Private equity firm Cimbria Capital launches consulting arm

17 August 2018 Consulting.us

Houston-based private equity (PE) firm has launched a consulting arm focused on agriculture, water, and renewable energy – the specialized areas of the parent PE firm. The consulting arm will give synergistic capabilities to Cimbria Capital, while answering growing demand for managerial, operational, and technological advisory expertise in the accelerating agriculture, water, and renewables industries.

Private equity is booming, with the number of PE funds reaching 2,296 in early 2018 – a record high. According to the Boston Consulting Group, private equity funds sought to raise $744 billion, a 25% increase since a year earlier. Driven by low interest rates and historically attractive long-term returns, the private equity industry has swollen to record size. The spectacular growth has led to warnings that PE is an asset bubble, with conditions resembling those of the years before the 2008 financial crisis.

Cimbria Capital is a PE investment firm riding the wave of PE popularity and the increasing importance of the agriculture, renewable energy, and water industries – areas on which it focuses. Rising populations, climate change, and other factors are heightening the value and importance of companies in the above areas. Founded in 2014, the firm is headquartered in Houston, and recently opened a satellite office in Milwaukee – a hub for water industry firms.

The firm has now announced the launch of a management, scientific, and technical consulting arm – Cimbria Consulting. The new consultancy will offer ‘transformation-focused consulting services to enterprises in agribusiness, renewable energy, and water technology,’ and will be comprised of a ‘diverse group of highly skilled, global, and senior-level consultants.’ The new firm will be an affiliate company of Cimbria Capital.Private equity firm Cimbria Capital launches consulting armThe move is a logical step for Cimbria. When a private equity firm invests in a company, they already have to apply strategy, operational improvement, and other consultant-like skills to execute growth strategy and reorganization. By having these capabilities in-house, PE firms can rely less on external providers for their performance improvement agenda. They can also chase the lucrative fees and demand for management consulting services in the growing agribusiness, water, and renewables sectors.

"The establishment of Cimbria Consulting is a natural progression of Cimbria's overall mission to create value in — and benefit from — agriculture, water, and renewable energy, all fundamental industries needing to transform and expand," commented Brian V. Iversen, Founder of Cimbria Capital and Cimbria Consulting. "We are very excited about Cimbria Consulting's powerful business model as a stand-alone endeavor, but we also look forward to the inevitable synergies available between our new consulting platform and Cimbria Capital as a private equity investor."

The consulting firm will provide the trio of industries with tailored solutions that ensure efficient business models and market competitiveness – integrating emerging technologies, marketing and sales, and operational efficiencies. Barry Mattson will serve as the consultancy’s Managing Director, helming a team of almost 50 professionals.

Commenting on the launch, Cimbria Capital Director Noah J. Sabich said, "I am humbled by the in-depth expertise possessed by the consultants on our new team, and I am eager to see how the skill sets of the soon-to-be 50 person team of senior consultants will accelerate constructive advancements in our core sectors."

"The value they can bring to companies solving essential food, energy, and water issues is astounding, and the team's wide-ranging capabilities and geographic locations also means Cimbria's overall insight into rising markets and opportunities will continue to progress," added Sabich, who will also serve as a Senior Advisor at Cimbria Consulting.

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Former consultants join investment firm Carlson Private Capital Partners

17 April 2019 Consulting.us

Carlson Private Capital Partners, a middle-market investment firm backed by the fortune of the Carlson family, has hired two former consultants – Cory Petersen, previously of PwC, and Stephanie Johnson, previously of Chartwell Financial Advisory.

Carlson is one of the largest family-held corporations in the US, and a global leader in the travel industry through its Carlson Wagonlit Travel brand. The corporation divested its Carlson Restaurants division when it sold TGI Fridays in 2014, and its hotels division when it sold Radisson to Chinese conglomerate HNA Group in 2016. Carlson continues to be based out of Minnetonka, Minnesota.

After selling off its restaurant and hotel divisions, the family-held company founded Carlson Private Capital Partners (CPC). The firm invests in leading middle-market businesses with $5-50 million in EBITDA and equity investments from $20-100 million. According to the firm, it provides the best elements of a traditional private equity firm with the capital and relationship benefits of a family operating network, and a more patient strategy focused on long-term value creation.Former consultants join investment firm Carlson Private CapitalCPC has now made two additions to its growing team, bringing aboard Cory Petersen and Stephanie Johnson. Petersen joins as vice president of finance and administration, while Johnson joins the firm as an associate.

In his new role, Petersen – a certified public accountant – will oversee all financial, administrative, and compliance responsibilities, while also supporting structuring, financing, and due diligence efforts for CPC’s investment opportunities. Petersen was previously a director at private equity firm Stone Arch Capital, which specializes in mid-market buyouts, industry consolidations, and recapitalizations.

Prior to Stone Arch, Petersen was a director in PwC’s M&A advisory practice, where he provided clients with strategic and financial advice on acquisitions and divestitures. He started his consulting career as an M&A manager at Deloitte.

Stephanie Johnson, meanwhile, joins CPC as an associate. Prior to joining the firm, Johnson was a corporate finance associate at Chartwell Financial Advisory, where she supported M&A, ESOP-related, and capital markets transactions. Before that, she was a healthcare investment banking analyst at multinational investment bank and financial services firm Jefferies.

“I am delighted to welcome both Cory and Stephanie to our growing team,” Andy Cantwell, CEO and managing partner of Carlson Private Capital Partners, said. “Our ability to add talented professionals who understand the unique needs of closely-held businesses allows us to tailor thoughtful investments and partner with management teams for long-term success.”