Vancouver Island Web Design
www.acquisition-intl.com • October 2016
GEEKS ON THE BEACH PAGE 36
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The Best Possible Service
Top-Quality Services at a Very Low Price
PINNACLE INVESTMENTS - PAGE 51
In an interview with Peter Francis Geraci of Geraci Law LLC, he lifts the lid on the challenge of providing quality legal services in a shrinking market whilst also maintaining profitability. PAGE 10
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Bright as a Button
MILLIPORESIGMA - PAGE 20
The Leader in Global Payment Processing ALLIED WALLET - PAGE 30
Increasing Member Engagement and Benefits Engagement
Innovation. Leadership. Experience. Design.
FINANCIAL SYNERGY - PAGE 34
CHANNEL PRODUCTS PAGE 66
Setting the Benchmark - Mauritius - Gateway to Africa CKLB - PAGE 52
Most Innovative Business Leader 2016 - Canada
An Expert in Their Field PERO FAMILY FARMS - PAGE 65
RICHARDTYLER I N T E R N A T I O N A L
PETER HOOPER PAGE 75
Editor’s Comment
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Welcome to the October edition of AI magazine, which features the most recent developments in the world of corporate finance, including M&A, investment, accounting and tax.
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We also explore the all-important support services and technology offered by a number of firms who are setting the benchmark for others to follow. For example, the visionary tech billionaire, Dr. Andy Khawaja of Allied Wallet, reveals the work of this remarkable e-commerce company and the extraordinary impact it is having on the world today.
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In recent e-commerce news, Facebook’s Marketplace launch could create a whole new culture of online selling, says the delivery expert ParcelHero. The launch of Facebook’s Marketplace has the potential to transform e-commerce, and should have the likes of Gumtree and even eBay alarmed, says ParcelHero.
Prior to making any investment, AI recommends that any prospective investor should consult with its own investment, accounting, legal and tax advisers to evaluate independently the risks, consequences and suitability of that investment.
On mergers and acquisitions, Ian Wood at Lippincott reveals that are rife within the healthcare sector. The total transaction value in the first half of 2016 rose by 72% over the previous six months, from £7.8 billion to £13.47 billion, according to the Berkery Noyes’ industry trend report.
How to get in touch AI welcomes news and views from its readers.
Southeast Asia is poised to become one of the world’s fastest-growing regions for e-commerce revenues, exceeding $25 billion by 2020. In 2015, the market earned $11 billion despite several acquisitions, market exits, and many online retailers struggling to achieve profitability. While significant challenges persist, Frost & Sullivan remains optimistic about the growth potential of e-commerce in Southeast Asia.
I hope you enjoy the insightful array of features in this issue of AI magazine. Jonathan Miles, Editor Jonathan.Miles@ai-globalmedia.com
Inside...
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NEWS 4
Find us on...
M&A
LEGAL University and Business IP Cooperation to Boost UK Innovation 8 Technavio Announces Top 5 Global Players for the Legal Services Industry from 2016-2020 9 Top-Quality Services at a Very Low Price 10 Geraci Law LLC Experts in the IP Field 13 Am Badar & Partners Why Brand Is Critical to M&A Success 14 Sector Talk 16 with Bureau van Dijk 60-Second Interview: The ‘Best of the Best’ Merger and Acquisitions Skills 19 IBG Business, LLC HEALTH Top 50 in Technology: Bright as a Button 20 MilliporeSigma
2 Acquisition International - October 2016
READ THIS MONTH’S CPD ACCREDITED ISSUE TO GAIN 6 CPD POINTS
Top 50 in Technology: The Leader in Medical Device Integration 22 S·CAPE GmbH CEO 100 – Italy: The Leader in Life Sciences 2016 24 Dompé farmaceutici S.p.A. SUPPORT SERVICES & TECH Mobile Payment to Spearhead Asia-Pacific’s Transformation to Cashless Society 27 Southeast Asia’s E-Commerce Market to Surpass $25 Billion by 2020 Despite Market Challenges 29 Best of the Best in Finance USA: The Leader in Global Payment Processing 30 Allied Wallet 60-Second Interview: The Messiah of the Internet 31 Allied Wallet 60-Second Interview: Putting Customer Needs First 33 OpusVL
Contents
47 The Messiah of the Internet
72
Bright as a Button
25
The Best Possible Service
26
50
Insuring Longevity Risk
Setting the Benchmark
CEO 100 - Sydney: Insuring Longevity Risk 34 Financial Synergy Top 50 in Technology: Vancouver Island Web Design 36 Geeks on the Beach AI’s Social Media Presence of the Year 2016: Sharing Key Messages Across the Global Community 38 Cisco CMO of the Year – Austin: The Best in Identity Governance 40 SailPoint AI’s Biotech Top 50 – USA: The World Leader in Ozone Generators 42 BiOzone Corporation HOSPITALITY The UK Independent Hotel Sector Today 44 Excellence in Hospitality: Suite Success 47 Berry Head Hotel
INVESTMENT
TAX
How the Green Bond Market Works 48 UN Climate Deal: Clear Rules for the Financial Industry Now Needed 49
Flexible Working and Tax Breaks for Start-Ups Needed to Open Floodgates for More Women in Financial Services 58
Best of the Best in Finance - USA: The Best Possible Service 51 Pinnacle Investment LLC
Six Months of Success for First TaxAssist Accountants Australian Franchisee 61
Mauritius - Gateway to Africa: Setting the Benchmark 52 CKLB International Management Ltd
The EBRD Expands the Concept of Sustainability 62
60-Second Interview: Investment Ideas and Opportunities 54 Florman Family Trust 2016’s Alternative Investment Top Twenty-Five – Japan: The Best in Hedge Funds 55 Stats Investment Management Co., Ltd ACCOUNTING Majority of Public Sector Organistions Still Using Outdated, Resource Heavy and Inefficient Methods of Invoicing 57
SUSTAINABILITY
An Expert in Their Field 65 Pero Family Farms MANUFACTURING National Manufacturing Day Showcases Key Role of Recycling in U.S. Economy 67 PERSONNEL Skilled Staff Shortages Check Post Brexit Small Business Bullishness 69 Does Your Organisation Have a Happiness Strategy Yet? 70 New Global Careers Website Launches for the Finance Industry 71 AI’s Recruiter of the Year 2016: The Best in Recruitment 73 C&C Search WINNERS’ DIRECTORY 78 Acquisition International - October 2016 3
News: from around the world
eBay-Facebook Face-Off! Facebook’s eBay-Gumtree Rival Could Transform E-Commerce Facebook’s Marketplace launch could create a whole new culture of online selling, says e-commerce delivery expert ParcelHero. The launch of Facebook’s Marketplace has the potential to transform e-commerce, and should have the likes of Gumtree and even eBay alarmed, says e-commerce delivery specialist ParcelHero. ParcelHero’s head of consumer research, David Jinks MILT, said “make no mistake, despite the relative lack of fanfare around its launch, Marketplace is a game changer. Facebook probably has around 30 million UK registered users and 1.5bn globally and many of them use Facebook daily, if not hourly! It’s such a comfortable environment that it could make selling and buying an unwanted item as routine and automatic as putting on your slippers.”
Jinks continued: “While the likes of eBay and even Amazon won’t be quaking in their boots yet; perhaps they should be. Initially Marketplace will just be a ‘classifieds’ type space for ordinary people finding new homes for items; but professional sellers would be foolhardy to ignore access to this huge audience for their products. Whether it’s by the front door or the back door professional traders running eBay and Amazon shops will be looking to sell on the site.”
The entries are sorted by category and location; making buying and selling extremely easy. Also, sellers can choose whether to have buyers pick up items or whether to send them by courier.
Jinks added, “furthermore, it’s a good bet that Facebook is well aware of Marketplace’s appeal for professional traders, and will be looking at ways to open up the App for wider e-commerce opportunities. We could see a solution in which businesses pay for entries whereas it remains free for ordinary members in the future.”
Jinks said, “using Marketplace is as easy as using any other element of Facebook; buyers and sellers can work out the details of a sale in any way they choose. Facebook does not facilitate the payment or delivery of items in Marketplace, it’s up to users to sort out the details. What will give Marketplace such an advantage over sites such as Gumtree is the sheer number of existing users who feel entirely confident in the Facebook environment.”
Twin Design / Shutterstock.com
4 Acquisition International - October 2016
Already more than 450 million people visit Facebook’s buy and sell groups each month, from families in a local neighbourhood to collectors around the world. Marketplace will un-tap a far wider market and has the potential to transform local e-commerce; especially if it is opened to local traders. Jinks observed, “sellers should be aware that Facebook doesn’t handle any shipment of items however. With this in mind it’s best advised to use established quality courier services to ensure signatures are obtained on delivery. It will pay to shop around. For example, ParcelHero’s parcel broker services are all covered by an unmatched free £50 insurance cover on all shipments, which also gives peace of mind to inexperienced sellers.” He concluded that “the real wonder is not that Facebook has taken this step; but why it’s taken so long! Of course, it is not the first time it has tried to expand into the second-hand market. Facebook originally launched a desktop-only classifieds marketplace in 2007. But it’s the way Marketplace fits seamlessly into every other Facebook activity on your mobile or tablet that makes this a potential super-Marketplace.” For more details about online marketplace fulfilment see: https://www.parcelhero.com/en-gb/courierservices/ebay
NEWS / From Around The World
Warburg-HIH Invest Acquires ‘Brückenquartier Property Development in Hamburg-Harburg from Lorenz Group Warburg-HIH Invest Real Estate recently acquired the Brückenquartier property development in Hamburg’s southern district of Harburg for the portfolio of ‘Immobilien-Fonds Norddeutscher Versorgungswerke’, a real estate special AIF of northern German pension schemes. The salepurchase transaction took the form of an asset deal.
The planned construction of a mixed officecommercial building with a gross lettable area of 8,531 square metres at the ‘Harburger Binnenhafen’ development site on the corner of Veritaskai and Theodor-Yorck-Strasse in Hamburg is expected to be completed by early 2019. The property will feature a large-scale retail area of 2,050 square metres on the ground floor, and 6,281 square metres of flexibly divisible office accommodation on the five floors above. Also part of the investment asset are 65 underground parking spots for the office occupiers, and another 70 parking spots for shoppers. A 15-year lease for the retail area of 1,850 square metres has already been signed with the renowned EDEKA food multiple retailer. Also part of the retail premises are another two smallish storefront units that are still to let. The Harburger Binnenhafen brownfield at the site of the former inland port has been undergoing a structural shift since the 1990s. City hall intends to redevelop the site with attractive residential quarters along with high-spec businesses, and several property developments are currently going through the planning stage at the same time. Hamburg-Harburg boasts a sound transportation infrastructure including its own railway station (longdistance and rapid transit), and the vicinity of the site is dotted with local amenities.
within the Harburger Binnenhafen development area, it represents a safe commitment for our investors,” said Hans-Joachim Lehmann, managing director of Warburg-HIH Invest and in charge of the domestic transactions division. Warburg-HIH Invest received legal and tax counsel from the Hamburg branch of Hogan Lovells International LLP. In technical matters, the buyer was advised by ES EnviroSustain GmbH. The transaction was brokered by Angermann Investment Advisory AG. The property was sold by PBH Projektgesellschaft Brückenquartier Harburg mbH, a subsidiary of the Hamburg-based Lorenz Gruppe GmbH. For more details, visit: www.warburg-hih.com
British Forces TV Weather Contract Awarded From 1st October, viewers of Forces TV have been able to see a new look weather forecast. Viewers of British Forces TV around the globe are getting new look weather forecasts with state of the art graphics following the signing of a new contract. The new service comes directly from the firm’s operations centre and broadcast studios based at the firm’s headquarters in Exeter. The Met Office have been working closely with British Forces Broadcasting Services (BFBS) to ensure the weather service for British Forces personnel and their families provides them with bespoke information wherever they are around the globe. The Met Office has a long standing relationship with the MoD and the UK military and has directly supported British and allied operations worldwide for over 100 years. They deploy forecasters all over the world, working alongside UK and allied forces, playing a key role in advising on the impacts of weather and other environmental factors on operations. Wayne Elliott, head of international defence, at the Met Office, said: “we’re really proud to be continuing our partnership with British Forces TV. Our TV presenters are meteorologists and experts in their fields; many of them have worked in the military environment and know the location where the weather is being used, which means we can make our shows much more engaging for viewers.” Mark Popescu, head of news at BFBS, said “we know the international weather forecast is important to service personnel and their families posted overseas and we are delighted they will continue to benefit from Met Office expertise.” Viewers will be able to see Forces TV weather bulletin every weekday at 1300, 1730 and 1900 and at weekends at 1500 and 1900.
“The property development will be easy to let because of the high quality of the building and of its floor plate, but also because of its excellent alternative use potential. With its vantage position
Acquisition International - October 2016 5
News: from around the world
Nuxeo Appoints Steve King and Dave Kellogg to Board of Directors Nuxeo, developer of a leading Enterprise Content Management (ECM) platform which enables organisations to manage complex digital content at massive scale, recently announced the expansion of its board of directors with the addition of Steve King as Executive Chairman and Dave Kellogg as Independent Director. The announcement follows the completion of Nuxeo’s recently announced Series B funding round which totalled $30 million.
“Nuxeo is delivering an essential solution that meets the urgent and exploding market demand for next-generation ECM technology that will manage today’s complex digital content at massive scale,” said Eric Barroca, CEO, Nuxeo.
for digital transaction management. Earlier he led ZANTAZ, Inc. as president and CEO where, under his seven-year leadership, it grew to become the recognised market leader in cloud-based content archiving and e-discovery solutions.
“Faced with the increasing complexity, volume and diversity of digital content, organisations need a powerful and flexible solution that will enable architects and developers to easily build and run the applications that power business. The addition of Steve and Dave to our board will provide the expansive vision and experience Nuxeo needs to quickly capitalise on this ‘white hot’ market opportunity as we act quickly to execute our business strategy for global expansion.”
King also served in multiple executive positions at E*TRADE, becoming the CEO of E*OFFERING, a pioneering online investment bank of E*TRADE. He currently sits on the boards of multiple startups. King earned a bachelor’s degree in business administration and an MBA from Thomas Edison State University.
Steve King is a veteran enterprise software executive and distinguished visionary in the electronic document and digital content market. Most recently he was CEO of Recommind, a leading provider of eDiscovery and information analytics which was acquired by OpenText. Prior to that he served as CEO of DocuSign, the global standard
6 Acquisition International - October 2016
“Nuxeo has a tremendous opportunity to lead the next generation of cloud-scale digital content and asset management. With innovative technology, impressive customer successes and a growing global infrastructure the company is primed for success,” said King. “I look forward to helping to chart the company’s growth during such a pivotal time.” Dave Kellogg is an enterprise software thought leader, executive, strategist and marketer. Currently
he is the CEO of Host Analytics, the leader in cloudbased enterprise performance management (EPM) solutions. Prior to Host Analytics, Kellogg served as the senior vice president and general manager of the Service Cloud business unit of Salesforce. com. He has also served as CEO for MarkLogic and has held marketing executive positions with Business Objects, Versant Corporation and Ingres Corp. He holds a bachelor’s degrees in Geophysics and Applied Mathematics from the University of California, Berkeley. “The digital content explosion is driving opportunity like never before. Nuxeo is right at the heart of this change, delivering a flexible yet powerful platform that enables business applications to not just manage, but truly use, content in new and transformative ways,” said Kellogg. “I look forward to working with this creative, passionate team to accelerate market adoption and to drive the future of ECM technology.” More information is available at www.nuxeo.com
NEWS / From Around The World
Equiteq Sells SAP Data Management Consultancy to SNP AG Equiteq, a consulting sector M&A specialist, is pleased to announce the sale of Harlex Management Ltd (Harlex Consulting) to SNP SchneiderNeureither & Partner AG. Equiteq acted as exclusive financial advisor to Harlex Consulting. The transaction completed on October 1st 2016.
Founded in 2010, Harlex Consulting was recently named in the Sunday Times Hiscox Tech Track 100 listing of the fastest growing private technology companies in the UK and it is a gold service partner of SAP. The company specialises in helping clients to define and drive clear business advantage through data transformation and data governance. The firm uses a proven in-house best practice methodology to lead and deliver the migration of business critical data within M&A, carve out and systems implementation. “The clear focus on corporate IT transformations as well as the structured project approach make Harlex Consulting an ideal partner: SNP will gain access to a highly trained team of experts in the field of SAP data migration. Harlex Consulting also possesses an impressive customer base and extensive project experience. Furthermore, the acquisition will enhance the SNP Group’s presence in the British market. The cooperation offers significant synergy and sales potential,” says Dr. Andreas SchneiderNeureither, CEO SNP AG.
Gabriela Silvestris, director in Equiteq’s London office, commented, “it has been an absolute pleasure to work with the shareholders of Harlex Consulting. In such a short space of time, they have built a remarkable leadership position in the industry which is clearly underpinned by their key competencies and methodologies in SAP data migration and management.” Ben McGrail, managing director of Harlex Consulting, said “we are delighted to be joining the SNP group. This deal will greatly enhance the services we can offer our clients and provide the springboard for growing the SNP business in the UK. We are very pleased with the outcome of the transaction and are grateful for Equiteq’s invaluable support throughout. Gabriela’s guidance, professionalism and M&A expertise was fundamental in finding the right partner for us and then structuring, negotiating and successfully completing the deal.”
www.equiteq.com www.snp-ag.co
Met Office Awarded ITV Weather Contract From Monday 3rd October, ITV viewers saw a new look to their weather graphics as part of a new contract signed with the Met Office. This agreement strengthens the relationship between the UK’s most watched commercial broadcaster and the UK’s national weather service, and affirms ITV’s position as the broadcast home of Met Office Weather. The Met Office has been providing weather services to ITV for over 25 years, and has worked with ITV on the new look weather Graphics, has been launched on air across ITV’s national, regional, and Good Morning Britain bulletins. Rob Varley, chief executive of the Met Office, said: “The Met Office is proud of its long association with ITV. The new service we’re launching is the latest exciting development in our work together and will ensure ITV’s UK audiences continue to receive our trusted forecasts and critical warnings so they are prepared for whatever the weather may bring.” Michael Jermey, ITV’s director of news and current affairs, commented: “We are pleased to be extending our established working relationship with the Met Office, who continue to provide the highest quality and most accurate weather forecasts for our audiences. The new look weather service we have developed which is on air means even more detailed forecasts for our audiences across the UK.” ITV commissioned research to understand how current viewers and consumers engage with the weather and the results have helped shape the new design of weather graphics and presentation. Research undertaken by the broadcaster showed that viewers valued the delivery and reporting provided by ITV’s Weather presenters, but were keen to see a graphics system in ITV’s weather broadcasts that gave a greater visual understanding of how the weather will impact their location, and a stronger sense of how the weather changes over time in their local area. The new ITV graphics see the traditional graphics and symbols of previous broadcasts being replaced with more lifelike high resolution maps. These, combined with animated weather effects and a detailed local breakdown across the UK will help the audience understand what to expect hour-by-hour through the day.
Acquisition International - October 2016 7
LEGAL / University and Business IP Cooperation to Boost UK Innovation
University and Business IP Cooperation to Boost UK Innovation Baroness Neville-Rolfe Minster for Intellectual Property launched Lambert 2 - a vital negotiation toolkit aiming to bolster collaboration between universities and businesses across the UK - on 6th October 2016.
T • • • • •
he updated negotiation toolkit includes a set of:
decision guides to identify which agreement you could use for your circumstances; model agreements to commence your negotiations; 11 model (one to one and multi-party) agreements; additional agreements for when additional parties join your projects and; substantial guidance notes to take parties through the process of identifying and using the model agreements.
Lambert 2, developed by the UK Intellectual Property Office (IPO), builds upon the successful
‘Lambert Toolkit’ which has streamlined knowledgeexchange between the worlds of higher education and business since 2014. During the Lambert era collaborative research has increased by 9.9 per cent to £1.26bn and income generated as a direct result of intellectual property has increased by 18.5 per cent to £155.4million. Baroness Neville-Rolfe, Minister of State for Energy and Intellectual Property said: “Innovation and creativity are vital to the UK economy. Marrying the R&D expertise of universities and the entrepreneurial excellence of UK business will help cement the UK’s position as an IP world-leader. “This government is committed to doing everything it can to help boost collaboration between business and universities. Lambert 2 fosters an environment
of trust between research partners by helping protect parties to protect their hard-earned IP rights. Only this week the Chancellor announced a £120m fund to incentivise research collaboration in tech transfer. A number of successful joint R&D projects have been completed under Lambert. The University of South Wales used the Lambert toolkit to collaborate with a multinational organisation allowing them to produce a novel tuneable laser for high precision metrology. The IPO is exporting the Lambert concept across the world. It is already in use in China, India, and South Korea. A Brazilian version of the Lambert toolkit to facilitate and promote R&D and tech transfer collaboration is underway and there are plans for Lambert to be introduced in Vietnam and South Africa are under consideration. Nicola Dandridge, chief executive of Universities UK, added: “The launch of the Lambert Toolkit was an important step forward in reducing barriers to university-industry research partnerships. 11 years on, universities’ engagement in collaborative research with industry is stronger than ever, and the Lambert Toolkit remains a valued reference for simplifying the negotiation of collaboration agreements. We welcome this update as an opportunity to ensure the Toolkit addresses evolving challenges in this area and incorporates lessons learned from its implementation.” Malcolm Skingle, director of academic liaison, at GSK said: “Collaboration between businesses and universities is extremely valuable. It is very promising to see the hard work that has gone into making IP negotiations as streamlined as possible. Lambert has made knowledge sharing and partnership working far more straightforward and cost effective. I look forward to our future R&D projects with universities across the UK.” The UK Intellectual Property Office is responsible for Intellectual Property (IP) rights in the United Kingdom, including patents, designs, trademarks and copyright.
www.gov.uk
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LEGAL / Technavio Announces Top 5 Global Players for the Legal Services Industry from 2016-2020
Technavio Announces Top 5 Global Players for the Legal Services Industry from 2016-2020 Technavio’s latest market intelligence report has listed the top five leading suppliers for the legal services market until 2020. These suppliers implement the proprietary approach to differentiate themselves from competitors as well as to help clients save on costs. Their expertise and wide service portfolios gives them the ability to provide proprietary services that can cater to specific buyer requirements in specific subcategories
ompetitive landscape Although, the legal services industry is largely dominated by global players, the small service providers have an advantage over the global players in terms of regional expertise. The major buyers of legal services are mostly from industries such as large pharmaceuticals, healthcare, automotive, FMCG, media and entertainment, and retail sector.
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To stay ahead of market competition, suppliers are adopting various approaches, some of which include operating on low profit margins, offering proprietary products, and expanding product portfolios to evolve into one-stop shops that can cater to all legal service requirements of large organisations. About the top five legal service providers Baker & McKenzie Baker & McKenzie has the capability to provide legal services to various industry sectors including energy, government services, healthcare, and automotive. The company has strong financial backup and is best known for its work in mergers and acquisitions, corporate restructuring, and financial services. Some of the key services provided by the company include:
• • • • • • •
Antitrust and competition Banking and finance Dispute resolution Energy, mining, and infrastructure Environmental Mergers and acquisitions DLA Piper
DLA Piper tops the charts in terms of the number of mergers and acquisitions on a global scale for the fifth consecutive year. Recognised as a top global outsourcing advisory by the International Association of Outsourcing Professionals in February 2016, the firm demonstrates expertise on in dealing with a wide array of legal issues of corporates and businesses. Over a thousand lawyers from DLA Piper have been termed as ‘the best’ by several directories in their respective areas of legal practice. Some of the key services provided by the company include: • Capital markets • Emerging growth and venture capital • Fund formation and investment funds • Mergers and acquisitions • Private equity
• •
Administrative law Latham & Watkins
Latham & Watkins operates across industrial sectors such as aerospace, defence and government services, communications, oil and gas, and mining and metals. The company provides and online portal with a wide selection of education programs on various legal practices, accessible at any time. Some of the key legal advisory services provided by the company include antitrust, joint ventures, and strategic alliances. Clifford Chance Ranked the number law firm in the Global Top 30 Chambers list of 2015, Clifford Chance demonstrates its expertise across various legal practice areas. The company’s services cover clients across industries such as banks, consumer goods and retail, energy and resources, and healthcare and life sciences. The company provides expertise in the following areas: • Capital markets • Corporate • Finance • Litigation, dispute management • Real estate • Tax, pensions, employment, and incentives • Allen & Overy In January 2016, Allen & Overy was ranked the top legal advisor for private equity buyouts in Europe. The company offers several online platforms that have enhanced security features and simplify clients’ access to legal documents. Some key services offered by the company include: • Corporate governance and compliance • Emerging markets • Environment and regulatory law • Public international law • Intellectual property • Corporate consulting services, and mergers and acquisitions
www.technavio.com
Acquisition International - October 2016 9
1610AI25
Name: Peter Francis Geraci Company: Geraci Law LLC Email: help@geracilaw.com Web: www.elimadebt.com Address: 55 E Monroe St. #3400, Chicago IL 60654 Phone: 1-800-CALL-PFG
60-Second Interview
Top-Quality Services at a Very Low Price Geraci Law provides debt relief services to individual consumers. Clients ask Geraci Law every year to eliminate or consolidate over $1.2 billion in debt by filing a Federal Court bankruptcy proceeding. Geraci Law is one of the largest U.S. law firms providing bankruptcy relief. The firm has 32 locations in the U.S., in Illinois, Indiana and Wisconsin, with over 100 attorneys and paralegals. In an interview with the firm’s, Peter Francis Geraci, he lifts the lid on the challenge of providing quality legal services in a shrinking market whilst also maintaining profitability.
hat products and services does your firm provide? The type of debt Geraci Law manages is that common to the individual: personal loans, credit cards, mortgage defaults, vehicle loans, medical and accident-connected debt. The firm’s founding member, Peter Francis Geraci, is also the president of Professional Financial Guidance, which provides educational programs to individual debtors, nationwide. Geraci Law is also certified by the Illinois Supreme Court to provide mandatory continuing legal education to other attorneys.
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“The main challenge is to provide quality legal services in a shrinking market and maintain profitability.” What does your client base look like? Unlike a firm serving a corporate client, Geraci Law clients are individuals. They range from professionals with incomes no greater than $120,000 per year, who seek a consolidation program to repay debt, to the working poor with a poverty level income, to those who are pensioners, retired, or disabled. What are your firm’s unique selling points? Geraci Law concentrates in consumer bankruptcy law, with a side specialty in serious injury claims. Consumer bankruptcy is not considered an attractive area of law, since the opportunity to serve a well-heeled corporate client and bill out millions for defence or prosecution of a commercial claim is not present. Geraci Law, however, provides topquality services at a very low price point. There are only 10 or 15 consumer bankruptcy law firms in the entire U.S. that have more than 10 attorneys, and fare less that file even 10% of Geraci Law’s 10,000 cases a year.
10 Acquisition International - October 2016
What are the main challenges facing your company today? The main challenge is to provide quality legal services in a shrinking market and maintain profitability. Due to the Great Recession that followed the U.S. mortgage industry scandals, there are far fewer bankruptcies in the U.S. each year. The number of filings has been dropping 6-10% each year in the last 5 years. Geraci Law, however, has met the challenge by actually growing, taking more market share, and increasing profitability. What are the main objectives for your business in the future? Geraci Law is a mature law firm, having been founded in 1977, and approaching 40 years of law practice. It has grown from a one-attorney office with used furniture, to a mid-sized, multi-state professional practice with hundreds of thousands of clients served. The future will require increased use of technology, increased continuing legal education, and development and refinement of algorithms for successful law practice at low cost. Geraci Law operates with a proprietary software authored by its founder, Peter Francis Geraci, its own IT department, and operates its own VPN. Continued software development is a paramount objective. What business or business person do you most admire and why? Abraham Lincoln gets the nod. Peter Francis Geraci is the 4th generation of Illinois lawyer in his family. His great-great grandfather, Francis A. Hoffmann, was a German immigrant who came to Chicago in 1844, became a Lutheran pastor, married an English woman, read for the bar, became an attorney, helped found the Republican Party, and was elected to Lieutenant Governor of Illinois on the 1860 Lincoln ticket, serving though the Civil War. Mr. Geraci’s great grandfather and grandfather were also attorneys, as is Mr. Geraci’s sister. Interestingly, the United States Constitution provides that Congress shall establish a uniform bankruptcy law. That is quite unique in the world.
LEGAL / 60-Second Interview: Top-Quality Services at a Very Low Price
In 1842, Congress did pass a bankruptcy law in response to one of the U.S.’s 10-year cycle of financial panic. About half of Lincoln’s law practice from 1836 to the time he was elected president was debtor-creditor cases. Lincoln became the largest filer of bankruptcy cases in Springfield Illinois under the 1842 Bankruptcy Act. The ability to legally adjust ones debts without losing hearth and home, and obtain a fresh start, is unique to America. America was founded in large part by refugees from Europe’s debtor prisons long ago.
Acquisition International - October 2016 11
1609JR36
SOTERIS PITTAS & CO LLC is a boutique law firm, in size only, focusing on the areas of law related to business activity and dedicated to providing its clients with outstanding, highly personalized, legal representation. The lawyers and associates of the firm with their combined skills-set and knowledge can provide comprehensive legal solutions according to the clients’ particular business needs, requirements and objectives. We are committed to representing our clients at all stages of disputes, including negotiation, mediation, arbitration, and litigation, in order to secure just compensation and legal vindication. Our corporate and M & A departments provide full-fledged support ranging from formation of companies worldwide to legal support in complex corporate, commercial and finance transactions. The Firm has close links and strong associations with reputable audit firms, private equity managers, and fiduciaries in Cyprus, Russia and the former CIS countries. We thank our clients for selecting our firm to represent them, and we will continue to work hard to provide them with top quality legal representation with the personal touch characteristic of a boutique law firm.
info@pittaslegal.com
pittaslegal.com
LEGAL / Experts in the IP Field 1608CG34
Company: Am Badar & Partners Name: Nadia Am Badar, S.H Email: info@ambadar.co.id Web: www.ambadar.co.id Address: Jl. Wahid Hasyim No 14 Jakarta Pusat Indonesia 10340 Phone: +62 21 392 2011, +62 21 398 37314
Experts in the IP Field Am Badar & Partners is one of the leading intellectual property (IP) firms in Indonesia. The firm was founded by Mr Toetoen Ambadar, SH and established as legal entity in September 1965. Now it is one of the most prestigious law firms in the field of intellectual property rights in Indonesia. We offer a wide range of specialist services for the prosecution, protection, commercialisation, enforcement and management of all types of IP in Indonesia. ll members of the firm are highly qualified and well versed in the subjects of their specialisation. The work of or firm is dealt with by professional staff of IP administration, IP technological experts and IP litigators. The firm’s work covers all areas of legal practice, with a special focus on intellectual property laws and their applications. Am Badar & Partners has hundreds of associates and foreign agents, all of which represent thousands of applications for intellectual property rights all over the world.
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In order to develop the work of Am Badar & Partners, we have become members of several international organisations in intellectual property rights such as INTA, AIPPI, APAA, and ECTA. We offer a wide range of specialist services for the protection, commercialisation, enforcement and management of all types of IP in Indonesia.
“Our company focus in handling IP and related IP matters only and we are supported by monitoring system for handling IP matters.” Industrial Design We have handled industrial design applications with the Indonesian Design Office. According to Industrial Design Law no. 31 of 2000, the industrial design is defined as the creation of the shape, configuration or the composition of lines or / and colours. It can also incorporate the combination of this in a three or two-dimensional form, which gives an aesthetic impression and can be realised in two or three dimensional patterns, and for products, goods industrial commodities for example. There are many industrial designs that we handle, including ceramics, bottles, car design, food packaging, dolls and the shape of pens, motorcycles and cigarettes. We handle industrial design applications from domestic and foreign companies. It is worth noting that industrial design
will be protected for 10 years in Indonesia and this period, its design will be in the public domain. We can see the total number of industrial design applications filed by domestic and foreign companies with Indonesian Design Office from 2012 up to 2015 as listed below. Besides handling industrial design applications, we also give the legal opinion relating to the possibility of the infringement of the industrial design itself. Helping clients protect their copyright By conducting a private investigation and sending a warning letter (and also providing comprehension) to the infringer of our client’s copyright. Beside sending the above mentioned activities, we also suggest to our client that even though the Indonesian copyright system is a declarative, we still suggest our client to file the registration of their copyrights. Unique selling points Our company focus in handling IP and related IP matters only and we are supported by monitoring system for handling IP matters. Specific trends in the IP industry The Indonesian government recently published the new Indonesian Patent Law No. 13 of 2016 on August 26th 2016. There are a new things regulated in the new law, including that the new Indonesian patent law does not implement a null and void situation anymore, if the patent holder does not fulfil their obligation to pay the annual fees. In the meantime, according to the above article, a patent will automatically be deleted by the Patent Office if the patent holder does not pay the annual fee within the period specified in article 126, namely six months from the issuance date of the patent certificate. Finally, we admire the business who can put trust in their people, and demonstrating the quality of professionalism above everything else. We are developing our online database and registration services for trademark searches, patents, trademarks, design and also copyright filing. With these tools, our clients can access the latest status of their applications.
Acquisition International - October 2016 13
Why Brand Is Critical to M&A Success Mergers and acquisitions are rife within the healthcare sector. Total transaction value in the first half of 2016 rose by 72% over the previous six months – from £7.8 billion to £13.47 billion, according to the Berkery Noyes’ industry trend report.
uge deals, including the multi-billionpound merger of healthcare information and tech services company IMS Health with Quintiles Transnational Holdings, will shine a spotlight on the operational issues of M&A activity. But many of the M&A deals that don’t realise the potential envisioned for them cite ‘soft’ issues as the cause of failure; they are legally and financially sound, but culturally fractured or without direction.
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They use brand as a bigger force to successfully bring firms together, united under a single idea and thereby deliver meaningful and enduring impact for the new entity. Used as a touchstone for setting the integration agenda, brand can separate winning deals from disappointing mash-ups. More specifically, brand can:
CEOs and leadership teams therefore would be wise to consider the emotional journeys of the management, employees, customers and partners and use the brand as a lever in smoothing the journey.
Create a shared purpose One of the biggest challenges in a merger is melding two distinct cultures, each of which is strongly bought into the culture they already have. But brand is a great unifier. A shared brand purpose, built from key cultural legacies of each firm, can galvanise teams under a new and better idea.
All too often, brand is seen as graphical, peripheral or a marketing tool – something of an afterthought and delegated to marketing and communications – not, as can be the case, the central organising thought, answering the question of why the company exits.
Great brand purposes don’t just align cultures and values; they tell a compelling story about why the company does what it does and the value it brings to customers and stakeholders.
A select group of companies has shown that this is a tremendous mistake. The brand-savvy leaders of GE, IBM, 3M and Nokia, to name a few, put brand in the centre of their integration decision-making.
Use design to signal a new vision The name and identity of a combined organisation send a strong signal that positions the company for the future. The company name, just like any other asset, merits a rigorous, fact-based assessment
that carefully considers the business vision for the merger and what best encapsulates the combined company’s strategy. Bringing methodological rigour to such questions will not only help determine brand changes, an analytical approach can also temper defensiveness and ego involvement among corporate colleagues, thereby boosting critical internal support during the change process. Think of a visual refresh - be it a new visual system with an existing logo, a merging of the equities of the two companies, or a complete reinvention - as a unique chance to add new emotion and energy to the company, helping to convey the new company’s dynamic aspirations. In this sense, simplicity and beauty delivered through design can be transformational — imparting to all stakeholders a sense of a new beginning and shared ownership in the new enterprise. In short if brand – emotion to a purpose - is put at the heart of the change, as Delta did when it acquired Northwest, then the merger has a higher chance of success. Exxon’s merger with Mobil was equally brand driven as was Sprint combining with Nextel, and, in pharma, Watson combining with Actavis. And there is no doubt that Bank of America’s design refresh after the acquisition of Countrywide and Merrill Lynch created a strong, inescapable signal of a new ambition. Prioritise the employee team Employees typically face significant uncertainty as they move from their legacy company into a merged company. Bringing them into the process early is mission critical. Employees want to find a sense of belonging in the new organisation and be part of something that’s bigger than themselves — something that embodies the DNA, culture and capabilities of the new firm. That ‘something’ is brand. Merger integration is a time when teams are paying attention, ready for involvement and eager for communication and direction. So the best companies rush into this opportunity with multifaceted brand-engagement programs that are exciting, participative and inclusive — and set the tone for how to communicate values and attributes associated with the new identity.
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M&A / Why Brand Is Critical to M&A Success
Embrace brand as a strategic compass When brand issues are addressed too late in the integration process, brand decisions tend to focus on what is easiest to execute quickly as opposed to what will create lasting value. At each stage of the deal process, the brand steering committee or team responsible for overseeing the rebranding effort needs to define what has to be done, who will be involved and how developments and findings will be reported. Then progress can be tracked when it comes time to forge consensus on key decisions. Leaders who see brand’s full potential — well beyond name and logo — gain a significant leg up on the challenges of uniting companies and cultures. Viewed in the broadest strategic sense, rather than as a name-and-logo exercise, brand becomes a compass or lever for synchronising the company’s internal culture with the face and values it presents to the outside world.
Company: Lippincott Name: Ian Wood, Senior Partner Email: info@lippincott.com Web: www.lippincott.com
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Telecommunications Sector M&A Company: Bureau van Dijk E-Mail: bvd@bvdinfo.com Web: www.bvdinfo.com
Both the volume and value of deals targeting the telecommunications sector declined considerably in the first half of 2016, with value falling at the steeper rate. According to Zephyr, the M&A database published by Bureau van Dijk, there were 749 transactions worth a combined USD 55,238 million signed off over the six months. ince the end of June dealmaking activity appears to have remained at similar levels to those recorded in the year’s opening six months. From the start of July onwards there have been 305 transactions worth a combined USD 27,134 million signed off. If activity continues on this trajectory value would come very close to equalling the USD 55,238 million generated in H1, although volume would still fall short. In every year since 2012 H2 has surpassed H1 in terms of value, meaning we may yet see some large deals announced which could boost aggregate considerations in the run up to the end of 2016. Nevertheless, it would take a lot for value to even come close to the USD 232,873 million invested in H2 2015, although it is worth bearing in mind that this represents the highest value for a six-month period on record for the telecommunications sector. As things stand 2016 looks like being the lowest-performing year since 2012 for the industry, although this may be more of a hangover following 2015’s all-out dealmaking extravaganza, rather than an indication of things to come in the next few years.
to date was announced during H2 as Tech Data Corporation agreed to pick up the technology solutions business of Avnet for USD 2.60 billion in September. Other sizeable telecoms deals include Tianjin Tianhai Investment Co’s USD 6,009 million takeover of US-headquartered Ingram Micro.
As usual, a few large deals account for a sizeable portion of all telecommunications investment in the year to date. Interestingly, the largest telecoms deal of 2016 so far was signed off during H2 as Vodafone India completed a USD 7,147 million private placing to Vodafone Group. This deal alone accounts for 26 per cent of the USD 27,134 million injected into telecommunications companies since the beginning of July. Only one other of the year’s top ten deals
In conclusion, the second half of 2016 does not look likely to improve on H1 and will surely be some way off the impressive levels generated in 2008. Nevertheless, the last time H2 did not surpass H1 was back in 2011, so we may at least see the second half of the year improve on the first. It will be interesting to observe whether results recover next year or whether this is the beginning of a longer period of decline.
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The Far East and Central Asia has attracted the most investment in 2016, with countries in the region having been targeted in deals worth a combined USD 30,336 million. This is perhaps unsurprising given that four of the year’s top ten deals to date feature targets headquartered there, including the transaction ranked number one. These four deals are worth a combined USD 14,301 million, meaning they represent 17 per cent of 2016’s total telecommunications value to date. Western Europe and North America also placed highly, coming second and third with USD 24,045 million and USD 21,435 million, respectively. In terms of volume Western Europe and the Far East and Central Asia switched places as the former led the way with 422 deals and the latter came second with 291, while North America was again third with 138.
M&A / Sector Talk
Number and Aggregate Value (mil $) of Telecommunications Deals Globally: 2006-2016 YTD (as at 30 September 2016)
Number and Aggregate Value (Mil $) of Telecommunications Deals Globally by Sector: 2006-2016 YTD (as at 30 September 2016)
Deal Number half yearly value of deals (Announced date)
Aggregate deal value (mil $)
Zephus classification (target)
Number Aggregate of deals deal value (mil $)
H2 2016
27,134
Communications
13,053
1,991,598
Computer, IT and Internet services
2,931
329,048
Personal, Leisure & Business Services
1,681
228,765
Wholesaling
3,746
104,800
Retailing
721
103,238
Industrial, Electric & Electronic Machinery
757
87,600
305
H1 2016
749
55,238
H2 2015
876
232,873
H1 2015
1,048
121,279
H2 2014
929
95,476
H1 2014
796
93,000
H2 2013
930
232,250
H1 2013
783
110,916
Banking, Insurance & Financial Services
324
32,120
H2 2012
701
64,078
Utilities
384
31,329
Printing & Publishing
149
29,898
Construction
581
25,232
Metals & Metal Products
104
13,918
Mining & Extraction
85
10,952
Transport, Freight, Storage & Travel Services
151
9,745
Property Services
142
7,733
Transport Manufacturing
30
5,584
Public Administration, Education, Health Social Services
74
1,355
Miscellaneous Manufacturing
25
1,251
Chemicals, Petroleum, 50 Rubber & Plastic
1,048
H1 2012
709
51,134
H2 2011
604
37,723
H1 2011
641
65,524
H2 2010
701
64,627
H1 2010
697
107,702
H2 2009
685
47,575
H1 2009
680
55,775
H2 2008
814
55,671
H1 2008
1,034
150,690
H2 2007
1,118
74,150
H1 2007
1,074
129,276
H2 2006
1,030
113,125
H1 2006
1,058
159,078
Number and Aggregate Value (Mil $) of Telecommunications Deals Globally by Deal Type: 2006-2016 YTD (as at 30 September 2016) Deal type
Number of deals
Aggregate deal value (mil $)
Acquisition
7,370
1,393,147
Minority stake Capital increase Institutional buy-out Demerger
8,272 1,758 399 21
476,391 165,764 106,533 11,250
Management buy-out
105
1,874
Number of Telecommunications Deals Globally by World Region: 2006-2016 YTD (as at 30 September 2016) World region (target) Western Europe
2012
2013
2014
2015
2016
490
471
558
780
422
Far East and Central Asia North America Eastern Europe Oceania
428 200 135 70
509 253 251 81
460 242 237 82
549 237 158 79
291 138 111 32
South and Central America Africa Middle East
34 29 26
69 41 31
64 50 30
49 61 12
28 26 10
Q3 2016 roundup The aggregate value of deals signed off in Q3 2016 surpassed both Q1 and Q2, despite volume declining for the fifth consecutive quarter. In all there were 20,399 transactions announced over the three months, according to Zephyr, the M&A database published by Bureau van Dijk. The fact that values have steadily increased this year while volumes decline suggests a climb in the size of individual considerations over the year so far. This is good news for those hoping for a return to 2015 levels, which by all accounts was an extremely impressive year. Thus the fact that Q3 has not reached the same heights as Q3 2015, when USD 1,431,976 million was invested across 25,419 deals, is to be expected given that the latter represented the highest quarterly value result since Q2 2007, prior to the onset of the global financial crisis. At the end of last year few expected 2016 to generate the same level of dealmaking and these doubts have since been proven correct. Nevertheless, the values invested this year have been far from disappointing; if 2015 is not taken into account Q3 represents the best quarterly value result since the beginning of 2008, with the exception of Q2 2014 (USD 1,304,369 million). As 2016 nears an end and we look forward to 2017 many will be hoping the gradual improvement in values noted this year can be sustained with a view to results possibly even surpassing 2015 within the next 12 months. For the whole of 2016 to date North America has been the most targeted region in terms of value, bringing in investment of USD 1,146,354 million to date. This places it ahead of second-placed Far East and Central Asia with USD 869,866 million and Western Europe, which came third with USD 828,348 million. The latter actually topped the volume rankings with 19,009 transactions, while North America and the Far East and Central Asia came next with 18,958 and 16,747, respectively. To sum up, Q3 has been promising and shows a possible return to form for dealmaking levels as a third consecutive value increase is recorded. Q4 will naturally provide a better indication of the year’s overall performance as we discover whether the improvement can be sustained. After 2015 this year was bound to start slow, but the signs seem to be pointing towards a recovery at present.
Acquisition International - October 2016 17
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M&A / 60-Second Interview: The ‘Best of the Best’ Merger and Acquisitions Skills
The ‘Best of the Best’ Merger and Acquisitions Skills Name: John Zayac Company: IBG Business, LLC Email: Zayac@ibgbusiness.com Web: www.IBGBusiness.com Address: 4643 S. Ulster Street Suite 1485, Denver CO 80237 Phone: +1 303 758 4000
Founded in 1986, IBG Business is a nationally respected, award winning leader in business sales and acquisitions of privately held middle-market companies. They assist business owners in valuing and selling their companies at the appropriate time, for maximum value.
BG serves business owners in acquiring and divesting businesses. In an interview with the firm’s John Zayac, he outlines the undoubted success of his company and how they deliver the best opportunities for their clients, as well confidentially and superior results.
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What does your business do? We sell lower mid-market privately held firms for maximum value.
60-Second Interview
International Business Group, LLC (dba IBG Business) exists to bring the ‘best of the best’ merger and acquisitions (M&A) skills and knowledge to company owners when they are ready to sell a business, or make an acquisition. This firm is of distinctive character and shared values, defined by commitments to deliver business owners excellence in M&A services. What does your business do? We sell lower mid-market privately held firms for maximum value.
What makes your firm unique? Superior service and success record based upon over 30 years of operation and 1100 successful transactions. What are the greatest challenges facing you at present? Identifying quality firms that are considering selling for maximum value in a ‘sellers’ market’. What are the ambitions of your firm in the future? To continue our office expansion to 10 offices by the end of 2017 What is your firm’s biggest challenge? Meeting the needs of aggressive buyers seeking strategic acquisitions. What business or business person do you most admire and why? John Johnson due to his industry wisdom in the mergers and acquisition of privately held firms.
Who are your clients? Privately held firms that earn in excess of $750,000.
Acquisition International - October 2016 19
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Bright as a Button Company: MilliporeSigma Web: www.merckmillipore.com
Top 50 in Technology
As one of the top three investors in research and development (R&D) in the life science tools sector, MilliporeSigma develop cutting-edge technologies and services for bioscience research and biopharmaceutical manufacturing.
illiporeSigma is based in Darmstadt Germany. Merck operates three business divisions, healthcare, performance materials and life sciences. As you may know, in 2015, the Life Science Division acquired Sigma Aldrich. Coupled with that, was an industry-leading strength in digital strategy and the combined business now operates globally as MilliporeSigma.
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The firm’s shared purpose is to solve the toughest problems in the life sciences by collaborating with the global scientific community. Together with them, we offer a broad portfolio of more than 300,000 products, including many of the most highly respected brands in the industry. Our offerings span every step of the biotech/biopharma production chain, creating a complete end-toend workflow with enhanced customer service, a simplified interface and a leading e-commerce and distribution platform.
“Society in our opinion is becoming much more dominated by technology every day.” My team is responsible for the global implementation of MilliporeSigma’s digital strategy which includes the creation of the first real-time, consumer grade, globally connected platform for employees and customers which will be accessible from any connected device. MilliporeSigma calls the strategy, The NEXT, which once complete will include a ground-breaking connected labs offering and the ability for both customers and employees to place and track orders, log sequential experiment data, tabulate material consumption and much more. The NEXT platform will exponentially accelerate not only the work at Merck, but also that of our customers. Society in our opinion is becoming much more dominated by technology every day. The most fascinating domination is the transformation of communication channels and the accessibility to the Internet for billions of people who have the ability today to communicate in real time and in a very affordable way.
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Just like the Industrial Age, where we witnessed a significant efficiency through machine automation of human labour with precision and repeatability, today we are seeing the same automation in the digital world where the experience of end consumers is supported by tremendous automations which provide information relevant to them every day, hour and minute of the day. Automation in the digital world has eliminated a significant amount of error prone interactions for businesses and customers alike. This has had a profound positive impact on the experience of the customers and the efficiency of businesses. In regards to MilliporeSigma’s customers, technology enhances the firm’s services as we are able to offer research customers the information to organise and conduct their experiments at a faster pace than previously. We make the ordering of research consumables as straight forward as possible, so that in just a few clicks you will have your predicted date of delivery. This enables our customers to focus on the experiments and results in order to pursue their problem solving. MilliporeSigma have also redefined the experience of finding the right consumables needed for experiments with an e-commerce platform. Based on behaviour analytics, we even try to help our customers with their much needed list of consumables. The staff here at MilliporeSigma play a vital role in the success of the firm, indeed they are considered to be the thought leaders behind creating a first class experience to our customers. Our own staff take this as a journey, with the purpose of serving customers every day and finding innovative ways to make their experience an easy one. Today, MilliporeSigma leads the way in both the e-commerce and life sciences industries. This of course is something which helps our organisation stand out in the market place when it comes to convenience and predictability. We are constantly finding new ways to engage our customers in the digital world which bring us closer to our customers throughout their journey of solving problems in the life science space.
HEALTH / Top 50 in Technology: Bright as a Button
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Company: S·CAPE GmbH Name: Dennis Kogan, co-CEO Björn von Siemens, co-CEO Email: bjoern.vonsiemens@ s-cape.com Web: www.s-cape.com Address: Komturstr 18 A, 12099 Berlin Germany Phone: +49 (0)30 7130297-0
CEO of the Year – Germany Björn von Siemens, co-CEO of S·CAPE GmbH Dennis Kogan, co-CEO of S·CAPE GmbH
Leader in Digital Workflow Solutions for High Acuity Settings Founded in 1991, S·CAPE GmbH is a global leader in medical device integration and digital operating room workflow solutions. The focus of S·CAPE GmbH is on solving digital integration needs of the world’s most reputable hospitals. They place a focus on making operating theatres and other acute care areas more efficient and safe through the use of information technology. S·CAPE avoids costly and unnecessary functions that do not enable more efficient transfer and usage of clinical and process data. In a special interview feature, both co-CEOs Björn von Siemens and Dennis Kogan, impart their expertise as specialists in the fields of digital healthcare, connected devices and healthcare efficiency.
an you tell us about what your company specialises in? Dennis Kogan: S·CAPE GmbH specialises in solving digital integration needs of hospitals. The firm’s focus is on making operating theatres and other acute care areas more efficient through the use of information technology. We avoid costly and unnecessary functions that do not enable the more efficient transfer and usage of clinical and process data. Over the last years, we have doubled in size and are becoming a global leader in medical device integration and digital operating room workflow solutions.
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How would you define the nature of your client base? Dennis Kogan: The clients of S·CAPE GmbH are leading hospitals and medical institutions all around the globe. With the seamless integration of relevant medical devices through our hardware and software solutions, we are able to provide and efficient workflow for surgical teams, operators’ and the administration of hospitals, especially concerning the surgical teams’ need for their full focus on medical interventions. By integrating data-streams from medical modalities, hospital IT and sensors in an around the OR as well as making them all accessible in one central platform, we reduce the effort required both up- and downstream the care continuum. To what extent do you think that corporate success often depends on the innovation and creativity of those in leadership? Dennis Kogan: As leaders, we believe that success depends on enabling innovation and creativity in the organisation. Corporate success is thus driven by leaders who know how to motivate their peers, superiors and wider organisation to innovate and find 22 Acquisition International - October 2016
entrepreneurial solutions when required. Great leaders do not only know how to motivate, but also provide the tangible and intangible resources necessary for continued innovation and entrepreneurship. Why is strong and decisive management key to ensuring ongoing success? Björn von Siemens: Strong and decisive management is particularly important during times of crisis. A successful leader takes the necessary and sometimes tough decisions to steer the organisation through stormy waters. Contrary to that, if the company is on the path of growth, overly strong management can become an impediment to its successful development. How do you approach leadership and how exactly have you been an effective leader in your industry? Dennis Kogan: Our leadership approach is based on identifying the right people for certain roles and providing them with the necessary resources to be successful. We offer a great amount of entrepreneurial freedom and room for decision making, but expect thoughtful and responsible decision making to take place, as well as commitment to performance and innovation. Can you tell us how the business is going and the challenges you face at the helm of it? Björn von Siemens: Since 2013, our company S·CAPE GmbH was still as small business based out of Sachsony. After a period of investment, repositioning and relocation to Berlin we launched a new software platform the brand caresyntax® in 2014. Our solutions portfolio is increasingly well received by our customers, and as such we are continuing to experience growth in demand in almost all geographies.
HEALTH / CEO of the Year – Germany : Leader in Digital Workflow Solutions for High Acuity Settings
The firm’s order intake and revenue have more than doubled from 2015 to 2016, and opportunities such as the U.S. market are still untapped. A major challenge is the transformation from a smaller business to a ‘hidden champion’ with international and blue chip customer base. Developing the IoT (internet of things) and connected device solutions to further enhance our offering is a challenge, but also an exciting opportunity for us. Can you tell us about your career background prior to attaining your current position? Dennis Kogan: Björn and I started working together in business school in the United States, and we both have backgrounds in entrepreneurial roles in IT and digital industries. Our professors and business mentors helped us form a successful partnership, with first achievements over the first years. In 2011, we formed an investment fund looking for a growth investment at the intersection of IT and medical devices. We completed the acquisition of S·CAPE and several related businesses in 2012/2013, and have since been in the positions of owners and managers at S·CAPE. What challenges lie ahead in the future for you as a CEO and for your company in 2016 and beyond? Björn von Siemens: 2016 has been a very exciting year for us. As we celebrate the firm’s 25th anniversary, we are proud to have grown from a university spin-off to a global leader in medical device integration and digital operating room workflow solutions. The first half of this year has been enormously successful, with a remarkable +185% increase in order intake, compared to 2015. In addition, S·CAPE received orders to equip over 350 O.Rs and procedure rooms around the world, which
is a testament to how our new software and hardware technology is winning ground. 2016 has also seen sizeable expansion of our global distribution network, now including a subsidiary in the United States.
hospitals on all five contents of the globe. In addition, this year finally marks our entry into the United States, the largest medical device and healthcare IT market in the whole world.
All of this, along with an exciting new partnership with General Electric related to integration of GE Health Cloud with caresyntax® surgical content management platform, sets the path for our continued innovation and further expansion.
Björn von Siemens: One of the initiatives that exemplifies S·CAPE’s engagement in helping hospitals to reduce costs, while driving clinical knowledge sharing, is our recently initiated partnership with General Electric. As announced at HIMSS 2016, S·CAPE and GE intend to integrate caresyntax® distributed clinical content management platform, CX ECLIPSE, with the GE Health Cloud. By moving to the GE Health Cloud, S·CAPE intends to facilitate improved education and knowledge management for clinicians, while minimising IT infrastructure requirements and upfront investments of the same for participating hospitals.
What vital contribution do staff play in the success of your firm? Björn von Siemens: We are a growing company. Currently we employ more than 80 specialised employees, steadily rising. This number makes us the market leader in our niche. With a large number of various medical devices, we have a need for highly educated software-developers who are able to develop the operating system for the operating room. What are the ambitions of your firm for the future? Dennis Kogan: We continue to launch new applications on and around our caresyntax® PRIM365 technology platform. We have engaged in several partnerships with leading companies from our industry and beyond. In addition to being a leading domestic player in the thriving German, Austrian and Swiss markets, historically our footprint extended to most key European Union and Middle Eastern geographies. Over the last few years, the firm has embarked on an exciting and ambitious growth path, which has led to thousands of installations being made in some of the most vibrant growth markets around the globe. We believe that this remarkable momentum is now accelerating, evidenced by the fact that in 2016 we supplied caresyntax® integration solutions to leading
S·CAPE continues rapid growth in Asia by securing large projects in major markets, such as India and Turkey, as well as opening a new representative office in Singapore and planning a new Shanghai office. The firm S·CAPE has expanded to some of the biggest global growth markets, supplying growing demand for cutting-edge digital O.R and procedure workflow solutions in the growing markets of Asia. This will be coordinated by the recently opened Singapore and soon-to-be inaugurated Shanghai offices, which the firm has established as a base of operations in China and the broader Asia Pacific region. The company is to equip over 200 operating rooms in several large PPP hospitals in Western Asia, currently under development. When completed, it will be one of the largest and most technologically advanced hospital systems in the world, with a focus on the newest integration solutions, connectivity and workflow automation
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Company: Dompé farmaceutici S.p.A. Name: Eugenio Aringhieri Web: www.dompe.com
CEO 100 – Italy
The Leader in Life Sciences 2016 Dompé is a leading Italian biopharmaceutical company focusing on the development of innovative treatment solutions for rare and often orphan diseases. Dompé pursues this objective by promoting and actively participating in a network made up of the best names in each activity of the pharmaceutical industry.
he company concentrates its efforts in areas with therapeutic needs that are still unmet, such as ophthalmology, oncology, diabetes and organ transplantation. Also, today we are one of the best known companies in the Italian primary care and self-medication market. Thanks to a strategic approach based on incremental innovation, our portfolio is marketed in more than 40 countries around the world. In particular, the group has a consolidated extensive expertise in areas such as respiratory and pain/ inflammation conditions, for which it offers some of the most used solutions in Italy.
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In the very complex and competitive world scenario we live in, we decided to concentrate on rare diseases with the aim of making available therapeutic solutions that have a positive impact on the quality of a patient’s life. We have done this by investing in research and development (R&D) in the highly innovative biotechnology sector.
“I firmly believe that innovation is key in defining your success as a company.” I believe that choosing the ‘playing field’ was fundamental for us in meeting the patient’s unmet therapeutic needs at all levels, relying on our expertise and innovative approach to research, development, production and processes, and also our ability to attract new resources and competences. I firmly believe that innovation is key in defining your success as a company. Focus, network, and internationalisation, are for me, the three main ‘paths’ to follow when you are committed to innovation. To me, being a leader, is to have the determination to face the future in a different way. My leadership style is always in transition. I have come to the realisation that the leaders of the innovative pharma world can no longer run their companies as a one-
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man-show. Running a biotech is far too complex for one leader alone, no matter how resilient and adept he or she is. In my opinion, leaders of the future must be able to motivate and facilitate the work of an entire management team. My career has focussed on the value of innovation into research into biotechnological therapeutic solutions to global health problems, so I promoted an international approach based on the network. Since 2007, in line with the wishes of its shareholder, I have promoted Dompé’s functional reorganisation and given impetus to its industrial strategy with the aim of making the group an internationally recognised science-based company. I was also vice-president of the board of directors of Philogen, an outstanding Italo-Swiss biotech company dedicated to developing products for the treatment of cancer, rheumatoid arthritis and certain eye diseases, of which Dompé is the majority shareholder. In 2011, I became President and Managing Director of Anabasis, an Italian biotech company that develops innovative drugs for the treatment of serious eye diseases for which no effective therapy is currently available. Right now, we are in the midst of transforming Dompé from a local pharma company to an international biotech entity. The reason is that it became very clear to me that the pharmaceutical industry is splitting off into two very different directions and that the industry’s main protagonists will have to choose one path or the other. There can be no middle ground or third way. Either your leadership relates to your capability to offer the best price and to outcompete your competitors by offering an equivalent performance at a lower cost. Alternatively, you can go down the route of leadership through your capacity to innovate and be the first mover in bringing latest generation technology to market. Our first task was therefore to decide where to situate Dompé given the emergent trends underway. We had to select which game we wanted to be playing in and ultimately we resolved upon the latter, leadership through innovation.
HEALTH / CEO 100 – Italy: The Leader in Life Sciences 2016
I firmly believe that complex challenges cannot be overcome by simple responses, but require the wide-ranging competences of a team. That is why I have chosen to bring together people with a wide range of different competences but united by a single transversal objective. The ‘Dompé team’ is very different from what it was just five years ago: it now has an international outlook, is highly specialised in different areas, focuses on research, and has a culture of excellence in the biotech sector. This allows rapid decision making, gives individuals the possibility of having a personal impact on strategy, and creates a strong sense of belonging, all of which are decisive factors in what is a crucial phase for the company. I cannot predict the future, but the next few months will be crucial for Dompé. We will have important answers: the test of the efficacy of our molecules and, more generally, of the choices we made. We will see if our ‘dream’ to bring innovative drugs on the market could become ‘reality’. Going forward, at the core of our work there is always a goal that guides us, to be able to provide answers to those patients throughout the world who are still waiting for a therapeutic solution. Our medium term goal is to continue along the path towards becoming an increasingly R&D-driven company that is recognised in the field of rare/ orphan diseases at an international level.
Acquisition International - October 2016 25
1609JR36
info@fluidda.com
www.fluidda.com The world leader in the field of Functional Respiratory Imaging (FRI) research and development.
SUPPORT SERVICES & TECH / Mobile Payment to Spearhead Asia-Pacific’s Transformation to Cashless Society
Mobile Payment to Spearhead Asia-Pacific’s Transformation to Cashless Society A top down regulatory push toward cashless societies will spur the $71.92 billion mobile payments market in Asia-Pacific (excluding China and India) to grow exponentially to reach $271.47 billion by 2021. The number of active customers will also double to 130.8 million users. With standardization and increasing openness toward FinTech, competition is intensifying for the entire supply-side ecosystem. Mobile payments solution providers will need to fully understand the mobile payments market in the region to gain an edge.
sia-Pacific Mobile Payments is part of Frost & Sullivan’s Mobile & Wireless Communications Growth Partnership Service program, which includes insights on eCommerce and mobile point-of-sale (mPOS). This particular analysis examines the trends and opportunities in China, Australia, Singapore, Japan, South Korea, New Zealand, Malaysia, Indonesia, Thailand, Philippines and Vietnam.
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Asia-Pacific is expected to continue to lead the world in mobile payment developments as smartphone penetration here is the highest. Apple, Samsung and Google with Apple Pay, Samsung Pay and Android Pay have also addressed existing security concerns through tokenization in the payment infrastructure, supplemented by biometrics on the smartphone. “The mobile payments market in Asia-Pacific, however, is guided by local preferences and
considerations,” noted Frost & Sullivan digital transformation industry principal analyst Quah Mei Lee. “For instance, in Indonesia and the Philippines, telcos lead with their e-money products whereas in Japan, South Korea and Australia, credit card is the key payment method. Understanding these dynamics is critical for mobile payments solution providers to succeed.”
volumes. The strong deployment of NFC in some countries will help expand POS payment shares. For now, the mobile payment market has the most promise in countries that have a mandate to go cashless, like South Korea, Australia, Singapore and Malaysia. These will be followed closely by countries such as Thailand and Vietnam which are slowly transitioning to a cashless society.
Mobile payment in Asia-Pacific is being led by developed countries such as Japan, South Korea, Australia and Singapore. Japan and South Korea has dominated since the early days of near-field communications (NFC) in 2011 and continues to account for 89.2 percent of market revenue share in Asia-Pacific.
“The opportunities are limitless and mainstream integration of mobile payments into everyday life is already underway,” said Quah. “Even beyond this, there is tremendous potential for growth alongside connected devices in the Internet of Things era.”
Among mobile payment market segments, m-commerce dominates despite the rapid increase in point-of-sale (POS) payment transaction
For complimentary access to more information on this research, please visit: http://corpcom.frost.com/ forms/APAC_PR_CLow_P903_05Oct16
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SUPPORT SERVICES & TECH / Southeast Asia’s E-Commerce Market to Surpass $25 Billion by 2020 Despite Market Challenges
Southeast Asia’s E-Commerce Market to Surpass $25 Billion by 2020 Despite Market Challenges Southeast Asia is poised to become one of the world’s fastest-growing regions for e-commerce revenues, exceeding $25 billion by 2020. In 2015, the market earned $11 billion despite several acquisitions, market exits, and many online retailers struggling to achieve profitability. While significant challenges persist, Frost & Sullivan remains optimistic about the growth potential of e-commerce in Southeast Asia.
nalysis of the Southeast Asian E-commerce Market is new research from Frost & Sullivan’s Telecommunications and Digital Services (Digital Transformation) Growth Partnership Service program. The report examines market trends and opportunities in 6 key Southeast Asian markets such as Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam with forecasts to 2020.
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Rapid growth to continue as industry evolves Total revenues from business-to-consumer (B2C) e-commerce in the 6 largest Southeast Asian countries will increase at a CAGR of 17.7%. Malaysia and Thailand were the largest e-commerce markets in Southeast Asia in 2015, generating revenues of $2.3 billion and $2.1 billion
respectively. Nevertheless, by 2020, both of these markets are expected to be eclipsed by emerging economies in Southeast Asia including Vietnam and Indonesia. “Despite being relatively young, the e-commerce market in Southeast Asia is developing quickly, thanks to the astounding rate of digital adoption in the region,” stated Cris Duy Tran, lead consultant in e-commerce, digital transformation, at Frost & Sullivan Asia-Pacific. “However, companies pursuing an Amazon-style B2C mass market business model are struggling to turn a profit and there have been several mergers and acquisitions and market exits in 2015,” he added. With fewer players in the market, e-commerce players are beginning to compete beyond price points and logistics and moving
into new areas such as Online-to-Offline (O2O) e-commerce and loyalty programs,” said Tran. Although the mass marketing approach has not worked so far in Southeast Asia, there are many exciting opportunities in specialized e-commerce and P2P e-commerce. Services such as Carousell, Tokopedia and Shopee are aggressively pursuing a ‘mobile first’ strategy, and Frost & Sullivan expects to see more sector-specific services in areas such as travel, food delivery, and luxury goods. Market challenges to remain While the opportunities for growth are immense, the e-commerce market in Southeast Asia is not without its challenges. Frost & Sullivan has identified several key factors inhibiting growth. These include low credit card ownership that stands at less than 7% in all Southeast Asia markets except for Singapore and Malaysia. In some countries, more than 50% of the population does not have bank accounts, making payment the biggest challenge for e-commerce companies in the region. Logistics is another issue hampering the growth of e-commerce in Southeast Asia, especially in areas with complex geographies such as Indonesia and the Philippines. However, recent investments by regional logistics players such as aCommerce and SingPost to strengthen the e-commerce logistics infrastructure in these markets could accelerate the growth of online retail in the region. The rapid expansion of the Chinese e-commerce market is providing further impetus for online retail growth in Southeast Asia. “In 2015, the e-commerce revenue in China represented 12.1% of all retail sales, surpassing the US, Europe, and Japan. Given the massive adoption of e-commerce in China, Southeast Asia is set to follow a similar upward trajectory; even though at present, e-commerce only represents less than 2.5% of all retail sales. The region is well-positioned for more M&A activities during the forecast period, and we expect to see more exciting market developments in the near future,” noted Tran.
www.frost.com
Acquisition International - October 2016 29
SUPPORT SERVICES & TECH / Best of the Best in Finance USA: The Leader in Global Payment Processing 1609EA25
Company: Allied Wallet Web: www.alliedwallet.com
Best of the Best in Finance USA
The Leader in Global Payment Processing Allied Wallet is a global leader in payment processing and merchant services, offering customised solutions to businesses of any size. They provide payment processing services in 164 currencies, 196 countries, and nearly every payment method globally. We got in touch with the firm’s visionary tech billionaire, Dr. Andy Khawaja to ascertain more about this remarkable company, and the extraordinary impact it is having on the world today. irst of all, how would you summarise the excellent work that your firm does all over the world? We accommodate consumers and merchants and link consumers on a safety platform with security being our main concern for online transactions. We do our best to make sure all consumers and merchants that work on our platform are completely safe and we want to make sure the cart data is stored and encrypted so there is no way a third party can gain access to it.
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As the world’s foremost financial power, with over a quarter of the top 20 largest revenue producing financial service companies being based in the region, to what extent will any significant developments or trends within the US have on countless economies around the globe?
“As a 14-year-old company, to be in the top 80 in the world makes me feel very proud and puts a smile on my face.” If you look around, at present most of the world is using American products, especially social media with Facebook, Instagram and Twitter. If you look at Apple and the IPod you have got people in Europe and Asia sleeping outside the store just to line up when a product is launched. People no longer use history books, indeed if you want to find something out Google will give you the answer in seconds. Around 90% of the population fully relies on American products, and out of the top 20 companies in the world, I would say 19 are based in the US. To what extent do you think that many firms worldwide make it their business to remain fully up to the minute on the state of the US economy and the country’s corporate environment in general?
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As a business you have got to keep your data sum up to speed and the marketing, between data storage and marketing I would say they are the top three expenses for any organisation including myself. Where does your firm fit into this wider picture? Allied Wallet are one of the top 500 companies in the US, and a lot of our competitors have been around for 20 or 30 years. As a 14-year-old company, to be in the top 80 in the world makes me feel very proud and puts a smile on my face. With what we are doing it makes me want to reach the top 10 in the world. What impact is Allied Wallet having on the world today? We are generating jobs and helping entrepreneurs start up their businesses and become selfindependent. Allied Wallet have a massive impact, allowing many of the merchants to be able to practice the business, and authorise payments for them. We are the messiah of the Internet because we are giving opportunities and hope to people and that is one of the reasons why the economy is growing and the Internet is expanding - thanks to our services. Is your client base expanding? Allied Wallet’s client base is expanding, we are entering more markets, entering the Middle East, Latin America and Central America. At present everything looks great, indeed we are expanding and looking to take advantage of the opportunities which come our way. Do you have any plans for the future that you would like to impart? We are not only a global processor; we are also the messiah of the Internet. What opportunities face your company and the industry in the months and years ahead? The Internet is growing and as that grows the more we will grow with it, more people will carry out transactions online and come up with ideas to do business online and we will benefit from that.
SUPPORT SERVICES & TECH / 60-Second Interview: The Messiah of the Internet 1609CG10
Company: Allied Wallet Web: www.alliedwallet.com
60-Second Interview
The Messiah of the Internet Allied Wallet provides global processing solutions in over 160 currencies. They also provide a variety of local payment services which other processors do not provide. The firm is more business-to-business (B2B) oriented for large and small merchants, accommodating consumers and merchants all around the globe. Rather than focus on one jurisdiction, they focus on the entire globe. tech billionaire Dr. Andy Khawaja, whose net worth is approximately $19 billion, reveals his focus and his success in a special interview.
hat does your client base look like? Allied Wallet has clients from those who make £500 a month to others who genera6te £1 billion a month, so it depends on the business and what they do. Our mainstream business consists of online retailers, online dating sites, social media, online marketing and many others including online galleries, flower shops and services such as the delivery of food, fragrances, watches and online games.
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What is your firm’s unique selling points? The firm’s unique selling point is that we provide the best services in our field, indeed our Next Gen Payment Gateway product is built in and on our platform, consisting of over 37 shopping carts which are integrated into our platform. It is a simple integration which takes 10 minutes, giving you access to products which will take two years to integrate into your firm’s stock. Working with one payment solution like Allied Wallet will give you the expose to thousands of different payment currencies. What are the main challenges facing your company today? When I look at Allied Wallet’s competitors I believe that they are way behind, but we are ahead of the game due to our state-of-the-art technology and services. What are the main objectives for your business in the future? Allied Wallet’s main objective is to grow the company to the next level and make it a more powerful brand than ever before. What businesses or business person do you most admire and why? I personally admire Einstein, because he is very unique in his innovation, creation, knowledge and philosophy and I admire him for that.
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1609AN30
NAJMTEK changes the way users interact with their technology as they participate in and contribute to the world.
www.najmtek.com
SUPPORT SERVICES & TECH / 60-Second Interview: Putting Customer Needs First
Putting Customer Needs First OpusVL was founded by Stuart J Mackintosh in 1999 and is a UK based software and systems development house, which has specialised in Open Source Solutions from the outset to address the needs of our clients’ business systems and ICT.
Name: Stuart J Mackintosh Company: OpusVL Email: enquiries@opusvl.com Web: www.opusvl.com Address: Drury House, Drury Lane, Rugby, Warwickshire, CV21 3DE Phone: 01788 298 450
60-Second Interview
The firm’s key strength is our straightforward, flexible, innovative approach, following simple yet effective management methods for every project according to Mackintosh, who reveals more in an insightful 60 second interview.
hat products and services does your firm provide? OpusVL provide solutions based on professional free & open source software. Core products include Flexibase (cloud application framework), Odoo (ERP system), Govstrap (Public Sector website) and cloud management technologies such as networking, containers and virtualisation.
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These are provided through a blend of four delivery areas: consultancy & analysis, software application development, infrastructure & servers plus support & maintenance. What does your client base look like? Our clients are found within the private and public sectors and are typically looking to scale up their operations, seeing technology as an enabler. They experience common challenges including a lack of automation, disjointed databases and systems, legacy systems unable to support growth, or a changing industry. What are your firm’s unique selling points? We have developed an engagement approach over the last 17 years of project delivery. This is based on a process which first clarifies business requirements, then details project priority to build a technology roadmap. This ensures value for customers, and most importantly, a successful outcome. Our unique in-house resource pool consisting of experienced business and technical specialists work together on client projects. We typically meet 80% of clients’ needs with free software with no licensing costs. Therefore, we enable our clients to invest their budget in customisation, ensuring that the solution automates their more complex business processes. What are the main challenges facing your company today?
The main challenge that we face is cultural, not technical. Customers can conclude that software will solve their problems but they fail to grasp the underlying business need. Our process overcomes this by establishing requirements through to implementation and on-boarding the business - even good technology will fail if not correctly embraced and implemented. What are the main objectives for your business in the future? OpusVL will be driving continued growth as the demand for open source gathers inertia, and we have already set in motion plans for our expansion. The company will continue to enhance our engagement and delivery processes to meet the demand for more efficient interaction between technology and users by companies with decreasing budgets. Alongside this, our image as innovators will be strengthened, whilst maintaining a solid record of successful delivery, not diluting our ethos around free and open source and putting customer needs first. The contemporary customer expects security, performance and functionality by default and are becoming uncomfortable with being locked-in to a particular vendor. I am observing an emerging view that the promise of cloud is laced with risk where the client is not in control of their data and a fear of having applications ‘switched off’ without alternative services. What business or business person do you most admire and why? Thomas Edison - a free thinker, visionary technologist and entrepreneur. He had the vision to create commercially viable applications for electricity even before most people were really aware of it. His work was anchored around this common theme of electricity but he was also able to understand how to apply this to many different industries.
Acquisition International - October 2016 33
1610AI05
Company: Financial Synergy Name: David Orford Email: David.Orford@ financialsynergy.com.au Web Address: www.financialsynergy.com.au Phone: +61 407 206 457
CEO 100 - Melbourne
Insuring Longevity Risk Founded in 1978 by David Orford, Financial Synergy began life as an actuarial firm in Albert Rd, South Melbourne. Recognising the opportunity to help shape the superannuation industry, Financial Synergy began developing software inhouse. Business flourished, and clients now include some of Australia’s leading superannuation funds and providers. Continued growth and innovation has seen Financial Synergy grow to over 120 staff spread across four offices, setting new technological benchmarks with their market leading superannuation platform. Over 35 years later, Financial Synergy remains proudly Australian owned and operated. In a compelling interview with the founder David Orford, he helping their members to become more financially secure - so they actually have a risk free, relaxed retirement free from worry.”
hat products and services does your firm provide? Financial Synergy delivers a fully integrated registry and online solution, helping our clients to drive efficiency and deliver a superior service. An ever-changing work environment has led to a re-imagined back office and straight through online solutions, with our company Financial Synergy widely recognised for ongoing technological innovation and the proven ability to deliver.
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“All around the world people have not saved adequately for their retirements.” Can you tell us about what your company specialises in? Financial Synergy offers a leading edge pension administration software products and member engagement tools to the world, as well as leading edge administration. With our products - the work is all carried out by the initiator of the work - so there is no multiple handling or mistakes that occur at later stages in the process. This reduces cost and risk and helps increase the engagement of stakeholders. How would you define the nature of your client base? Financial Synergy covers many of the larger pension funds in Australia, and the most innovative platforms as far as financial advisers are concerned. We have a totally online bank with whom we have developed and administer a totally online pension fund - which is relatively low cost and low risk – and is marketed to early adopters and those people who need as much control over the insurance and investment of their pension fund investments as possible. It continues to win many industry awards, including the most rapidly growing pension fund in Australia.
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To what extent do you think that corporate success often depends on the innovation and creativity of those in leadership? Financial Synergy has finished roughly 15th in BRW’s list of most-innovative companies in Australia over two consecutive years. The ranking is determined by what our staff say about the culture of our company. New ideas are encouraged and good ideas acted upon irrespective of their position in the company. Clients and staff are attracted to our company because of the interesting nature of the work we do. We do not advertise in industry magazines as most of our new business comes from word of mouth from existing highly satisfied customers. Similarly, people are interested in joining us, but we have high standards. Why is strong and decisive management key to ensuring ongoing success? Financial Synergy’s managers are technically competent in what they do - so have the respect of their staff - who enthusiastically participate in problem solving exercises. Leadership is about extracting the best ideas from the people you work with and implementing them efficiently and effectively. How do you approach leadership - exactly how have you been an effective leader in your industry? Many of my ideas have been translated into pension legislation, for example allowing people to contribute after age 65 years. The latest idea translated into legislation results in removing the costly and underappreciated guarantees from annuity products, so that the annuity income provided is roughly 25% higher than the traditional annuity. Potential new clients of Financial Synergy are attracted to us as we are the only company with the annuity administration software required to efficiently and effectively administer this new annuity product. Can you tell us how the business is going and the challenges you face at the helm of it?
SUPPORT SERVICES & TECH / CEO 100 - Sydney: Insuring Longevity Risk
Financial Synergy grew at more than 30% last year in revenues and even more in profit. We have launched several major new initiatives in data analytics, managed services and member engagement. The major issue facing us is finding sufficiently talented people who fit in with our culture in order to do the work. What was your career background prior to attaining your current position? I qualified as an actuary in under three years and obtained a Special Distinction in my MBA. I am also a qualified financial planner – so I understand what the ultimate customer needs - as well as the financial planner that advises them. As an example of where my education and experience has led, our robo-advice product now makes financial planning information and tools available to the person in the street, for almost all of their financial needs. I have been involved in significant changes in the life insurance industry, mainly due to new product design. I have been leading my company for decades, so that is second nature to me now. The company runs exceedingly well so I still get to do some product innovation. What vital contribution do staff play in the success of your firm? Shareholder value is derived from Financial Synergy’s staff. We continue to regularly receive unsolicited notes of thanks from our clients in respect of staff that have performed well about their duties, for example by working all weekend with clients to get them up and running. We do not ask our staff to do these things - they just do them. Each one is worth their weight in gold. What are the ambitions of your firm for the future? I would like each of Financial Synergy’s recently launched new products to be successful. Not only will this increase our revenues and profit, but it will help ordinary people by reducing the cost of providing their pensions, reduce risk and help them plan manage and enhance their financial security (the latter of which is the core purpose of our company). As a CEO, managing the growth and handling international expansion brought about by our business partners is a definite challenge for me. Do you have any further remarks to make? All around the world people have not saved adequately for their retirements. They cannot rely on governments which are inappropriately dealing with ageing populations, but need to become self-sufficient. ‘Adequacy’ is the major issue. The second major issue is that people do not insure their longevity risk and they are living longer. By not insuring longevity risk, they fall back on the government, which finances their benefits from tax revenue which is what other people pay. Financial Synergy will continue to play its part in reducing cost and risk in the system, and helping pension plans and other entities engage with their members to help them become more financially secure, so they can have a risk free and relaxed retirement free from worry. Everyone deserves that.
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1610AI15
Vancouver Island Web Design Company: Geeks on the Beach - Web Agency, Inc Name: Jonathan Michaels Email: jonathan@ geeksonthebeach.ca Web: www.geeksonthebeach.ca Address: Dragon Alley – Victoria, BC, #6 Dragon Alley, 532 Fisgard St., V8W 1R4 Victoria, BC Canada
Geeks on the Beach is a Vancouver Island based full-service web agency, focussed on extreme ROI for its clients. They started in a small town named Qualicum Beach, on Vancouver Island, Canada. Over the years, they have expanded, opening up a second location and taking over the portfolios of several competitors. We caught up with a spokesperson from the firm, who reveals the story of the firms dawn right up to its expansions which has led to the tremendous success that it is today. irst, I have to ask, where did you come up with a name ‘Geeks on the Beach’ for your web agency? Actually, it was borrowed from Theodor Geisel also known as Dr. Seuss. Back in 2007, I was reading my children a short story called The Sneetches and Other Stories, when he writes about Sneetches on Beaches and it stuck. The friendly, almost Looney Tunes logo was therefore a natural progression.
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Top 50 in Technology
Look, we work in a highly technical and frequently dry field of A/B testing, analytics reporting, DNS propagation and JavaScript optimisations. We were shooting for memorable and approachable. While ‘Geeks on the Beach’ has a silly name and a logo, the branding of the firm has been very successful. Somehow it just sticks in peoples’ heads.
“Most of our days are filled with building relationships as much as it is building beautiful websites.” I understand that your geeks are now on quite a few US beaches? That is true. We started in a small town named Qualicum Beach, on Vancouver Island, Canada. Over the years, we have expanded and opened up a second location as well as taking over the portfolios of several competitors. We now have offices in Downtown Victoria, Parksville / Qualicum Beach, and a have a presence in Vancouver. For our next trick, we are looking at expanding to the beach of Bali. Bali? Your other locations are all in Western Canada. How in the world did you find yourself on the beaches of Bali? The beaches of Vancouver Island are rugged and spectacular, but sometimes you just want to curl up with a laptop under the shade of a palm tree. Way back when we were much younger geeks, our first significant web design project was for one of the top Vancouver Island resorts. It was like being
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thrown into the deep end of the pool. We quickly learned the needs of the resort and tourism industry and learned how to produce real-world results in a highly competitive environment. The success of that project led to other web design and online marketing projects for a significant number of Vancouver Island’s luxury resorts, as well as Banff and Jasper, tourism destinations in the Canadian Rockies. Recently, I happened to come across one of those Top 10 lists of Luxury Destinations here on Vancouver Island and was pleased to note that we have worked with 40% of the names on that list. So expanding from the luxury resorts of Vancouver Island to the luxury resorts on Bali, Island of the Gods, seems like a natural progression. You call yourself a ‘web design agency’ and you mentioned things like A/B testing and analytics. How would you describe what you do? Most of our days are filled with building relationships as much as it is building beautiful websites. We create and manage pay-per-click online marketing campaigns with Google and Facebook. Plus, we advise clients on how to improve their standings across search engine results and on review sites. We use tools like WordPress, Joomla, Photoshop and JavaScript. I would argue that none of that is our real business. As I see it, our real business is helping companies in competitive markets grow their audiences and their businesses. If it is a resort, that means our real job is to put butts in beds. If the client is a restaurant, our job is to fill table reservations and collect five-star reviews. We are all about making the phone ring, increasing sales, and making things easier for all of customers. It just so happens that the most effective way of doing all of that is by using our geeky super powers. A lot of people say ‘we build beautiful websites’. I would say that is a good start, but the reason you create a beautiful website is to build better businesses and happier organisations.
SUPPORT SERVICES & TECH / Top 50 in Technology: Vancouver Island Web Design
Would you say that you’re a business geek? I suppose I would. I have a business partner named David Michels (no relation). He is a classically trained fine arts graduate, weekend portrait painter, and the creative director of Geeks on the Beach. When a project needs bells and whistles, he is our pixel-pushing design hero. He, in turn, works with some really talented designers on staff. They build things that I could only dream of. I, on the other hand, come from a Wall Street family, wrote a book on managing finances online and have won two Entrepreneur of the Year awards. There are a lot of skills overlap within our team, but I am very much interested in business goals. It is nerdy, but I get a little thrill reviewing analytics reports and crushing competition. ‘Crushing competition’ sounds a little cutthroat, if you do not mind my saying. How does that relate to your over-the-top friendly brand? We save the crushing for our office ping pong tables and our clients’ search engine results. It is good to have a competitive nerd in your corner, but the focus is on delivering outstanding experiences and award-winning customer service for each client. We have built our organisation on what we have come to call ‘good karma’ projects. Being competitive on behalf of our clients is what enables us to do some of the really interesting and rewarding projects that we get to work on. These are web design and online marketing projects for causes that are near and dear to our hearts. For almost a decade now, we have donated approximately 10% our billable time to these good causes and community services. We have been very fortunate in so many ways. Good karma community projects are our way of giving back.
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1610AI01
Company: Cisco Name: Monique Morrow Email: mmorrow@cisco.com Web: www.cisco.com Address: Richtistrasse 7, 8304 Wallisellen, Zürich Switzerland Phone: +41 800 179 317
AI’s Social Media Presence of the Year 2016
Sharing Key Messages Across the Global Community Cisco build and creates the protocols that run the internet, and is involved in software service, the Cloud and Internet of Things. Working at the intersection of technology research is Cisco’s Monique Morrow, who is concerned with the economic potential of portfolio mapping, and cares deeply for the humanitarian use of technology and how blockchain can resolve identity for people who have not status. Social media in her view, is a very powerful tool, because it delivers ‘key messages’ in exponential real time. Communicating a compelling and emotional narrative, that people can relate to via social media, is simply the modus operandi for the 21st century she explains. orking in her new role with the IEEE group, on the culture of mixed reality, she looks at building ethics into autonomous systems. “How then do we build and understand what is required for people to use technology in a way that does no harm? How do we ensure that the use of ethics is built into new systems as well as privacy?” Morrow poses. She then goes on to say that, “this is a very nascent part of what I am doing with a group of global thinkers throughout the world. It becomes a part of all of us to share with the consumer, how technology is built and how it can be used. This is very key.” In addition, Morrow underlines that she is a very strong advocate for the humanitarian use of technology; women creating technology; using technology to build people neutral systems and multigenerational teaming.
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“Our world is very small, and this is due to the use of instantaneous information.” The clients Cisco work with are across the whole spectrum Morrow reveals, including government and the private sector, small and medium-sized enterprises (SMEs), the United Nations, as well as large enterprises from service providers to large companies. Morrow also works with academic institutions, “in terms of looking at how they can take research and apply it into the industry for consumption.” On the whole, Morrow defines herself as an individual contributor, due to the nature of her work. Her approach is somewhat ‘futurist’ in terms of the work she does. In terms of the challenges for the future, Morrow says that it is really important to be able to communicate with a variety of people, in her current 38 Acquisition International - October 2016
role. “One of the most important topics is how does this technology relate to their future. Many people take a dystopian view that they could lose their jobs, but what is the application of technology in terms of the future of their work? How do we define the nature of work and what it means to have a job? How do we look at the skills required for lifelong learning? The digital tools we use for our work is moving very fast.” “The notion of how to keep up with technology, and how can I be sure that I will always have work, are both important constants. The intersection of technology in the workplace in the future is very important for government, employers and those in full-time education. For those students at university, will they be using the skills gained there in the future? While these are challenges, I personally see them as opportunities.” Monique Morrow is also pioneering the idea of the Humanized Internet [https://newsroom.cisco. com/feature-content?type=webcontent&article Id=1785844]. The UN states that a fifth of the world’s population is without a legal identity—and Morrow is seeking to change those statistics the Humanized Internet and Identity-as-a-Service. Much like ‘software-as-a-service’ or ‘platform-as-aservice’ in tech nomenclature, identity-as-a-service is the concept of providing a model to host citizens’ identifications. Morrow has many thoughts on how to create the Humanized Internet. The goal, Morrow says, is to have locations and profiles stored on the blockchain, where people, refugees, and immigrants will always have an identity. Morrow emphasises the need for evidence of an existence. Without that, many people are left vulnerable to human trafficking, sexual slavery, and child abuse. “Within the Humanized Internet
SUPPORT SERVICES & TECH / AI’s Social Media Presence of the Year 2016: Sharing Key Messages Across the Global Community
are five areas of focus; power, purpose, platforms, productivity, and participation. This blockchainenabled platform with a digital identity will be enabled with data, privacy, and security. This people-powered and self-organising platform will allow online communities to thrive and will also amplify human interaction - forums with questions and requests will be open to the community for answers”. In closing, Morrow underlines that she is honoured to receive the accolade, AI’s Social Media Presence of the Year 2016, but warns that we need to be responsible about how we use social media. She closes the interview by sharing one last key message, stressing that “social media is important in terms of sharing key messages across the global community. Our world is very small, and this is due to the use of instantaneous information. We have to use the digital tools available with a notion of responsibility and that goes for the topic of challenging ourselves and how responsible we are concerning these particular tools.”
Acquisition International - October 2016 39
1609CG08
Company: SailPoint Name: Juliette Rizkallah Web: www.sailpoint.com
CMO of the Year – Austin
The Best in Identity Governance SailPoint, the undisputed leader in identity governance, brings the power of identity to enterprise customers around the world. SailPoint’s open identity platform gives enterprises the power to enter new markets, scale their workforces, embrace new technologies, innovate faster and compete on a global basis both securely and confidently.
s a company, we pioneered the identity governance market, providing an integrated set of cloud-based services, including compliance controls, provisioning, password management, single sign-on and data access governance, all built on the belief that identity is a business enabler. We specialise in securing and managing digital identities, which are how a user is identified within an enterprise’s systems.
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In essence, we enable enterprises to answer the questions ‘who has access to what?’ and what can be done with that access?’ Managing these identities and their access is critical to an organisation’s security program because doing so is the most efficient way to prevent data breaches and minimise the impact if a breach does occur. We help hundreds of global organisations securely and effectively manage these identities and access points from any device to data and applications, no matter where they reside.
“In essence, we enable enterprises to answer the questions ‘who has access to what?’.”
40 Acquisition International - October 2016
Research shows that technology buyers often get seven digital touch points with a business-tobusiness (B2B) brand before directly interacting with that brand. Based on this buyer journey, a digital marketing strategy is a critical part of a company’s overall marketing strategy. SailPoint’s target market is the Global 5000, and we market to these specific companies digitally through a number of different channels with a very accounttargeted focus. This strategy allows us to reach more potential customers in our target market in a way that was not possible in the purely analogue world. Since everything is digital, marketers now have the ability to more effectively track every function across every medium at every stage of the sales process which allows us to use data to be more accurate, more effective and ultimately, more competitive. At SailPoint, executable ideas and strong leadership are the pinnacles of our success because we have proven to be trustworthy experts who can deliver tangible results to our customers and reinvent the way we work to stay ahead of our customer’s challenges and the ever-evolving market.
Our customers are among the world’s largest companies in virtually every industry, including eight of the top banks, four of the top five healthcare providers, six of the top seven property and casualty insurance providers and five of the top pharmaceutical companies.
I began my career as a strategy consultant with a passion for business and finance. After graduating, I moved to San Francisco and after two years at Bain & Company I realised the best way to stay in the Bay area was to get into the high tech industry. As a result, I took a job at Oracle, shifting my focus to product management and marketing and taking on more responsibility with encouragement from my mentors.
SailPoint’s success comes by way of two factors, the continued innovation in our identity platform and our unparalleled customer service. We take pride in our ability to solve incredibly complex business challenges and better protect our customers from the threat and impact of data breaches.
Over time, I moved into a pure marketing role, but I never lost my passion for business strategy. By having a general management view of the business, I have always been able to get the most impact from my team’s marketing activities and have always partnered well with other functions.
The technology buyer journey has transformed in the past decade, making it much more similar to that of a consumer. If you want to purchase a camera, your first step is to go online. In the same way, technology buyers of $10K or multi-million dollar solutions are going online to research their options and seek out information from their peers.
As CMO of SailPoint, every market is highly competitive, and ours is no different. Our competitors include both industry giants and startups, both with different funding, budgets, resources and marketing philosophies. Due to these competitive differences, we have to be not only innovative but also impactful, finding a balance
SUPPORT SERVICES & TECH / CMO of the Year – Austin: The Best in Identity Governance
between the ‘bread and butter’ requirements and exploring cutting-edge ideas. Going forward the security industry as a whole faces a messaging challenge. For years, security companies have been betting on a strategy putting fear in the hearts and minds of CXO’s to spur them in to purchasing various solutions. Customers are barraged with the message that if you do not buy our solution, you will be attacked and breached, losing millions of dollars and suffering reputation damage in the process. Customers are now numb, not only to this message but to data breaches in general. We all know that no solution is bulletproof, and the war against hackers is more complex than we ever imagined. Here at SailPoint, we are concentrating on how to reenergise an industry that is on fire. Our new brand focuses on business enablement, and how we can help our customers do what they do best. This is an exciting time in my career, giving me the opportunity to grow the brand of an already successful company, one that is profitable and well known within the identity market. This opportunity allows me to leverage my background in cybersecurity and take the company to its next level, leading it away from a niche market and turning it to the public market for continued growth and recognition as the leader in identity. SailPoint recently rolled out our new brand strategy, including messaging, positioning, and the visual language to support it. Heading into next year, we will be broadening SailPoint’s awareness into new geographies.
Acquisition International - October 2016 41
1609CG01
Company: BiOzone Corporation Web: www.biozone.com
AI’s Biotech Top 50 – USA
The World Leader in Ozone Generators BiOzone Corporation is a world-leading manufacturer of ozone generators and ozone water treatment process trains, designed to meet a wide range of water and air pollution oxidation needs. BiOzone’s ozonation technology is highly effective in processing, recycling and treating process water, removing colour and odour from wastewater, and purifying drinking water through its ozone generator oxidation system process.
iOzone Corporation understand the water quality problems which they propose to solve using ozone reactor technology. As a result, this understanding allows them to solve these problems, not just to sell equipment.
and computer-driven automation of the generated ozone and the fluid flow. They further understand how ozone reactor systems may be synergistically used with complementary water treatments, such as bioremediation for the clean-up of very complex contamination.
Although ozonation is applicable to many water quality problems, there is a huge gap between providing an ozonator and a solution. Moreover, their consulting services can help fill this gap by working with the client’s engineers responsible for the overall project.
Assembled with a system approach, they offer very reliable ozone generators, efficient injectors, static mixers and a reaction vessel sized for the application. Electronic sensors for the influent and effluent keep mass transfers and reaction kinetics in balance by referencing a microprocessor installed real time digital data base.
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In addition to their technical expertise, the founders of BiOzone include senior people who have managed successful companies responsible for a broad spectrum of technical services throughout
“The staff at BiOzone play a vital role in the success of the firm, in fact without them the company would not be what it is today.” the US. They have the chemistry, engineering and management capabilities to ensure that effective and efficient solutions are provided, and they are prepared to respond to their client’s needs wherever they are located. Successful water treatment with ozone involves an understanding of the chemistry of water contaminants, and the kinetics of ozone reactions, not just the installation of an ozonator. BiOzone understands this technology, and their research and engineering departments are positioned to keep the firm at the forefront of the industry. Ozonators alone do not clean water, in fact, without attention to the total system of ozone water treatment units, there is considerable potential for failure. Their wet oxidation process extends beyond the ozonator to provide a total water treatment system, including chemical sensing
42 Acquisition International - October 2016
Their generators are assembled with a system approach that offers a very reliable ozone generator product. The high oxidation potential of an ozone is utilised to its greatest advantage, with ozone generator equipment manufactured by BiOzone. Efficient injectors, static mixers, and a reaction and filter vessel sized for the application make the BiOzone ozone generator process a very successful treatment option. Ozone generators at BiOzone are made of high quality materials and ozone generators are effective for use in air and water treatment. The ozone generator completely breaks down odours and other pollutants at the source through their ozone generator systems. BiOzone is the leader in ozone generator technology and always strives to provide quality and efficient ozone generator products. Ozone air purification systems produce clean and purified air through ozone oxidation technology. Ozone air purification and their ozone air purifier systems, provide disinfection and odour control for ozone air environments. The high oxidation potential of ozone is utilised to its greatest advantage with ozone air purifier equipment manufactured by BiOzone. Ozone air purifier oxidation of odour and the cleaning of exhaust gases such as sulphur, nitrogen and carbon bearing gases results in ozone air purification, thus making the BiOzone air purifier process a very successful ozone air purification
SUPPORT SERVICES & TECH / AI’s Biotech Top 50 – USA: The World Leader in Ozone Generators
treatment option. Ozone air purifier products from BiOzone are of high quality and the ozone air purifier improves the air quality by reducing indoor air pollutants that filters cannot contain. The ozone air purifier completely breaks down odours and other pollutants at the source through their air purification systems. The staff at BiOzone play a vital role in the success of the firm, in fact without them the company would not be what it is today. Pulling together to achieve the company’s objectives is what keeps their staff motivated. Going forward. if they can maintain they are confident that BiOzone will remain one of the prominent figures in the biotechnology industry.
Acquisition International - October 2016 43
The UK Independent Hotel Sector Today The Independent Hotel Show, which took place on the 18th-19th October at Olympia, presented the key highlights of today’s UK Independent Hotel Sector, taken from specially-commissioned research conducted by Melvin Gold Consulting Ltd., a specialist hotel industry advisory firm seeking to work with those that are active, or seeking to become active, in the hotel sector. Working from a strong research base the company is typically involved in financial and strategic roles within the hotel sector.
efining the Sector Based on analysis the report concludes there are currently some 38,604 independent hotels (including those in consortia) with 409,913 rooms in the UK at the end of 2015. This amounts to 54.9% of total UK serviced accommodation according to Melvin Gold Consulting. As well as defining the size of the independent hotel sector, the report focuses on key issues for the segment, the changing needs of guests and encompasses some best practice examples from independent hoteliers.
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The report also defines five critical differentiating factors for today’s independent hotel: individuality, locality, freedom, personality and innovation. It should prove invaluable for the country’s independent hoteliers, both currently in the sector or those considering entering it or expanding. Topics range from technology and staffing, to financing and marketing, and are accompanied by pragmatic suggestions and expert insight from independent hoteliers. Independent Hotel Show director Miranda Martin says, “this year we wanted to bring the industry a report that would help to clarify the landscape of the sector and to provide a snapshot to those outside of the industry who are perhaps considering a life in hotels or investing in the sector. Commissioning Melvin has enabled us to provide even more insight to the independent hotel sector and to support the continued values of the show to bring information and opportunity to the industry.” Sector Influence The Independent Hotel Sector has rarely been more influential, largely due to its flair for innovation. A prime example is the sector’s role in the regeneration of coastal tourism. Whilst British seaside resorts may not always guarantee a traditional bucket and spade summer holiday, there is a growing and less seasonal demand, for modern boutique and lifestyle hotels by the sea. Guests are aspirational and seek authenticity, quality food and beverage, spas, local culture and quirky attractions. Trends that have supported the development of these coastal hotels include staycations, growth of the short break market and the trend toward multiple breaks during the year. A similar trend is evident in inland towns and cities throughout the country.
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The 21st-Century Guest Comprising more than half of the serviced accommodation rooms in the UK, the independent hotel sector continues to thrive in an everincreasing competitive environment. As the needs of the 21st-Century guests evolve, independent hoteliers strive successfully to satisfy constantly changing requirements and higher expectations. Quality, cleanliness and good service are minimum standards, food and beverage play a much bigger part in the hotel offering, and with management typically coming into closer contact with guests (compared with a chain), independent hoteliers can react quickly and deliver tailor-made experiences. Justin Salisbury, artist residence, says, “ultimately our industry is catering towards what people want especially when it comes to trends and tech.” Consortia Given the wider trend towards hotel brands, some independent hotels are recognising the benefits of joining consortia, especially in terms of marketing and distribution. In the UK, there are 555 independent hotels (29,365 rooms) that are part of consortia, such as Best Western, Pride of Britain and Relais & Chateaux. Some independent hotels have joined ‘collections’ established by major brands but many continue to stand alone, either through choice or because they do not fit the criteria to affiliate, in terms of size, location or design. The Power of Brands It cannot be ignored that some independent hotels have been unable to survive due to the marketing power of brands and online travel agencies, but also due to lack of investment and falling behind the requirements of their guests. Almost 45,000 UK hotel rooms have closed since 2001. However, Melvin Gold Consulting notes that some that have closed have reopened under new ownership, and investment has allowed them to re-emerge as hotels better suited to the 21st-Century traveller. While the hotel sector is undoubtedly becoming more branded, within the Independent segment it is the strongest that survive and thrive. Standing still is simply not an option as the closures serve to emphasise, but the report, including the hoteliers that have contributed to it, provide practical illustrations of the good practice that now emanates from this tier of the market.
The Changing Face of Luxury The changing face of luxury is discussed in the report by Peter Hancock, chief executive of Pride of Britain Hotels, who highlights that independent hotel guests aren’t necessarily looking for out-andout five-star luxury hotels and formality. He refers to Chewton Glen, where some wealthy families opt to occupy giant tree houses instead of the main suites, and Lucknam Park, where the modern Brasserie is as popular as the Michelin-starred Park Restaurant. Peter Hancock says, “a new breed of expensive hotels for a new breed of customer is evolving, inspired by innovative hoteliers like Robin Hutson, Nick Jones, Richard Ball and others...what Richard Ball calls ‘pared back luxury’ appeals to a growing number of guests who can afford anything but don’t always want to conform to tradition.” Technology Technology represents one of the most significant shifts across the entire hotel sector, from how bedrooms are purchased, to how guests are influenced to buy them. To the independent hotelier, the Internet is an opportunity but one that takes some getting used to in order to optimise benefits. The revenue of an independent hotel can take a huge hit from high commission rates of OTAs, yet can secure a loyal customer base. In addition, by expertly marketing to customers online, via social media, an engaging website, targeted email communications and responding skilfully to online reviews, an independent hotelier can increase visibility, make noise about quality and create a buzz within the local community. Local Community and Taking the Lead The importance of a local presence coupled with effective social media activity cannot be underestimated for the independent hotel. Establishing relationships with local suppliers, offering lunch or supper clubs for locals, telling quirky stories about the locality and actively supporting local charities, are some of the ways that independent hotels are being recognised at local, then county and even national level. David Timmis, managing director of Aubrey Park, says, “making sure Aubrey Park is top of mind is a constant focus so whatever is trending we find a link. It didn’t take us long to capture our 78th Pokémon at Aubrey Park, many were very rare and of course, we shared it with our followers.”
HOSPITALITY / The UK Independent Hotel Sector Today
Ian Taylor, director of the Abbey Hotel in Bath, also strongly advocates working with the local community because it is where independent hoteliers can truly differentiate themselves from the branded chains. He also observes that hotel brands want to be perceived by guests as more individual and designled to compete with the independents. He says, “it is easier for an independent hotelier to innovate and make changes and I see a great opportunity to take the lead in doing things differently which will benefit or enhance guest experiences with us.” Financing Financing is a hot topic. Whilst a chain might ostensibly have better access to finance than an individual owner, it is false to assume that individual owners cannot secure investment. Andrew Taylor, head of leisure at NatWest/RBS, emphasises how the bank works through relationship managers who specialise in the hotels to build rapport and understanding with the sector. A proven track record, solid business plan, stability of earnings and clear positioning are all factors that are considered. He says, “the hotel sector remains dynamic and attractive from a bank perspective and we are very much open for business to independent and branded operators alike.”
www.custardcommunications.com
Acquisition International - October 2016 45
HOSPITALITY / Excellence in Hospitality: Suite Success 1610AI03
Suite Success In 1994, Edward and Sarah Bence arrived as new owners of Brixham’s respected Berry Head Hotel. Since then, with their family, they have transformed it into a much-loved jewel at the heart of the community. The historic and striking hotel building has truly spectacular sea views, which must be among the most beautiful in the world, something that the locals are immensely proud of. There have been some famous visitors to the hotel over the years, including John Cleese, David Essex, Richard Wilson (from One Foot in the Grave), Princess Anne, a number of politicians and Prince Charles who once hosted a four-day conference there. Company: Berry Head Hotel Name: Edward Bence, managing director Email: stay@berryheadhotel.com Web: www.berryheadhotel.com Address: Berry Head Road, Brixham, Near Torquay, Devon, England, TQ5 9AJ Phone: +44 (0)1803 853225
Excellence in Hospitality
The Berry Head is our flagship hotel, and we also own the Hannafore Point Hotel in Looe, Cornwall. The Berry Head Hotel is situated at the water’s edge in six acres of its own grounds, on the edge of Berry Head National Park. It is a 3-star hotel, with a restaurant, brasserie and function facilities catering for a broad range of customers. Since taking over, we have built a swimming pool, a function room and added the top floor. Profits were all reinvested into the hotel, which has gradually become the hugely popular venue it is now, not only for visitors but also very much for locals.
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We owe the success of our two hotels primarily down to their locations, both of which were chosen very carefully and purposely outside of traditional resorts. We do like to be seen as integral to the local community and the port of call for local people and organisations. Both hotels are in fishing towns, and Brixham is actually the largest port in England for fish landings.
“We owe the success of our two hotels primarily down to their locations.” As such, we work very closely with the local community, both in terms of clubs and associations and other businesses in the area. We use local companies for all our requirements wherever possible, for most food products and of course focus on fresh local fish direct from local boats. Another aspect of our approach is that we always try to be as innovative as possible. The hospitality industry is one of the fastest growing sectors in the world today. With this growth has come many corporate and branded operators, and has subsequently allowed us the opportunity to distinguish ourselves by providing a more personal touch than our competitors as a family run independent. In this fast paced environment, you have to be constantly moving and tweaking services in order to meet ever changing market expectations. You need to be constantly coming up with new ideas and packaging things in different ways to appeal to an ever widening
market, particularly in terms of food and beverages. It is vital that we do this in order to maintain success and maintain success and in this regard, everything that we do is under constantly under review. We will try and introduce new things, and if they work we will run with them. We are always trying to learn from our customer base as to what they seek whilst maintaining traditional standards of product and service, adopting a strategy of evolution as opposed to revolution. Developing our services is also vital considering the highly diverse range of customers that come to our hotels. Our leisure visitors include young couples, families on holiday and of course older customers who particularly enjoy taking short breaks. Families will celebrate their weddings, christenings and anniversaries or just come here for a family gathering or a simple lunch or evening out. That is what defines us - our ability to give people what they want. In addition, we also welcome a number of corporate guests on business or for conferences and seminars. Although the Berry Head Hotel has some very nice features in terms of its setting and surroundings, our number one asset is our staff. When we bought the hotel over twenty years ago, we employed eight people, whereas we now have 65 staff at the Berry Head Hotel and 45 in our Cornwall hotel. Whenever we add to our team, we look first towards local staff training them ourselves wherever possible. This is very much a people industry, so whom you employ is very important indeed. Hospitality is one of the few industries where almost every member of staff interfaces with the customer, so it is absolutely essential that they have good social skills and know how to converse with the customers. I cannot really emphasise enough how important it is to have the right staff. Another aspect of our business is that we take tremendous pride in the fact that we are very much family-orientated. Both our son and daughter have degrees in hospitality and have returned to use after pursuing their careers with large hotel companies. They are now taking on more and more of the responsibility and will hopefully grow the business further. We may expand, but it would depend on the property, the location, and the opportunity available. More importantly, we will always maintain our ethos of a personal service and attention to details. Acquisition International - October 2016 47
INVESTMENT / How the Green Bond Market Works
How the Green Bond Market Works Financing green investment through bond issuance is a relatively new development, with the EBRD at the forefront. Here they chart the rise of the green bond market.
n August this year, the green bond market reported another milestone when aggregate green bond issuance reached $150 billion since the first bonds in 2007-08. With the heightened awareness of global environmental and climate challenges, green bonds are increasingly seen as a tool that could allow the private sector to take an active part in raising the funds needed to put our society on a more environmentally sustainable footing.
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But what exactly is a green bond, and who decides whether it is green or not? The distinguishing element of a green bond is its ‘use of proceeds’ pledge. This earmarks the proceeds for specific projects with environmental benefits, such as a wind park or a water treatment plant. For anyone in the development finance industry this is a familiar concept, but in fixed income markets most financial instruments have traditionally been separated from the assets they fund. Technically, most bonds fund so-called ‘general corporate purposes’ and the only difference in
documentation between a normal and a green bond is the ‘use of proceeds’ section. However, this relatively minor change raises a host of new issues. What are the green assets that are funded? How are they selected and what are the environmental benefits? How are the funds and projects segregated and tracked? How is all this reported to investors and other stakeholders? What makes the green bond market particularly dynamic is the fact that it straddles two very different worlds: the capital markets and environmental development (from both a technical and policy angle). It also requires coordination of administrative functions and resources by issuers, investors and market intermediaries alike. In 2014, a group of influential issuers, underwriters and investors agreed on a set of voluntary process guidelines called the Green Bond Principles (GBPs) in order to support communication among market participants and promote market-driven solutions to specific green bond issues.
The GBPs focus on transparency, disclosure and integrity from a process point of view. The goal is not to define what may constitute a green project, but rather to ensure enough transparency in a green bond issuance for any investor to assess the potential environmental merits. The decision as to whether a bond is green enough therefore lies with the investor and, as in any market, the different investor focus areas and criteria promote diversity and growth. This also flexibly accommodates changing views of what constitutes green as, say, technology evolves. The requirements for an issuer to establish a green bond programme are significant, and a good example is the depth and range of reporting that is expected. The reporting involves not just tracking the proceeds and qualitatively describing the benefits, but transparent quantitative measures are increasingly required. The reporting is made more complicated by the broadening range of issuer types (from banks to corporates in various industries) with different green assets and operating in dissimilar regions. This makes comparing the bonds challenging to say the least, and the reputational risk for the issuer in making a mistake in the reporting could be considerable. Whereas the US and Europe rely on voluntary guidelines and reputational incentives to retain the integrity of the market, some emerging markets (like China and India) have chosen a regulated approach, including a more prescriptive definition of what is green. There are, however, concerns that a regulated approach, in which issuers might for instance face legal repercussions should environmental benefits not materialise as planned for any reason, could limit growth and diversity. The GBPs have proven highly effective in promoting a transparent, diverse and flexible marketplace that is well suited for the evolving nature of the underlying assets, and that encourages growth yet also retains integrity. With continued strong growth in green bonds – and the assets they fund – this instrument will increasingly contribute to a more environmentally sustainable society.
www.ebrd.com
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INVESTMENT / UN Climate Deal: Clear Rules for the Financial Industry Now Needed
UN Climate Deal: Clear Rules for the Financial Industry Now Needed India ratified recently the Paris Agreement on Climate Change, then the EU parliament followed. In order for the Paris Agreement to take effect, it must be signed by at least 55 countries, accounting for at least 55 per cent of global greenhouse gas emissions.
oth of these hurdles have now been met,” says impact investor Jochen Wermuth of Wermuth Asset Management, the Berlin-based family office and impact investment firm. With the EU ratification, the pact can come into force even in the current year. “But this means that the political leaders must now act quickly to put a clear framework into place for the financial industry and the economy overall,” notes Wermuth.
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The financial industry is now awaiting clear rules on how it may channel more capital into sustainable investments, while industry is demanding new benchmarks and a fair price for C02 emissions so that they can value the risks in their financial planning. Wermuth sees a solution in the taxation of greenhouse gas emissions, along the lines of the Swedish model, which introduced a C02 tax back in the early 1990s. “A global tax on emissions
would clear the way to a self-sustaining economic structure as well as to a sustainable global future,” declares Wermuth.
exploration and in the production of combustion engines need to be stopped to avoid capital writedowns and jobs.
“The tax rate in Sweden is currently at €130 per tonne of CO2. And the experience of the country shows that such a tax would not necessarily reduce economic growth. Quite to the contrary: carbon taxation provides incentives for resource efficiency and competitiveness – among advanced countries Sweden had the sixth highest economic growth last year.”
“More capital needs to be moved into companies which are turning resource efficiency, electromobility and renewable energy into everyday reality. In this way we can achieve sustainable growth and secure long-term jobs,” says Wermuth, adding that around the globe, ever more companies, foundations and investors are coming around to this way of thinking. “Impact investors have grasped that the environmental impact must be factored into their investing decisions,” emphasizes Wermuth, “not only for ethical, but also for financial reasons.”
The world’s capital must be redirected from fossil fuels and cars with combustion engines to the champions of the green revolution. To achieve the climate goals set out in Paris – necessary to give humanity a fighting chance to survive – time is now of the essence. “Investments which are now economically senseless in coal, oil and gas
Jochen Wermuth, Chief Investment Wermuth Asset Management Berlin
Officer,
www.wermutham.com
Acquisition International - October 2016 49
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INVESTMENT / Best of the Best in Finance - USA: The Best Possible Service 1610EA18
Company: Pinnacle Investment LLC. Name: Troy Fullwood Email: troy@pinnacleinvestments.com Web: www.pinnacle -investments.com Address: 2820 S. Alma School Rd. STE. 18 Chandler AZ 85286 Phone: 888-736-5353
Best of the Best in Finance - USA
The Best Possible Service As an Arizona based Real Estate Investing Firm, Troy Fullwood, the owner and CEO of Pinnacle Investments has been investing in 1st lien single family residential mortgages for the last 20 years. As a company, my core business is purchasing performing and non-performing first lien private mortgages and institutional mortgages from lenders to help them replenish their cash. We realize that selling your mortgage note can be one of the most important decisions you will ever have to make. e are committed to providing you with the best possible service and handling every note as if it were our own. You have choices when selling your mortgage, and we want to make sure you are informed on what they are.
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As the owner of the company, I have focused all of our attention on the US markets. Our industry is a 10 trillion-dollar industry just in the U.S. Although we have opened the doors to work with foreign note investing firms, our primary capital comes from US investors. In regards to the impact of any significant developments in the U.S. and how they imply on the global economy, I seeing that there will be major changes In the coming year, the biggest factor is our current presidential election and the uncertainty of the outcome. There are a lot of unresolved economic issues that have been set aside to be addressed in 2017 -2018, so depending on who is elected will play a huge role in how these issues are resolved and how they will affect the global economies. I believe that firms worldwide watch what is going on in the U.S. economy, but it is not an hourly or even a daily matter. Management at worldwide firms have economically matured to the point that they tend to avoid unnecessary risk by spreading out their
business models worldwide and not risking their entire business on a single economy like the US. In regards to our clients. They are typically involved in banking institutions, hedge funds, private equity funds and REIT’s. In terms of our client approach, our industry is performance based. If you are an active participant in in this industry, chances are people are going to recognize you. I have been in this space for over 20 years as a testament that I perform actively on a regular basis. While also being one of the original experts on this topic matter since 1996. Going forward, our current focus is raising capital for our second distressed asset fund. We will be opening the door for investors in January of 2017 and looking to raise approximately 75 million and up. When you look at investment opportunities here in the U.S. the biggest opportunity is in the space of buying and modifying first lien mortgages. The current niche market for this has over 460 billion in shadow inventory. This abundance of growth ahead is the perfect opportunity to learn more about this business and what my experience has to offer to someone wanting to get into this niche.
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1610AI28
Setting the Benchmark CKLB was founded in 1998, is well-established and independently owned. As a medium sized firm, they pride themselves in their ability and commitment to provide a personal and tailor-made services for their clients. In an in-depth interview with the firm’s Adrien Li, he reveals his firm’s expertise in understanding the specific requirements and needs of their clients, which are key to the successful development of CKLB. Company: CKLB International Management Ltd Name: Adrien Li Email: adrienli@cklb.com Web: www.cklb.com Address: Felix House, 24 Dr Joseph Riviere Street, Port Louis 11602, Mauritius Telephone: +230 405 8800
Mauritius - Gateway to Africa
lease can you give us a brief description of your firm does? We provide a one-stop quality service, with an emphasis on local presence and substance, indeed we have a varied client base including international private and corporate clients, high-net-worth individuals (HNWI), family offices, companies listed on major exchanges, private equity (PE) firms and intermediaries in major financial services jurisdictions.
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CKLB’s wide range of services include: advice to HNWI’s and family offices in developing efficient estate planning solutions; management and family office support structures; a focus on a complete set of fund structuring and administration services; corporate structuring and advice; company formation and corporate management; administration and accounting; establishment of trusts and provision of trustee services; back office administration and accounting services; outsourcing and payroll services; business administration services, including international trading, licensing and financing; expatriates occupation and residence permits; group investment holding and management services. What role do staff play in the success of your firm? CKLB’s staff know and are reminded at every possible opportunity that they play a key role in the organisation’s success, indeed their commitment in delivering their work to a high ethical standard is vital to maintain relationships with our existing clients. In addition, ensuring that we continue to grow our client base from valued sources of new business, which of course are client referrals. Even more so, we look upon our staff to service our clients at a high level, and in turn the firm can look after them. As an organisation, all staff have a role to play in servicing client needs whether that is directly or indirectly, analogous to a series of connected links that make a chain strong. While technology and systems help to render our work more efficient in the end, personal and tailor-made services coupled with ethical standards, will win you long term relationships and new clients.
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What do you think are the major trends and developments currently shaping the industry in this region? The financial services industry is journeying unprecedentedly in an era where it faces continual challenges and numerous threats whether it is economic, technological, consumerism, regulatory, public trust, and so on along with globalisation, all of which have made things far more complex. The ongoing shift in global economic activity from developed to developing economies, accompanied by growth in the number of consumers in emerging markets, are the global developments that the world is witnessing. The financial services industry must adapt and re-invent for an efficient distribution of investible resources, enabling sound global economic growth and an equitable distribution of wealth. The rise of Africa’s financial services industry in recent years has been significant. From an underinvested industry and relatively unexplored by international investors a mere decade ago due to perceived risks (well founded) and limited profit potential, today, Africa financial services industry is considered to be one of the continent’s brightest prospects, and by the same token, a means to tap into Africa’s broad and unexploited growth potential. A number of African economies have registered significant economic growth, while the rest of the world are still under the effect of the 2008 financial crisis, and is witnessing the emergence of Africa as the next driver of world economic growth. Africa today is no longer regarded to be uniquely risky, on the contrary, opportunities abound. This is not to say that challenges do not exist, in contrast, these remain plentiful. With the exception of the handful of countries that have developed financial markets, many other African countries’ financial markets are still in an embryonic stage. The economic services provided by the finance industry encompass a broad range of businesses that manage money, but the three main sectors that will most likely shape the continent’s future are banking, insurance and private equity.
INVESTMENT / Mauritius - Gateway to Africa: Setting the Benchmark
While the growing presence of subsidiaries of major global banks on the continent has undoubtedly improved the availability and quality of financial services in recent years, the focus was essentially but not exclusively, on high margin corporate businesses as opposed to financial inclusion for lower income households and the traditional sectors of economies. Indeed, according to the World Bank, at most, 20% of African households have access to formal or semi-formal finance. Africa’s emerging middle class, which is forecast to triple over the next two decades, along with a sharp surge in urbanisation, presents a massive potential that lies within Africa’s growing consumer base. Indeed, with real GDP per capita in many African countries exceeding the critical US$1,000 mark, a rapid expansion in retail banking is foreseen over the coming years as financial institutions gear up to tap into billions of dollars in deposits from Africa’s rising wave of prosperity. To do so however, institutions will continually need to embrace innovative solutions and disruptive innovations to shape banking products to fit consumers’ rising financial sophistication needs, as well as the micro entrepreneurs as much of which could well be beyond the realm of ‘traditional banking and other financial products’ per se. The insurance market in Africa is under-developed; indeed, apart from South Africa, Namibia and Mauritius, all countries have very low penetration ratios. This is mainly because most African countries are classified within the low income level of the World Bank and are thus too poor to afford insurance. However, growth prospects are substantial thanks to rising incomes, increased participation by foreign companies and more innovative insurance products. A significant part of private equity investment in Africa is being targeted specifically at the financial services industry and telecommunication sectors, both of which benefit direct from Africa’s strong economic revival, urbanisation, and population growth. Mobile technology and innovative strategies are set to modernise banking and financial services for the continent’s poorest. Private equity is already experiencing a boom as the perceived risks of investing on the continent decline, and as global liquidities seek profitable opportunities elsewhere than in depressed developed markets. While agriculture, mining and energy sectors have always been important for Africa’s economy, the importance of food production is increasing on the back of global population growth.
long period of economic and political stability. For decades, Mauritius has built long-standing relationships with key African and international bodies, including the Southern African Development Community, the World Trade Organization and the Commonwealth of Nations. Furthermore, Mauritius does well on most international benchmarks and is first on benchmarks of the African region. Financial services account for over 10% of GDP and they are the fourth pillar of the economy besides sugar & agriculture, textile & manufacturing as well as the tourism industry.
investments in key African states through its network of IPPAs. As at date, Mauritius has signed 44 IPPAs, including ones for 23 African countries.
Like South Africa, the Mauritius financial services industry is much more developed than that of other African countries. The Mauritian economy has been resilient in the post financial crisis era, and indeed the island nation well-developed banking and insurance sectors have hardly been affected. For example, according to the World Bank, its large and medium size insurance companies are ‘efficient and strong’. The insurance penetration ratio is in the region of 4.5%. Life insurance is also welldeveloped, accounting for 61% of total insurance premiums.
In addition to the already existing host of products and services, the finance minister announced in the recent budget speech new licencing products such as global legal advisory services; investment adviser (corporate finance advisory); representative of investment adviser (corporate finance advisory); global headquarters administration; global treasury activities; overseas family corporation; and investment banking. These will make Mauritius a truly international financial centre and a solid onestop shop jurisdiction.
In fact, Mauritius targets and positions itself as an international financial centre having embraced international financial services since the enactment of offshore banking in 1989 and non-banking offshore financial services in 1992, now known as global business. The global business sector plays an important role in Mauritius’ financial services industry and has been a catalyst to a host of financial products that the island offers: corporate structuring, global investment funds, private wealth management, captive insurance, international arbitration, are just a few among a host of products and services that the island offers to facilitate international cross border businesses in addition to being an interesting double taxation treaty jurisdiction. Indeed, Mauritius as an international financial centre has been a success to date home to over 900 active global investment funds investing to a large extent into emerging markets and India, plus more recently on the African continent mainly in the legal form of private equity fund structures. Besides double taxation agreements (DTAs), Mauritius also entered into Investment Promotion and Protection Agreements (IPPAs) with a number of states. Mauritius offers full protection of foreign
The IPPAs guarantee Mauritian investment with respect to expropriation and social unrest in contracting states. They also provide for arrangements for the settlement of disputes between investors and the contracting states. This is a very important form of protection that investors look for when choosing a credible international financial centre.
What challenges and opportunities lie ahead for the company in 2016 and beyond, as well as in the region you are based in? Irrespective of the drivers of economic growth, it is these sharp increases in economic performance, along with the continent’s booming population and urbanisation that will continue to spur foreign investors’ interest in the haven of opportunities offered by the massive consumer potential, including the financial services industry. Mauritius has a key role to play to channel foreign direct investments (FDIs) into the African continent, having a platform that oozes confidence to international investors and stakeholders with the right mix of products, services, regulation and protection. Finally, I believe that CKLB has the right mix of expertise to assists investors and businesses doing business in Mauritius and in the region. CKLB has assisted many businesses to set up operations in Mauritius to date, and over the last couple of years we have assisted a growing number of international investors’ (international private and corporate clients, companies listed on major exchanges, PE firms, and so on) to setup appropriate corporate structures to invest on the African continent.
Perhaps the most exciting opportunities in itself are the result of Africa’s own demographic changes, which are fuelling urbanisation, employment and growth in disposable income. These trends make consumerfocused businesses attractive and international private equity investors are taking notice. What do you think are the major trends and developments currently shaping the industry in this region? What about Mauritius? Mauritius has a well-established financial services industry and a well-diversified economy with Acquisition International - October 2016 53
INVESTMENT / 60-Second Interview: Investment Ideas and Opportunities
Florman Family Trust
Company: Florman Family Trust Name: Mark Florman Email: info@flormanfamilytrust.com Web: www.flormanfamilytrust.com
60-Second Interview
Investment Ideas and Opportunities The Florman Family Trust (FFT) is a single family office. Founded in 2000 the Trust is an active investor in direct private markets, co-investments and private equity managers and their funds. Their main focus is private equity, where they are currently invested in some 25 funds through 18 managers. The programme is invested principally in buyout funds across Europe and North America, with a smaller exposure to Latin America and Asia, as well as some co-investment, credit, real estate and secondary funds according to the firm’s Mark Florman in a revealing 60 second interview.
hat are your firm’s unique selling points? We strive to be a proactive, helpful LP and member of the wider private equity community. Our level of engagement is derived from my long term involvement in the industry - as CEO of the BVCA, I was instrumental in negotiating a workable regulatory framework for the industry and co-led on negotiations for AIFMD in Europe. Previously, I was at Doughty Hanson and cofounded 8Miles, the African private equity firm. Here at the Trust, we can see things from a GP (manager) and LP’s perspective, and we focus on the ‘’P’, partnership.
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With the power of partnership and co-operation in mind, we have founded an informal European Family Office club, connecting other family offices investing in private equity. The family office segment can be perceived as fragmented and secretive. Our club provides a forum for the sharing of investment ideas and opportunities.
What are the main challenges facing your company today? For us the greatest challenge is good fund selection. The volume of opportunities that managers present to us continues to increase, many overlap, others complement - good fund selection becomes even more important, and difficult in this environment. We review and meet with many managers, and one of the most important criteria for us is the individuals, not only their experience, but their integrity and drive, as this closely aligns with our own values. Maintaining open, active communication channels with managers, regardless of whether or not we invest with them, is key to our ongoing mapping of opportunities. What are the main objectives for your business in the future? Going forward, we plan to continue investing in 6-8 funds a year. We have a positive outlook for private equity, believe it will continue to perform well, and remain committed to it as an asset class.
The Trust is an LP member of EMPEA, EVCA and BVCA.
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INVESTMENT / 2016’s Alternative Investment Top Twenty-Five – Japan: The Best in Hedge Funds 1610AI23
Stats Investment Management Co., Ltd. Company: Stats Investment Management Co., Ltd. Name: Masahiko Iwai Email: miwai@stats.co.jp Web: www.stats.co.jp Address: COI Hirakawa-Cho Bldg. 7F, 1-7-20 Hirakawa-Cho, Chiyoda-Ku, Tokyo 102-0093 Japan Phone: +81 3 6658 4361
2016’s Alternative Investment Top Twenty-Five – Japan
The Best in Hedge Funds First established in April 2005, Stats Investment Management Co., Ltd. is a hedge fund manager based in Japan specialising in managing Japanese equity long/short strategies. The flagship investment vehicle of Stats is the Ginga Service Sector (GSS) Fund, which is a Cayman unit trust first established in June 2006. The strategy itself largely concentrates on the information technology (IT) and service sectors as sources of alpha. In addition, it also focuses on medium and small size stocks, which are not widely covered by analysts so that original research can generate alpha unexploited by the market. ur investment philosophy is based on the conviction, companies that are not widely covered by analysts provide greater opportunities for generating alpha through proprietary research. Concentrating on sectors and companies with experience and knowledge is essential in understanding the businesses and products of your invested companies. These sectors are one of the few areas that have the dynamism to change its business and pursue growth opportunities.
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Corporate research is the backbone of Stats’ investment decisions. Indeed, the fund managers’ company visits are extensive and rigorous, each fund manager visits 400 companies per year, and as a team the total will be more than 1000 companies. Since many IT companies that Stats invests in operate in Tokyo, our office location provides us with an advantage. In order to make our long/short strategy successful, we believe that the skills to manage risk both at an individual stock and portfolio level are extremely important. For this purpose, we limit our individual stock exposure to maximum 5% (under normal circumstances 3%). We also employ a paring strategy to avoid excessive tilts in sectors or investment themes. For this reason, we adopt a proprietary sector allocation to capture the true natures of the businesses of our invested companies. Stats’ investment management is supported by members with long experience and deep insights. CIO Toru Hashizume is one of Stat’s founding members. He started his career as a sell side analyst with one of the major research institutes in Japan, specialising in the IT and service sectors for more than eight years. Soon after, he moved to one of the largest mutual fund companies in Japan and managed its flagship long only Japanese equity fund with $3 billion assets for more than seven years. He joined Stats in 2006 and started the long short strategy with innovatively new risk management. Working with the CIO is the fund manager Yhu Kuni,
who has worked with Toru for more than 10 years since the inception of the GSS Fund. The combination of our solid investment philosophy and experienced staff has produced an extremely good performance over the past 10 years. With no single negative year, GSS Fund’s flagship Yen has recorded an annualised return of 13.92% with an annualised risk of 8.71%. This return itself, along with the longevity of our track record, makes Stats stand out above competition. This achievement was highly recognised by various awards in 2016. Currently Stats manages near $250 million in assets under the GSS strategy, and its client base is spread across various regions and various investor types globally. 2016 like any other year has been a challenging period for hedge fund managers and the Brexit vote will be remembered as a historic event with an unprecedented magnitude. Based on the data from our prime broker, Japanese equity long/short strategies managed by Asian managers returned, 3.42% on average, while our GSS Fund returned +1.74%. This is further proof that GSS strategy risk is well managed and has the capability to overcome even the most difficult market environment. We expect the market to be volatile with a low trading volume, which is a challenging environment for our GSS strategy. However, as Stats has performed so successfully in the past, we will continue with our efforts to generate superior returns even in difficult market conditions. Heading forward to the remainder of 2016 and beyond, Stats will continue to exploit additional fund raising channels, such as a vehicle to accept onshore U.S investors. In addition, we are exploiting various means to enhance our European channels. We are highly grateful to the investors who have invested with us up to date and we hope that our new initiatives will open the gate to investors who had interest in us previously but could not invest in GSS due to various limitations
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1610AI37
The Cruikshank Advisory Group Ltd. Midmarket Expertise and Focus The Cruikshank Advisory Group Ltd. is an independent provider of advisory services to buyers and sellers of middle market companies. Our services include: • Divestitures • Acquisitions • Financing
We focus on companies ranging in revenue size from $2 million to $100 million and have significant knowledge of the financing, private equity and private sale market in Canada and the United States. CAG believes mid-sized private companies in Canada pose unique challenges and require specialized skills in valuation, marketing and problem solving if they are to be taken to a successful completion. We have developed our expertise and experience by successfully completing deals over the years.
Email: Doug@cruikshankadvisory.com Phone: +1-604-922-2553 Web: www.cruikshankadvisory.com
ACCOUNTING / Majority of Public Sector Organistions Still Using Outdated, Resource Heavy and Inefficient Methods of Invoicing
Majority of Public Sector Organistions Still Using Outdated, Resource Heavy and Inefficient Methods of Invoicing New research from iGov commissioned by Basware has found that almost three-quarters (72%) of public sector organisations are still printing and scanning PDF invoices – an inefficient and resource heavy method of invoicing. Instead of adopting new methods for dealing with their invoices, over half (54%) of public sector professionals admitted to scanning paper invoices for over a third of their total invoices.
n the survey of over 100 public sector professionals, nearly two thirds (64%) of respondents acknowledged e-invoicing for providing a cost-effective way of increasing efficiency and improving invoice processing time (61%). However, a third (32%) cited the cost of e-invoicing as a significant obstacle to sector implementation. At the same time, the top invoicing challenges predicted for the year ahead are seen as cost reduction and the time spent by staff issuing, transmitting and receiving invoices.
“This research has revealed just how slow the public sector has been to adopt e-invoicing. Last year, it looked like the industry was preparing for paperless systems but in reality they are still a long way off. Many participants of the survey said that there is a belief within their organisations that current processes are working well enough, yet this is based on adding costs into the process. This highlights a lack of understanding on the benefits of e-invoicing at the top level” said Stephen Carter, director of network services, at Basware.
Many organisations are considering investment in e-invoicing between now and the end of 2017. Over a third (37%) want to invest in receiving e-invoices, whilst a further quarter (27%) plan to spend on accounts payable automation and funding e-procurement (26%).
He concluded, “more needs to be done to educate the public sector on the benefits offered by managing PDFs and other invoices more efficiently. Our expertise and knowledge makes this transformation a quick, simple and cost effective step. Therefore, in order to make real change, there needs be a shift in focus and an understanding that costs will only increase if current the approach continues. We need to make this happen as the impact on our economy could be huge.”
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The survey that had 140 individuals from 129 unique organisations within local government, housing associations, and the emergency services. This included: finance management, chief executive/ deputy, business development, procurement, purchasing, strategy, IT management, payroll, operations, e-government, planning, and service delivery. It looked into the way in which organisations across the UK public sector is adopting e-invoicing.
www.basware.com
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Flexible Working and Tax Breaks for Start-Ups Needed to Open Floodgates for More Women in Financial Services The introduction of compulsory flexible working hours would open the floodgates to more women working in the UK financial services industry, according to Sturgeon Ventures, the leading regulatory ‘incubator’ or ‘umbrella’ firm that submitted its four pledges to HM Treasury’s Women in Finance Charter in a recent release by the Government.
turgeon is also launching a campaign for the government to initiate tax breaks for those start-up companies in which women account for at least half of senior management.
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Seonaid Mackenzie, managing partner at Sturgeon, commented: “there are many women all across the UK with a tremendous amount of experience and who could re-enter the financial services industry but can’t because of the insurmountable difficulties of juggling family care with inflexible nine to five working hours. “Financial services start-ups could benefit enormously by tapping into this overlooked workforce and the government should be actively encouraging this by offering them tax-breaks, especially for start-up financial services companies appointing women to 50% or more of their senior management roles. Such moves would add substantial dynamism to the UK financial services industry, which is especially relevant in the wake of the Brexit vote.
“At Sturgeon we firmly believe that diversity amongst our team improves innovation, decision-making and the way we deliver our services. Women today represent 80% of our workforce and we aim to always maintain 50% in senior management in accordance with our Charter pledges. We take immense pride in the fact that our endeavour to be a responsible organisation ties in so well with the aims of the UK Government’s Charter and we are delighted to release our initial four pledges as a charter signatory.” Sturgeon was among the first signatories to the treasury’s Charter and the only regulatory incubator to do so. It was one of only 13 signatories to pledge to have 50/50 women in senior management roles, alongside Virgin Money, Legal & General and the FCA. The 72 signatories range from international firms such as Mizuho Bank to start-ups such as Affinity Capital, which is managed entirely by women. The Charter requires signatory firms to formulate a strategy for achieving greater diversity within their organisations, particularly at the senior
and executive levels, set Internal and Externally reportable targets to improve diversity in the workforce and publicly report on these goals. Sturgeon Ventures’ four pledges include: • Support five women into senior management/ board level roles at the financial services clients we work with, and maintain at least 50% of their own senior management team as women • Support five women who wish to continue their financial services careers to be retained in consulting, contracting and other permanent positions in the sector. This includes encouraging and supporting continual training of these women • Support five women, who would have otherwise been lost to the industry, to continue or return to careers. This would likely include giving working mothers flexible hours with the option to work from Sturgeon’s office or at home • Support Schools in the United Kingdom - to speak to at least two schools from Year 11-13 in the next financial year on gender diversity in financial services and encourage aspirations to work in front-office roles with no gender bias Sturgeon also encourages those start-ups that it provides with regulatory to exploit the ‘Gender Dividend’ by implementing similar measures to its own. The number of regulatory ‘incubator’ or ‘umbrella’ firms in the City of London’s institutional financial sector has grown to 52,1 according to Sturgeon Ventures LLP, which was the first such firm to launch 18 years ago. “Regulatory incubators”, also known as FCA Umbrella or Regulatory Hosting, provide third-party investment management, investment advice and compliance and eventually direct authorisation support to start-up financial services businesses
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TAX / Flexible Working and Tax Breaks for Start-Ups Needed to Open Floodgates for More Women in Financial Services
until they can be directly regulated in their own right. The service has been particularly in demand since the global financial crisis, with many individuals leaving large institutions to set up their own operations. Sturgeon’s analysis1 estimates that there are currently around 800 firms that are appointed representatives of wholesale incubators in the UK. For further information on Sturgeon’s four pledges under the Charter, see: www.sturgeonventures. com/about-us/equality-diversity-policy/
[1] Source: Register on Financial Conduct Authority website, as at 1 April 2016
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LI160011
TAX / Six Months of Success for First TaxAssist Accountants Australian Franchisee
Six Months of Success for First TaxAssist Accountants Australian Franchisee TaxAssist Accountants’ business model has helped its first franchisee in Australia, Avendra Narayan, enjoy a highly successful six months providing small business services to Sydney’s Liverpool district.
ince opening his welcoming and highly accessible shopfront on Scott Street, in March 2016, Avendra along with his daughter Priya Narayan and two members of staff, have already signed up more than 20 small businesses. With a fee bank in excess of $30,000, Avendra’s shop is already well ahead of his one-year target projections.
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Avendra said: “I could not be happier with the way my business is growing. Following TaxAssist Accountants’ shopfront business model has worked superbly as having a highly visible business encourages walk-in clients. The shop concept combined with the high referral rate from clients who have been impressed by the level of service they have received, means that my business continues to grow.
“The marketing and technical support I have received from the TaxAssist Accountants’ team has been excellent, and I am keen to expand my business further by acquiring a second exclusive territory and shop in the near future.” Terry Murphy, the master franchisee for New South Wales, Queensland and ACT has been delighted by the success of his first franchisee. He said, “I have been most impressed by the exceptional start Avendra has made. He really is a great ambassador and standard-bearer for the TaxAssist Accountants’ brand as we begin our expansion across New South Wales and beyond.
“Avendra has taken on board all of the training and advice provided to him, and has networked with enthusiasm, building strong working relationships within his local community. I could not have asked for a better example for other franchisees to take inspiration from. “We are also delighted that two more franchisees have joined TaxAssist Accountants in Chatswood and Sydney CBD since Avendra started trading, with further expansion planned in the near future.”
www.taxassistfranchise.co.uk/international/ australia
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The EBRD Expands the Concept of Sustainability The Green Economy Transition (GET) approach is part of the EBRD’s overarching aim of protecting the environment and encouraging more sustainable use of resources. Here, two senior members of the EBRD’s Environment and Sustainability Department describe the EBRD’s broader sustainability work.
ollution prevention, gender, economic inclusion, stakeholder engagement, environmental infrastructure, green cities, climate mitigation, road safety, food security, SME and micro-lending … if you start mapping the activities that could reasonably fit under the banner of “sustainability”, you quickly find that there are very few parts of the EBRD’s work that are not linked to it in some way.
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This goal both drives what we do and how we do things. We report annually on these issues in our Sustainability Report. This is not new. The EBRD was established when its region was facing an environmental crisis, carrying the communist era’s legacy of environmental neglect and wasteful use of energy. Many legacies of this time are still with us, the Chernobyl Shelter project being a stark reminder of the long-term consequences of short-term thinking. The EBRD was created partly to help address these problems and mandated to promote environmentally sound and sustainable development. Recent events, from the financial crisis of 2008 to natural disasters, have caused growing global uncertainty. We face an unprecedented challenge to put our world on a sustainable path. The 17 Sustainable Development Goals (SDGs) and 169
targets accepted by all countries last year demonstrate the scale of this new universal agenda. The need for ambition was underlined at the Paris COP21. Estimated financing needs are enormous. Governments around the world are looking to the EBRD and other multilateral development banks (MDBs) to lead in supporting the implementation of the SDGs and COP21 resolutions. The key is bridging public and private sector policies, interests and finance. As well as using more of their own resources for sustainable investments, MDBs have also led the development of the green bond market to help mobilise private sector financing for climateand environmentally-friendly investments. For 25 years, the EBRD has expanded the concept of what sustainability means, from a narrow focus on pollution control to a more holistic and integrated consideration of environmental, climate, labour, safety and social issues through the implementation of the Environmental and Social Policy. With the adoption of the Green Economy Transition approach comes an explicit acknowledgement that climate change and environmental degradation represent a systemic market failure, one that impedes economic activity and human wellbeing.
Our sustainability agenda aims to achieve economic growth and recognises that resilience and stability must be built on balancing the economic, environmental and social dimensions of sustainable development. As the video above shows, in 2015 this meant, for example, financing effective waste water treatment for 1.8 million people or supporting renewable energy projects that will generate 3.5 Terawatt-hours of clean energy each year without compromising the affordability of these basic services to people. That’s enough electricity to power 750,000 homes. Closer to home it means buying green electricity for our offices and paying at least the London Living Wage to contractors and suppliers working at HQ. We are now being asked to build on our success, founded on linking the public and private finance, to implementing high-level policy goals through concrete projects on the ground. If you were to connect the dots between the Sustainable Development Goals and sustainable waste management in the Kyrgyz Republic, there is a good chance the line would pass straight through an EBRD office. We are well placed to incubate and try new ideas, for example working with clients to find new ways of doing something positive about gender equality that also adds value to the business. We are also being asked to be more transparent about what we do. Good governance sits at the heart of sustainability, and accountability sits at the heart of good governance. That applies as much to the EBRD itself as it does to the clients and countries we work with. We face continuous requests to provide more quantitative and qualitative information on the impacts and outcomes of our work. Finally, we are being asked to act now. Climate change is one challenge that is definitely easier and cheaper to mitigate quickly than adapt to its consequences slowly. As Martin Luther King said, albeit in a very different context, “We are now faced with the fact, my friends, that tomorrow is today. We are confronted with the fierce urgency of now. In this unfolding conundrum of life and history, there is such a thing as being too late”.
www.ebrd.com
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SUSTAINABILITY / The EBRD Expands the Concept of Sustainability
Acquisition International - October 2016 63
1609CG10
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www.alliedwallet.com
SUSTAINABILITY / An Expert in Their Field 1609CG29
Company: Pero Family Farms Web: www.perofamilyfarms.com
An Expert in Their Field Pero Family Farms is a food production company based in Delray Beach, Florida focused on encouraging families to make better food choices. Since 1908 our family farms have grown out of our passion for food, a healthy environment and our sincere interest in producing the highest quality of food, both ethically and sustainably. Today we are a sustainable farm that grows a wide array of year-round vegetables offered in a variety of convenient packages.
s a company, we are committed to growing the highest quality of food. It is our mission to lead the industry in nutrition research and education. We support these goals with a philosophy of adhering to the highest morals and ethics in all of our business dealings, with our customers, treatment of our employees, as well as social and environmental policies.
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As an agricultural industry leader in water recycling methods, we believe water conservation not only helps save water but also helps save entire ecosystems. Part of our water resource management includes using it in the most responsible and efficient means. In regards to our approach to clients, innovation is the buzzword as we try to bring new ideas to the marketplace. Ultimately our goal is to make fresh products so that eating healthy becomes the norm. We believe it is not only about the food you and your family eat but rather about your lifestyle and the choices you make.
We are constantly adopting new tools in order to reduce the consumption of carbon emissions, utilising different forms of energy throughout the entire supply chain. Researching, tracking and analysing activities in order to monitor and evaluate the sources of carbon emissions is paramount as we look to develop alternative practices which will ultimately help our environment. Growing nutritious food is only possible if you have got healthy soil, in this regard soil management is key. It is the soil that absorbs, transmits and holds the water for crops to use and there is much we do to manage and conserve the nature of our soil. Going forward arguably one of the biggest challenges for Pero Family Farms will be the increased competition in our field. However, with the positive feedback we have received from our clients we are confident we can maintain our reputation in the industry and further grow as a company in the coming years.
Acquisition International - October 2016 65
Innovation. Leadership. Experience. Design. We’re a leading designer and manufacturer of ignition systems and safety controls for gas appliance manufacturers worldwide. Our customer-centric approach is a hallmark of our culture.
www.channelproducts.com
MANUFACTURING / National Manufacturing Day Showcases Key Role of Recycling in U.S. Economy
National Manufacturing Day Showcases Key Role of Recycling in U.S. Economy The Institute of Scrap Recycling Industries (ISRI) on 7th October joined in the celebration of National Manufacturing Day, by highlighting the many positive contributions the recycling industry to the U.S. manufacturing landscape. In 2015 alone, more than 130 million metric tons of metal, paper, plastic, glass, textiles, rubber, and electronics were manufactured in specification grade commodities by the U.S. scrap
ational Manufacturing Day helps highlight the vital role recyclers play in America’s overall economy, and the variety of ways recycling is involved in one’s everyday life,” said Robin Wiener, president of ISRI. “As the first link in the manufacturing supply chain, the recycling industry provides a source of raw material to other manufacturers that is environmentally friendly compared to virgin material. In doing so, the industry has become a leader in economic output, job creation, resource sustainability, energy savings, and global trade.”
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The use of scrap dates back to the beginning of human existence itself. Since the dawn of civilisation and the earliest attempts at manufacturing, humans have recognised the intrinsic value of scrap and the benefits associated with using and re-using existing products to create new goods. As U.S. manufacturing ramped up and became more complex in response to society’s expanding needs,
scrap recycling took on even greater importance, adapting not only to market drivers, but also shifting national priorities in the context of our finite natural resources. The contributions of the scrap recycling industry to the U.S. economy include: • Generating nearly $17.5 billion in export sales to 160 countries; • Directly and indirectly employing approximately 470,000 workers in 2015; • Generating more than $105.8 billion annually in economic activity; • Drawing in more than $11 billion in revenue for federal, state, and local governments; and • Lowering energy costs by producing recycled materials that require less energy during the manufacturing process than virgin materials. National Manufacturing Day, currently in its fifth year, always occurs on the first Friday of October. It
provides an opportunity for American manufacturers to showcase the potential the sector holds and promote interest in future manufacturing careers. The Institute of Scrap Recycling Industries, Inc. (ISRI) is the voice of the recycling industry. ISRI represents approximately 1,300 companies in 21 chapters in the U.S. and 34 countries worldwide that process, broker and consume scrap commodities, including metals, paper, plastics, glass, rubber, electronics, and textiles. With headquarters in Washington, DC, ISRI provides education, advocacy, safety and compliance training, and promotes public awareness of the vital role recycling plays in the U.S. economy, global trade, the environment, and sustainable development. Generating more than $105 billion annually in U.S. economic activity, the scrap recycling industry provides nearly half a million Americans with good jobs.
www.isri.org
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PERSONNEL / Skilled Staff Shortages Check Post Brexit Small Business Bullishness
Skilled Staff Shortages Check Post Brexit Small Business Bullishness Nearly three-quarters (73%) of small businesses with over five employees plan to grow dramatically or moderately over the next two years, according to a new report1 launched by Albion Ventures, one of the largest independent venture capital investors in the UK. Only 5% think they will shrink or wind down. Based on interviews with 1,000 SMEs, the fourth Albion Growth Report sheds light on the factors that create and impede growth in post-Brexit Britain.
inding skilled staff is the biggest challenge With 50% of small businesses with over five employees planning to grow their headcount over the next two years, finding skilled staff tops the list of challenges business owners face, up from third place in 2015. It is a particular problem for manufacturing, construction, medical and healthcare companies. In sixth place, the decision to leave the EU ranks below perennial challenges such as red tape, regulatory change and the difficulty of accessing new markets. Lack of access to finance – one of the major problems voiced by SMEs during the recession - has fallen to 13th place from fifth last year.
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Manufacturers and tech firms most optimistic On a sector basis, manufacturing companies are the most bullish about growth and the most relaxed about Brexit while retailers and construction companies are the gloomiest.
Brexit – a split verdict Businesses are overall split on the impact of Brexit with a third (36%) thinking it will help them enter new markets and 41% expecting it to be a hindrance. However, the report shows significant differences among SME owners towards Brexit by region, size and age that show similarities to the result of the vote in June. Among those groups that are most concerned is millennial business owners aged under-35, of whom half (54%) think Brexit will hinder their ability to access new markets. Leaving the EU ranks as the single biggest obstacle to growth among small business owners in Scotland and was in third place among those in London. Those groups that are the least concerned about Brexit include sole traders, 56% of whom said it would have no effect on their growth potential East Midland-based entrepreneurs are the most bullish Regionally, business owners in the East Midlands were the most optimistic about growth (70%), followed by the East of England (69%) and London (65%). Wales was the most pessimistic region in this year’s report with only 39% foreseeing growth.
Appetite for equity finance Over a quarter of firms would consider investment from venture capital, private equity or business angel, rising to a third among larger firms with more than five employees. On a sector basis, over half (52%) of IT and telecom firms are open to equity finance while construction trails at just 13%. Patrick Reeve, managing partner at Albion Ventures, said: “Against a backdrop of profound change, one element that has remained reassuringly unchanged is the optimism underlying the UK’s small businesses. Firms are looking to grow their headcount and productivity is on the increase. The biggest barrier to growth, finding skilled staff, is generated by success rather than failure. “The downside is that the economy is coming under capacity constraints at a time of considerable political uncertainty. While many of the pressures on growth we have seen in recent years have eased, the skills that enable us to compete are in short supply.” [1] Across the third quarter of 2016 Albion Ventures commissioned YouGov to interview a representative sample of 1,014 British SMEs on the challenges and opportunities they face in growing their business.
www.albion-ventures.co.uk
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PERSONNEL / Does Your Organisation Have a Happiness Strategy Yet?
Does Your Organisation Have a Happiness Strategy Yet? NEW BOOK: Unlocking Happiness at Work reveals how a winning happiness strategy will fuel purpose, passion and performance, with case studies including Virgin, TOMS and the Body Shop.
e all want to be ‘happier’ in life, but for many people, being both ‘happy’ and ‘at work’ might feel like an unrealistic dream. For employers and business leaders, happiness of individuals will often be a secondary concern, sitting way down the list of priorities below productivity and revenue. However, as an insightful new book, Unlocking Happiness at Work argues, happiness has been proven to be intrinsic to success, and businesses that understand and embrace this can gain a sustainable competitive advantage.
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The author, Jennifer Moss, is co-founder of Plasticity Labs, a pioneering technology company that produces software to measure organisational culture and the social and emotional state of a business. Her ground-breaking work draws upon decades of scientific research, data, statistics and psychological and neurological studies to not only
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prove that happiness fuels high performance but also provide practical tools that will enable a billion people around the world to harness the sense of purpose and passion that comes with happiness. Unlocking Happiness at Work features powerful real-life case studies, including Jennifer’s own thought-provoking story that lead to her realising the importance of ‘gratitude’ following a family tragedy. The book draws upon stories from worldfamous organisations, such as Zappos, Virgin, TOMS and The Body Shop, backing up anecdotal evidence with real-time data and exclusive access to Plasticity Lab’s own cutting-edge employee happiness research. Combining the latest thinking in positive psychology and neuroscience, Unlocking Happiness at Work gives readers a true understanding of the science of happiness both at home and at work. It gives
practical advice to enable individuals to build solid neural pathways and happiness habits for themselves, and emotional intelligence techniques and management strategies leaders to gain the benefits of compassionate capitalism. Lively, persuasive and insightful, Unlocking Happiness at Work is an exploration of how to be happier and make others happier through the power of ‘gratitude’, emotional intelligence and an innovative approach to work/life flow. An essential resource for leaders who want to increase sustainability, attract new talent, improve their brand and boost profitability, Unlocking Happiness at Work, provides the tools to achieve these goals in a way that is life-enhancing for everyone involved. Unlocking Happiness at Work by Jennifer Moss is available now, priced £14.99 from Kogan Page.
PERSONNEL / New Global Careers Website Launches for the Finance Industry
New Global Careers Website Launches for the Finance Industry XPATJobs, the UK’s biggest online careers website for international jobseekers, has launched its new online Finance-specific jobs board which allows users to search for, and place, new jobs and find the skilled professionals they need no matter where in the world they are based, all via a single portal.
indajobinfinance.com is a one-stop shop that links skilled professionals in the finance sector with organisations across the world. Supported by the company’s industry-leading XPATJobs.com site, which sees 100,000 jobs posted each day, findajobinfinance. com will provide employers and hiring managers with access to a network of more than 1 million registered jobseekers across 150 countries.
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Rhys Maddocks, managing director of XPATJobs, said: “With skilled talent in short supply, employers continue to look beyond national boundaries to secure the talent they need. “But with an evergrowing number of online sources available, the actual sourcing of that talent is increasingly becoming a logistical nightmare for many hiring managers. “We have spent considerable time working on providing a solution that is both highly targeted and
has a global reach. This significantly reduces the employers time-to-hire as they can quickly find the right person for the right role at the right time – it is a recruitment solution that extends beyond their immediate geographical boundary. “Conversely, job seekers can easily find the right role with the right company and in the right location. The site will provide them with unrivalled access to the latest and largest choice of finance jobs that are available for skilled professionals looking for their next role both here in the UK and overseas.” The new job board will serve as a leading careers destination for jobs across the full range of disciplines and incorporate the same functionality as the XPATJobs.com site: Their intuitive systems enable users to conduct a quick search for their ideal role, while the simple registration process offers easy CV uploading and a straightforward application process in addition to providing daily
or weekly (depending on their preferences) alerts featuring jobs that match their specific requirements. “XPATJobs has enjoyed strong growth in recent years and launching this Finance-specific careers portal is a critical step in our plan to strengthen and grow our existing position in the market,” said Mr Maddocks. “Using the knowledge, expertise and of course the technology that powers XPATJobs, employers and hiring managers will have access to a wider pool of available talent without having to purchase additional licenses to search databases of candidates outside of the UK.” The site offers easy job posting at highly competitive rates as well as access to the largest network of candidates searching industry-specific overseas roles.
www.xpatjobs.com
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PERSONNEL / AI’s Recruiter of the Year 2016: The Best in Recruitment 1610AI19
The Best in Recruitment Founded in April 2014 by brother and sister, Ed and Lucy Chamberlain, C&C Search is a recruitment firm specialising in the placement of support staff and finance professionals. As a company, we recruit on a permanent, temporary and contract basis.
Company: C&C Search Name: Lucy Chamberlain Email: info@candcsearch.co.uk Web: www.candcsearch.co.uk
AI’s Recruiter of the Year 2016
e live and breathe our core values… Authentic – valuing individuality and encouraging diversity. Having purpose – we do not rest until we have the desired result for our clients and our candidates. To be nurturing – internally and externally we value the relationship over and above an invoice, without exception. An absolute commitment to being progressive – we have so far reinvested every penny of profit into exciting infrastructure, events, tech and a new website is on its way – this approach has meant we have already made waves in our market.
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Ed and I have never been any good at ‘fitting in’ and the intention with the business has been to be fearless in striving to be innovators in our space. We set out to question the status quo and although we know that we can never be perfect, in striving to be, we deliver an exceptional service for our clients and candidates. With well over 100% year-on-year organic growth, our numbers reflect how welcome our approach has been within the markets we operate within. Our turnover has grown from 350k in year one to well over 2 million in year three.
“As a business, we absolutely love technology and have invested in this heavily.” When we first launched C&C Search, we did not want to benchmark ourselves against competitors, but rather look to emulate the companies we were truly inspired by. Constant evolution is a common theme within all the businesses that we are most excited by and so constant evolution is at the core of who we are as a company. At the heart of the business is knowing that every day is an opportunity to get that bit better. Ed and I have always found top down, management orientated environments unbelievably demoralising to work within. As a result, we have an employee centric culture and our team are the voice in shaping who we are as a business, which includes how we operate, our core values, through to determining their own hours and benefits. Motivation for personal and career development is a key quality for any of the team here. As a result, our development team is available on demand for our
employees to call on. This fabulous team includes a nutritionist, coaches and trainers. In terms of C&C Search’s clients, we have a broad reach which include finance, start-up’s and tech firms through to large global organisations such as Google. Our business was set-up in a research-led model. This means our clients have access to talent that’s not available on the open market. We have a team of highly experienced consultants providing an incredible knowledge base and who are equipped to deliver the exceptional. In our business, the devil is in the detail and we know getting it right really matters. Bringing something different to our space has resulted in over 76% of our clients in 2015/16 coming to us through recommendation and with a continued longterm commitment to both our client and the candidate journey, we aim to build on this year on year. When we established C&C Search, we met with several charities as we were committed to finding a charity partner that we were passionate about and could genuinely add value to. We found this in Tomorrow’s People, who work with all generations that have experienced long-term unemployment. The work they undertake is invaluable (www.tomorrows-people. co.uk). To date we have connected them with our clients, donated significant portions of our profits, held fundraising events, attended no.10 and 11 Downing Street as well as the House of Lords and we are just about to launch our work experience programme with their clients. Martin Brookes their CEO recently commented, “we would not have been able to reach these people and companies without your involvement. Thank you very much. It makes an enormous difference, both tangibly and, also, indirectly by giving us a boost and a sense that you are behind us.” As a business, we absolutely love technology and have invested in this heavily. Innovation plays a huge role in recruitment today, particularly with the way we engage with generation y. Understanding the huge differences in motivators for the different generations, and adapting our approach is essential to reaching a wide audience. In addition, the way you connect with those individuals is greatly impacted by how your brand is perceived and this is why we are fearlessly authentic. We are hugely excited about our future; we have some very exciting ideas in development and really, we are just at the beginning of our journey…so watch this space! Acquisition International - October 2016 73
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2014 Copperstone Capital. All rights reserved.
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Copperstone Capital is an investment management firm founded in 2009 with offices in Moscow, Russia and London, United Kingdom. We manage wealth for high net worth individuals and institutions through various hedge fund strategies. 16 Sadovnicheskaya Street, Moscow, 115035, Russia T +7 495 988 0010 F +7 495 951 1410 www.copperstonecapital.com
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Winners’ Directory CEO of the Year – Italy Company: Moby SpA Name: Alessandro Onorato Email: alessandro.onorato@moby.it Web: www.moby.it Address: Largo Augusto 8, 20122, Milano Phone: 02.7625561 2016 Top 25 Fund Manager Awards Name: Russell G Luce RFC, LUTCF, FIC Email: RLuce@forestersequity.com Web: www.planningLegacies.com Address: 9233 Sproat Avenue, Oak Lawn, Illinois Phone: +1 60453-0727 708-499-0700 office Best of the Best in Finance USA Company: VRC | Valuation Research Name: Raymond Weisner Email: rweisner@valuationresearch.com Web: valuationresearch.com Address: 500 Fifth Avenue, New York NY 10110 Phone: +1 212 983 3370 Best of the Best in Finance USA Company: Jones & Haley Attorneys At Law Email: jones@corplaw.net Web: www.corplaw.net Address: 115 Perimeter Center Place, Atlanta, GA. 30346 Phone: +1 770 804 0500 Best of the Best in Finance USA Company: Reasonable Minds, LLC. Name: Bill Baldwin Email: bbaldwin@tpgrp.com Address: 21815 NE 29th street, Sammamish, WA 98074 Phone: +1 206 940 5640 Best of the Best in Finance Company: Ghazanfar Bank Email: ceo@ghazanfarbank.com Web: www.ghazanfarbank.com Address: 866, Shir-Pur Main Road, Kabul, Afghanistan, P.O Box: 5598, Phone: 0093 797 860 066
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Best of the Best in Finance Company: Drayton J. Carter & Co., Chartered Accountants Name: Drayton J. Carter Email: draytonjcarter@yahoo.com Address: The Annex, ‘Urim House’ #1 Bagatelle Terrace, St. Thomas, BB23003 Barbados Phone: +1 246 421 5986 Mobile: 1 246 256-1132
2016 Intellectual Property Practitioner of the Year – Canada Company: Gilbert’s LLP Name: Tim Gilbert Email: tim@gilbertslaw.ca Web: www.gilbertslaw.ca Address: The Toronto-Dominion Centre, 77 King Street West, Suite 2010, P.O. Box 301, Toronto, ON M5K 1K2 Phone: +1 416-703-1100
Best of the Best in Finance – Canada Company: The Cruikshank Advisory Group Ltd. Name: Doug Cruikshank Email: Doug@cruikshankadvisory.com Web: www.cruikshankadvisory.com Address: 578 St Andrews Pl, West Vancouver, BC, V7S 1V8 Phone: +1 604 230 3395
Top 50 Legal Elite - USA Company: Donna J. Jackson & Associates, PLLC Name: Donna J. Jackson Email: donnajacksonlaw@outlook.com Web: www.okcestatelawyer.com Address: 10404 Vineyard Blvd., Ste E., Oklahoma City, OK 73120 Phone: +1 405 840 1874
AI’s Excellence in Telecoms 2016 Company: Wharf T&T Limited Name: Vincent Ma Email: pr@wharftt.com Web: www.wharftt.com Address: 9/F, KITEC, 1 Trademart Drive, Kowloon Bay, Hong Kong Phone: +852 2112 1121 Top 50 in Technology Company: Peerius Name: Roger Doddy Email: roger.doddy@peerius.com Web: www.peerius.com Address: 30 Great Guildford Street, London SE1 0HS Phone: +44 (0) 20 3397 4940 AI’s Recruiter of the Year 2016 - the Midlands Company: Harvey Beric Associates Ltd Name: Wendy Beric Email: wendy@harveyberic.com Web: www.harveyberic.com Address: Torrington House, 75 Branston Road, Burton-on-Trent, Staffordshire DE14 3BY Phone: 01283 568666
2016 Top 50 Legal Elite – USA Company: Emerson Thomson Bennett, LLC. Name: Roger D. Emerson Email: rde@etblaw.com Web: www.etblaw.com Address: 1914 Akron-Peninsula Road Akron, OH 44313 Phone: +1 800 822 8113
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