WoodLake Group

Overview

WoodLake Group is a private investment firm that focuses on partnering with outstanding management teams to build exceptional lower middle-market businesses. The firm grew out of Fieldston Investors and Seraphim Investment Group Inc., with a history spanning over 40 years and enduring through at least five major recessions. Their investment philosophy centers on generating enduring value through cycles, providing operating leadership and guidance to lower middle-market companies based on decades of investing activities combined with CEO operating experience. They partner with private equity firms and family offices, emphasizing fiduciary responsibilities to their partners, stakeholders, and team. Their culture is built on trust, integrity, and transparency, with a commitment to putting investors first. WoodLake Group has been involved in 14 operating companies, hired over 1,400 employees, invested in 10 sectors, and endured five recessions. They view their seller-management teams as partners in a flat organization, working together with candor, commitment, and integrity. Their role is to work closely with management to develop a growth strategy and set the course, considering management a critical element in their companies, acting as coaches to foster leadership and empower management. They invest in B2B companies that are leaders in their field, have strong innovation, and active new product development in sectors such as commercial industrial (including automotive, aviation, building materials, engineered products), advanced manufacturing and technology, business services (including engineering and architecture), and value-added services. Their investment approach involves looking for privately held, family-owned unique companies that have room to grow in fragmented industries with actionable acquisitions. They conduct deep, 360-degree diligence of the major issues, identifying key metrics and incorporating them into their management reporting system. This analysis creates a knowledge base shared with management and other stakeholders, facilitating decision-making, charting action plans, and establishing milestones. It also clearly identifies risks and rewards that are understood by all. Their investment profile includes targeting companies with an enterprise value between $30 million and $200 million, EBITDA of $5 million or more, revenue of $25 million or more, EBITDA margins of 10% or more, stable, recurring positive cash flow, manageable capital expenditures, and a highly scalable model. They focus on building platforms and availability of add-on acquisitions, including transactions with EBITDA exceeding $25 million, such as public carve-outs and divestments. Management is a critical element in their companies, and they act as coaches to foster leadership and empower management. They seek proven managers with a successful history of driving value creation and strong alignment of interests and equity ownership. Their industry focus includes automotive, aerospace & aviation, automation, systems & robotics, building products & materials, business services, commercial industrial, food & beverage, and recreational, enthusiast-based business. Through their WoodLake Executive Partnership Program (WEPP), they collaborate with experienced executives in different sectors and functions, sourcing hundreds of transactions each year. The WEPP welcomes successful executives to participate with them in building great companies and identifying value-creating transactions. The firm contributes its multi-decade expertise in capital structure, analytics, and professional network as part of this collaboration. The WEPP is a platform for executives interested in holding C-suite or board-level roles at sponsor-backed portfolio companies to undertake a collaborative effort to build long-term value, leveraging operational, entrepreneurial, and strategic experience to improve high-potential companies through additional acquisitions, running a gr

Investment Focus

• Privately held, family-owned companies with growth potential in fragmented industries
• Enterprise value between $30 million and $200 million
• EBITDA of $5 million or more
• Revenue of $25 million or more
• EBITDA margins of 10% or more
• Stable, recurring positive cash flow
• Manageable capital expenditures
• Highly scalable model
• Building platforms and availability of add-on acquisitions
• Proven management teams with a successful history of driving value creation
• Strong alignment of interests and equity ownership