Timing
There may be advantages of investing now in this Offer. Despite an uncertain economic outlook, higher quality smaller companies with proven business models, good management and sound financing continue to prosper. There are currently opportunities to invest in such businesses at attractive valuations. Matrix has seen an increase in both the number of and the quality of management buy-out opportunities. This is because: (i) more business owners are coming forward who are prepared to sell their business at a realistic valuation; and (ii) there is reduced availability of bank finance to assist a management team who wish to buy their business. The effect is to increase the number and quality of MBO opportunities for equity investors, including VCTs and Matrix.
