Overview

Private equity's founding school of thought is that the alternative investment space is a contrarian sport based on results-oriented, disciplined approach to investing. Such thought advances Cloudleap's belief that superior risk-adjusted returns can be achieved by providing capital in under-invested and misunderstood areas. Cloudleap seeks to invest in countries that have embraced structural and economic reform not only in active
programs, but also in their nascent forms. Cloudleap has identified the Common Law countries of Sub-Saharan Africa as the locales with the most attractive opportunities and the most manageable risk.

Investment Strategy

Cloudleap focuses on agribusiness, financial services and natural resources. Cloudleap’s focus on a number of core industries is an important factor in the firm’s ability to consistently identify opportunities to provide senior debt and equity capital to the most promising companies within such industries over time. Cloudleap’s access to operating partners with deep industry knowledge in these industries allows the firm to source the most attractive investment opportunities, assist companies in recruiting capable management teams and creating sustainable value-enhancing techniques, and identify non-traditional exit strategies for its investors.

General Investment Criteria

Cloudleap focuses on companies with the following strengths:

• Brand recognition
• Daily use products
• Stable cash flows with strong potential for greater cash flow
• Operational and production functions that are susceptible to automation
• Tremendous growth potential
• High barriers to entry
• A reason to exist

Also, companies where the following weaknesses are clear and present:

• Management’s interests are misaligned with those of the stakeholders
• Prevalent corporate waste/low return on capital
• Operational inefficiencies
• Poor internal controls
• Questionable focus on core competencies
• Poor capital structure
• Product offerings that are not in sync with market