About Alaris
Alaris Royalty Corp. is a Canadian private equity fund that invests in a diversified range of profitable, well-managed private companies around the world (with a focus on North America). Alaris uses an innovative investment structure that provides capital to our investee companies in a manner that maximizes valuations, tax effectiveness and management control.
Our unique structure allows Alaris to invest long-term capital without the need for an exit strategy, unlike traditional private equity. Because forced exit strategies may not be in the best interest of the business owners, the Alaris structure is an ideal option.
Leave the Owner's to Run the Business
Our structure allows Alaris to be a passive monitor of investments without needing to be involved in the day-to-day business decisions. We believe business decisions are best made by the experts who have built the successful companies that we invest in. Our portfolio companies are able to access ongoing capital, remain private and keep 100% of the common voting equity control that they previously enjoyed.
At the same time, investors in Alaris have the unique opportunity to derive a diversified priority-cash return from businesses that have displayed an ability to be highly profitable in varying economic environments. By backing management teams that are still fully motivated by their ownership position to run the business profitably, Alaris investors receive stable monthly dividends based on distributions that are set for 12 months in advance. These distributions to Alaris from the portfolio company typically represent only a fraction of a portfolio company's available earnings.
Revenue That is Highly Predictable
The result for Alaris shareholders is a revenue stream that has low volatility and high predictability due to its "top line" royalty nature. Unprecedented visibility is also created because of the 12 month pre-set payments Alaris receives. Alaris' structure gives it the ability to pay out the vast majority of its revenues in the form of tax friendly dividends, thus providing shareholders with a very attractive yield.
Alaris is now trading on the TSX (as of November 18th, 2008) under the ticker symbol "AD". For more information please send us a message from the contact us page.
