New Mountain’s past and present portfolio companies are described on this website and are generally characterized by:
- Market leadership in sustainable and noncyclical growth niches
- High barriers to competitive entry
- Strong downside protection in all reasonable worst-case scenarios
- The opportunity for substantial value creation due to rapid growth or to special factors existing at the time of the investment
New Mountain emphasizes growth and business building, rather than excessive risk and debt, as the best path to private equity returns. The firm generally uses debt moderately (and in some cases, has used no debt at all) and New Mountain has never had a private equity portfolio company bankruptcy or missed an interest payment. We have consistently identified industries top down and proactively before an auction process began.
Once an investment is made, New Mountain works to help management add value to these companies, in order to create much larger and more profitable "new mountains" in their own industries.
Chief executives of New Mountain portfolio companies have been strong references for our Firm, and the variety of ways that New Mountain has helped management teams add value include:
- Providing growth capital
- Increasing management ownership
- Developing and supporting new growth strategies
- Seeking out, supporting and executing add-on acquisitions
- Recruiting high quality board members
- Strengthening management teams
- Supporting technology and infrastructure upgrades
- Supporting increased research and development
- Making high level sales contacts on the company's behalf
- Establishing strong financial Wall Street coverage and support
- Establishing improved financial systems and controls
Overall, our firm manages approximately $11.5 billion of private equity capital across our funds, including the approximately $4.1 billion Fund IV which we are investing now. Our firm has been awarded numerous “private equity firm of the year” and similar honors since our founding in January 2000.