Growth Transformation

Trashed spinoff with horrible trailing numbers - or an emerging growth story?

• New CEO built a one-man business to a “substantial nine figure” sale

• Extensive track record of growing businesses through tuck-in, value-accretive M&A and then selling them to larger competitors

• Plan is to tap into market-leading brand, grow “hidden gem” segment nationally, expand into adjacent, less cyclical business lines

• ~$90 million in net cash, sub $175 million market cap, ~$70 million Enterprise Value

• If growth evolution works I see substantial multi-bagger potential

• I have taken a “starter” position with a plan to add materially if the investment case is further confirmed