Altaroc
Altaroc TV
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Odyssey 2023
The managers of our Vintage

Introducing TA Associates

Episode
2
2:16mn

Summary

TA Associatesa Private Equity fund established in 1968, focuses on growth buyouts, investing mainly in North America and Europe, with a predilection for the software sector, targeting profitable, high-growth companies. Its strategy is based on a proactive approach to the market and solid M&A expertise to consolidate fragmented markets.

Written transcription

TA Associates was founded in 1968, making it one of the oldest Private Equity funds in the world. What we like is that we have exceptional visibility over different economic cycles. They have 50 years of sector expertise, the teams are highly technical, they have been able to adapt and know exactly what they are looking for to replicate past successes. We are on fund number 15 of the Historical Strategy. This is a $17 billion fund that will invest in around fifty companies at the top end of the mid-market, i.e. companies that are fairly large but not valued at more than $5 billion. It's an American player that will invest two-thirds of its allocation in North America and around one-third in Europe. In terms of sectors, the fund favors the software world, with almost 50% of its allocation, and the remainder is evenly diversified across healthcare, services and digital consumption. These are just some of the sectors we favor at Altaroc. TA Associates This is a company that has put performance at the heart of its selection criteria.

They will invest in profitable, high-growth companies, known as "growth buyouts". They typically select companies with strong organic growth, high margins and a high proportion of recurring revenues. These companies also tend to have a highly diversified customer base, which offers good downside protection. It's important to note that they have a very proactive approach to sourcing opportunities. They have dedicated teams who are in daily contact with thousands of entrepreneurs to gather information and map out investment targets that meet their criteria. Another of TA Associates's areas of expertise is M&A, since they buy leading companies operating in fragmented markets that are thus ripe for consolidation. Every year, they make hundreds of external acquisitions to strengthen portfolio companies, both locally and internationally. TA Associates This makes them an effective player in a Private Equity portfolio that will seek performance at any price.

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