Cypress Equity Investment is a private equity firm founded in 1998 that focuses on control equity investments in growth-oriented, middle-market companies. Based in San Francisco, Cypress has invested over $5 billion of capital in more than 55 platform companies and 155 add-on acquisitions over its history. The firm pursues investments in the consumer, healthcare, industrial growth, and technology sectors. Cypress aims to work closely with management teams to accelerate growth through operational improvements, strategic initiatives, and add-on acquisitions. The firm’s model is to hold investments for 5-10 years.
Investment Strategy of Cypress Equity
Cypress Equity seeks to invest $75-250 million of equity in companies with enterprise values of $100 million to over $1 billion. The firm targets profitable, rapidly growing companies with defensible competitive advantages and strong free cash flow generation. Cypress focuses on complex situations including founder-led companies, corporate carve-outs, buildups, turnarounds and recapitalizations.
Sectors and Industries of Focus
Cypress Equity concentrates its investments in four primary sectors: consumer, healthcare, industrial growth, and technology. Within these sectors, current areas of focus include consumer products, food/beverage, restaurants, software, IT services, healthcare services, medical products, testing/lab services, specialty manufacturing and value-added distribution.
Investment Profile
A typical Cypress Equity investment has the following characteristics: enterprise value of $100 million – $1 billion or more, EBITDA of $10 million or greater, established market position, recurring revenue model, opportunities for organic and acquisition growth, strong free cash flow generation, and an experienced management team.
In summary, Cypress Equity Investment is a San Francisco-based private equity firm that invests in profitable, high-growth middle-market companies across consumer, healthcare, industrial and technology sectors. The firm looks for complex situations like corporate carve-outs and founder-led companies where it can accelerate growth through operational improvements and add-on acquisitions.