The STAR Fund is a private
equity fund with a specific investment strategy that differentiates
it from the standard buy-out fund. STAR's main focus is to act
as a capital partner for companies in industry sectors where we
believe there is potential to create value. Our target
sectors include oil and gas, energy, telecommunications, transportation,
healthcare, and other sectors with similar cash flow characteristics.
Over the past 15-20 years there have been two major changes in the way companies in these industries structure themselves:
- Firstly, there has been a move towards outsourcing non-core services that has led to unprecedented growth in the service sector, as significant scale benefits are often created when non-core services are grouped together.
- Secondly, conglomerates have been replaced by focused industry specialists, reflecting the recognition that a specialist management team and a focused business model are more effective for producing attractive returns.
We believe one of the next major changes in corporate restructuring will be the breakdown of vertically-integrated companies into specialists in each asset category - as capital-intensive industries often have capital assets that have more value as shared resources. We can facilitate this restructuring by acting as a Capital Outsourcing partner.
STAR is not simply a passive investor. Our strategy is to add significant value by using our capital, financing expertise, and sector knowledge to increase shareholder value and develop successful independent businesses.
|STAR's strategy is to add value by using its financing expertise and sector knowledge to create successful independent businesses.