F Partners Co-Investment Opportunities - 4 December 2024

Author

Chad Fox
December 04, 2024

F Partners is a Private Investment Office investing in proprietary deal flow across the Private Markets. Co-invest with Single Family Offices, UHNWI and other Professional Investors. 

For any deals included in this email, reply to this email for an introduction.

All introductions are on a NO FEE basis.

Opportunity: Keye

SPV Lead: Fox Ventures and Syntax Ventures

Deal Type: SPV

Asset Class: Venture Capital

Fox Ventures is excited to co-syndicate Keye alongside Syntax Ventures. 

I’ve been very selective when looking at new venture capital investments in the current market but this opportunity was too good to pass up. 

Keye is an AI-powered platform supporting private equity (PE) due diligence by generating deep, actionable insights from raw data in seconds. Unlike traditional methods requiring weeks of manual analysis, Keye can potentially enable investors to assess 10x more deals with precision.

Keye is one of the top performing companies in the latest Y Combinator batch having achieved ~$570k in ARR in 8 weeks since launching. 

 They are already backed by Tier 1 investors General Catalyst, Y Combinator and other key VCs and Angels. 

The round is already oversubscribed but the founder has confirmed our allocation as they want us involved but please review and invest immediately or at least by the end of this week. 

Review / Invest Here: https://angellist.com/i/ZBSwS-u

Opportunity: Fifth Star

Deal Type: Holding Company

Asset Class: Private Equity

Fifth Star is an Investment Holding Company led by serial entrepreneur Sam Yagan and a team of executives who have led top technology companies, most notably SparkNotes, OkCupid, Tinder, ShopRunner, Match Group (Nasdaq: MTCH), Grindr (NYSE: GRND), and IAC (Nasdaq: IAC). 

Given the foreseeable environment in the consumer and consumer-adjacent technology landscape, Fifth Star believes a significant opportunity exists to create billions of dollars in value by building, through acquisition, a multi-business technology enterprise (think very loosely“IAC 2.0”).

Fifth Star have raised ~$285M of their $500M goal from individuals and organizations who have invested in previous entities that they have led and have completed 1 acquisition with a pipeline of ~30+ at different stages of due diligence. 

Opportunity: Bloom Equity Partners

Deal Type:  Fund and SPV 

Asset Class: Private Equity

Bloom Equity is a New York-based technology focused private equity firm that specializes in operations. Leveraging decades of investing and operating experience in enterprise software and tech-enabled businesses across firms including K1, Vista Equity, BlackStone, McKinsey, and others, Bloom offers a compelling mix of growth, liquidity capital, and tailored operational resources to support technology companies in their next stage of growth. The firm’s unique investment strategy allows them to execute multiple transaction types with varying levels of complexity; including succession exits, management buy-outs, carve-outs, and public-to-private transactions. 

Bloom is a co-investment friendly strategy and currently executes transactions utilizing capital from their committed capital Fund I and co-investment from accretive capital partners (including SFO/MFO, strategic technology executives, and institutional groups).

Fund Opportunity:   

  • Bloom is approaching their final close on Fund I - a seasoned primary opportunity (3 of the 5 targeted investments already completed), in a portfolio of profitable (or near break-even) enterprise technology companies which are exceeding early growth and performance expectations (the first investment is already marked at 3.6x).

  • Final close LPs can access the fund at cost, and the strategy is tax advantaged (QSBS eligible investments), with capital commitments called over the next 24mo.  Current base of LPs are UHNW, fund of funds, technology executives and family offices (including the family office of a founder at a Global top 10 PE firm).

  • RESPOND TO THIS EMAIL FOR A FULL DECK AND INTRODUCTION.

SPV Opportunity - “Project Jaguar”:

  • Bloom is under exclusivity on “Project Jaguar”, whose CEO has agreed to partner to continue their growth in the US market by leveraging Bloom's enterprise software expertise. The company is a leading enterprise software provider empowering Fortune 5000 organizations like P&G, Toyota, DHL, and Mercedes to seamlessly access, integrate, govern, and deliver critical data across financial, product & technology, marketing, and supply chain operations. 

  • Approaching breakeven EBITDA with EUR 8m in recurring revenue, Bloom is acquiring the business at a highly attractive multiple (1.58x recurring revenue compared to 3-5x at comparable companies). 

  • The co-invest opportunity now has less than $5m in capacity (with an opportunity to increase co-investment check size through future M&A).   The deal is targeted to close within the next 2 months.

Opportunity: Thrive Financial

Deal Type: Direct or SPV

Asset Class: Private Credit

Thrive Financial Inc. is a financial technology company focused on helping provide affordable Home Improvement financing to underserved US Consumers. Their direct lending assets will provide attractive, stable returns in a volatile macroeconomic environment and are less correlated with the broader equity market.

Deal Terms:

Thrive is offering Private Credit Investors the opportunity to purchase Home Improvement Direct Lending assets with the following terms:

  • Purchase Commitment: $250k - $25M per month over the Term; with a minimum total commitment of $1M. SPV available for small commitments.

  • Term: 12 - 24 months.

  • Asset Mix: purchaser will have the ability to customize the distribution mix and product mix of the Home Improvement Direct Lending assets to meet desired return.

  • Downside Protection: purchaser will have the option to choose from various forms of downside protection to mitigate credit risk.

Key Highlights:

  • Average Borrower FICO of 710, with home improvement loans yielding annualized net returns ranging from 8% - 17%.

  • Home Improvement has outperformed other asset classes, and is getting more challenging to source given recent consolidation of top Home Improvement lenders.

  • Loans may be secured by a UCC lien on the financed home improvement product reinforcing Investor's claim in the event of default.

  • Investors are given the option to add an insurance wrapper to the direct lending assets providing up to 4.5x downside loss coverage, and locking in 8-12% returns.

  • Management team has helped create over $10B worth of fintech value over the last 10 years.

Opportunity: Zeitview

SPV Lead: Mangusta Capital

Deal Type: SPV

Asset Class: Venture Capital

Mangusta Capital is excited to invest in Zeitview, which is an AI-powered inspection platform for renewable energy and sustainable infrastructure disrupting the asset management industry. Today, Zeitview is set to increase efficiency and safety by 10x, and its improvement in assets inspected and value per asset positions it to win a sizable share of next-gen inspection vertical and the $2T renewable energy market.

Last year, Zeitview raised a $55M Series E at a $185M valuation from lead Valor Equity Partners with participation from Union Square Ventures, Upfront Ventures, and Euclidean Capital. They have previously graduated from Y Combinator’s Winter 2015 class. Zeitview is 76.58% investor owned, and is raising a $30M round at a $285M post-money valuation.

Zeitview is expected to generate $47M in revenue, up 113% from 2023, and is projected to reach $120M in 2026. The platform has seen impressive market pull with 140% net dollar retention and uniquely strong support from infrastructure and energy customers like Ericsson (834% NDR), GE (142% NDR), and RES (586% NDR). The Zeitview platform currently supports 200K assets across 80 countries with a presence in growing global energy markets like South East Asia, Australia, China, and Japan. In the first fundraising round since the rebrand from its previous name, DroneBase, Zeitview will continue to support its AI-enabled software and aircraft and smartphone technologies in a global footprint of advanced inspection solutions.

Zeitview was founded by CEO Dan Burton and CTO Matt Falk. Dan is a veteran of the Marine Corps and was formerly an Associate at Goldman Sachs’ TMT Group. Matt is a computer science graduate from MIT, is a former software engineer at Two Sigma, and was previously CTO of geospatial analytics firm Orbital Insight. The company’s leadership is experienced in infrastructure, energy and technology, and brings further experience from companies like Vestas, GE, and NovaSource. The company’s backers include Valor Equity Partners (SpaceX, Tesla, Uber), Union Square Ventures (Coinbase, Etsy, Stripe), Upfront Ventures (PayPal Credit, Ring), and others.

REPLY TO THIS EMAIL FOR INTRO TO MANGUSTA CAPITAL TO EXPLORE THIS OPPORTUNITY

Opportunity: THIA

Deal Type: Direct

Asset Class: Venture Capital

THIA is the best kept secret in AI enterprise solutions.

THIA builds AI-powered applications for enterprise and counts Riot Games, Boeing, KPMG, Booz Allen and several branches of the US government as clients.

Raising up to $5m in a SAFE round.

Network Partners

Ligo Partners is a single family office run by Alec Andronikov (Principal) and Cindy Mihalova (Chief Investment Officer) based in Miami. 

Ligo Partners co-invest with a discrete and invitation-only consortium of like-minded investors into disruptive tech-focused deal flow sourced directly from family offices and top venture capital firms worldwide. 

In parallel, Ligo Partners invests in tech debt financings; tech secondaries; roll-up strategies with a tech component; off-market real estate opportunities and investment funds that have successfully demonstrated at least a 1x DPI metric from prior performance. 

Ligo Partners Live Co-Invest Deals: https://docsend.com/view/9azt98yrvu3zmtay

For any deals included in this email, reply to this email for an introduction.

Advisory hours 🗓

Chad Fox is an advisor to entrepreneurs and family offices through his firm F Partners.

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