At Aurum, we target businesses of larger corporations that would benefit
from new ownership, including divestitures, spin-offs or carve-outs.
Aurum invests its capital based on the ability to effect material
improvement in profitability through implementation of a new business
strategy, cost reduction and capital investment. Aurum has been
successful in divestiture transactions.
Our investment strategy stems from the belief that superior investment
returns are achieved by catalyzing the turnaround of underperforming or
distressed businesses. We often pursue businesses facing the threat of
closure, liquidation, or with a history of operating losses. At Aurum,
we prefer to invest in turnaround plans predicated on cost reduction,
capital investment and capital availability.
Aurum targets potential businesses that are operating in bankruptcy. It
has extensive experience in structuring complex transactions involving
banks, bondholders, creditor constituencies and stockholders. At Aurum,
we have successfully raised significant capital to provide exit
financing.
Aurum targets businesses that cannot otherwise obtain capital because
the industry in which it operates is out-of-favor with the capital
markets. The capital markets sometimes are closed to companies operating
in industries that are cyclical, contracting, or burdened with
over-capacity. Aurum takes a contrarian and long-term view in such
situations.