invest in companies we truly understand and feel comfortable with, and we make the investment only if we are able to play an active role in guiding the direction of the company.
STRATEGY
Orange Equity does not subscribe to a narrow mandate, and we therefore have the flexibility to take advantage of any compelling opportunity which comes our way, irrespective of industry, geography, or deal size. We believe that the current juncture of the business cycle affords the opportunity to make relatively safe investments in great companies for very attractive returns. The credit freeze has forced most companies in need of capital to offer more attractive returns and better safeguards to investors than in years past. We believe that now is the time to build a portfolio of diversified assets at compelling valuations as we await an upturn in the business cycle.
Our firm sources its deals through a trusted network of fellow investors and entrepreneurs, each of whom has a proven track record of honesty and reliability. In evaluating a potential investment, we pay particular attention to a company’s industry, its competitors, its business model, and its corporate culture. We pass on any opportunities where the initial due diligence process reveals any lack of clarity, competitive advantage, or open and honest management. Assuming initial diligence is successful, we set out to make absolutely sure that we fully understand the company, and that the company is open to us playing an active, continuing role in guiding the direction of the company. Lastly, we only invest if we feel the valution is conservative and compelling. We avoid “venture valuations” and “buy high, sell higher” investment proposals.