Private Equity Firm: Thomas H. Lee Partners

September 22, 2011

Thomas H. Lee Partners is one of the oldest and successful private equity firms in the United States. The firm was established in 1974 and is headquartered in Boston, Massachusetts.  Thomas H. Lee Partners has 13 senior investment partners having an average of 20 years of professional experience. The firm has raised approximately $22 billion of equity capital and invested in more than 100 businesses with an aggregate purchase price of more than $150 billion.

Thomas H. Lee Partners targets companies that can capitalize on key competitive advantages to increase revenue and free cash flow through market growth, market share gains, distribution or product line expansion and/or market consolidation. It emphasizes free cash flow as the key measure of profitability of its portfolio companies. The growth-oriented strategy emphasizes the overall appreciation in the enterprise value of an acquired company.

The firm focuses on industry sectors:

  • Business & Financial Services
  • Consumer & Healthcare
  • Media & Information Services.

Industry specialization allows Thomas H. Lee Partners to identify and capture attractive investment opportunities and drive increased value through attracting and building industry leading management teams, developing detailed operating plans and pro-actively working with management on key strategic operating and personnel decisions.

Thomas H. Lee Partners has been executing growth buyouts for over 30 years. The firm’s investment record, reputation and brand have created a franchise which generates high quality investment opportunities and provides excellent access to the debt and equity capital markets. In investing a fund, it concentrates on the underlying drivers of revenue and profitability for each investment. In constructing a diversified portfolio, the firm focuses on the absolute size of an investment, number of investments, investment pacing, industry concentration and interrelationships among existing portfolio companies.

Thomas H. Lee portfolio companies include prominent companies such as Acosta, inVentiv Health, Sterling Financial Corporation, The Nielsen Company, MoneyGram International, Inc., Warner Music Group, Dunkin’ Brands, Grupo Corporativo Ono, Fidelity National Information Services, Clear Channel Communications and Intermedix Corporation.

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