Exited Investment
Damac Products
Prairie Capital Fund V
| Location | La Mirada, CA |
| Transaction Type | Growth Buyout with Management |
| Investment Date | April 2013 |
| Exit Date | December 2017 |
| Buyer | Maysteel Industries |
| Business | Manufacturer of custom, highly-engineered infrastructure solutions for the data center market. |
| Industry | Industrial |
Investment Rationale
- Attractive industry dynamics including growth in cloud computing and data usage, which are driving strong underlying demand for data center infrastructure
- Opportunity to add organizational depth as the Company was largely managed as a lifestyle business and the ownership group had not focused on adding additional talent to capitalize upon market demand
- The Company was a solution provider, with custom-engineered products that reduced operating costs and optimized space for data centers
- Damac had an impressive customer base consisting of many of the largest and fastest growing internet and technology companies in the US
Value Add
- Human Capital
- Sales & Marketing
- New Products
TEAM:
Over the years, I have stood as CEO for a number of companies operating under equity firm majority ownership. From my perspective, Prairie Capital distinguished themselves by making principle based values and transparency key in the relationship with company management. This is sometimes easier said than done. In my opinion, Prairie stayed the course and did not deviate from their principle based aspirations.