Profimex selects its partners through a meticulous due diligence process that ensures first-rate management and performance, as well as an alignment of interests with our investors. When selecting an investment partner in general, especially a private equity investment manager, it is critical that senior management have long term experience in navigating the high and low tides of the market, both individually and as a team. None of Profimex’s partners are affiliated entities.
Professional Experience and Tenure
PROFIMEX specializes in co-investments with global, established partners with proven track records. Our experience shows that investing with a local experienced partner improves the risk-return ratio on investments. The senior managers among Profimex’s strategic partners have more than 20 years of average real estate experience. This time span is significant as it reflects activity and experience through different economic cycles.
We adhere to the following principles (among others) when selecting local operating partners:
• Locating partners with a proven track record and specific sector and geographical expertise
• Obtaining right of first refusal for partial equity participation in each investment
• Success-based compensation for managers
• Equity investments by both managers (GPs) and local investors (LPs)
• Ongoing monitoring of managers and periodical decision making regarding future investments
• Protecting investors’ interests in existing investments, including cases of potentially terminating our collaboration with a certain partner.
Managers are tested mainly in times of crisis which are characterized by falling values and challenges such as deleveraging and refinancing. We are proud to say that most of our partners have successfully overcome the recent crisis by firmly protecting the investors’ interests in existing investments and seizing attractive investment opportunities in the unprecedented recent economic environment. Profimex continues protecting investors’ interests in existing investments including cases of terminating the collaboration with a certain partner.