Year in Review 2014 was the most active year since inception for Renovus and its Fund I investors. Renovus deployed over $60 million in five new platform investments, oversaw strong execution by its portfolio companies and made two distributions of operating profits to its limited partners.
New Investments Renovus continued to have success in buying mature and growing niche businesses in the education and training industries. The successful completion of the following five transactions, all outside a competitive process, is testament to Renovus’ deep industry relationships and the power of its one-stop buyout model.
Portfolio Performance and Distributions In 2014, Fund I portfolio saw a double-digit increase in overall EBITDA as well as significant investments in management talent and internal systems. The strong free cash flow generated by its portfolio companies allowed Renovus to make two distributions of operating profits representing a 15% net yield to its investors. The combination of an attractive yield with an all-in return consistent with that of a top-tier private equity fund highlights the benefits of Renovus’ SBIC buyout approach.
Founded in January 2010, Renovus manages a $185 million education and training focused private equity fund based in Wynnewood, PA, a suburb of Philadelphia. Renovus invests in small businesses within the education, training and related sectors, including both educational institutions and companies that provide these institutions with technology, content and services. The firm is particularly interested in profitable but growing niche businesses and actively partners with management to grow portfolio companies through acquisitions, new strategic initiatives and operational improvements. The Renovus team has over 50 years of experience investing in the education industry and the founding partners have been working together since 2005. Renovus' current fund is a licensed SBIC.