Investment Groups

The primary objective of the MSD Public Equity Group is to make long-term equity investments in a limited number of outstanding companies, both in the United States and abroad. We employ a disciplined, research-intensive analytic process in searching for businesses that possess sustainable long-term competitive advantages and are managed by honest, astute and shareholder-minded management teams. We firmly believe that businesses create wealth for their owners through the long-term generation of net free cash flow. Although we typically invest as a minority owner of publicly-traded companies, given the long-term perspective that we take when we make investments, we consider ourselves to be a partial owner of the businesses in which we invest. We focus on the absolute value of businesses, not their value relative to other “peer” companies or general stock market indices.

We also look to make larger strategic investments in companies where we can add value as a committed partner of management, and in this capacity will make both equity and debt investments, including privately-negotiated transactions. We believe that our unique attributes as a shareholder enable management teams to focus on managing for the long-term and not the next quarter. We are comfortable amassing significant minority positions in companies and in several instances have been the largest non-institutional shareholder of a company.

The MSD Public Equity Group, while focused on making investments in high quality companies that we believe will provide us with attractive returns over the medium to long term, also has the flexibility to invest in event-driven situations, including distressed securities.