Greenberg Traurig Northern Virginia will host the Association for Corporate Growth (ACG) for a panel discussion titled, "Non-Control Investments in Government Contractor Businesses." Scott Meza will serve as moderator, while Jeff Chiow will participate as a panelist with other industry colleagues.
Panelists will discuss the current climate and key terms for non-control investments and critical do’s and don’ts for companies and investors. While buyers typically make control investments when purchasing a government contractor, in the last decade there has been growth in institutional and private investors making minority investments in growth-oriented government contractors who are not yet ready for an exit. These non-control investments can provide needed growth capital and management talent as well as potentially some liquidity. The terms for these investments differ significantly from control buy-outs and are highly negotiated. In some cases, these investments can create significant tax, affiliation and foreign ownership problems.
Panelists will discuss the current climate and key terms for non-control investments and critical do’s and don’ts for companies and investors. While buyers typically make control investments when purchasing a government contractor, in the last decade there has been growth in institutional and private investors making minority investments in growth-oriented government contractors who are not yet ready for an exit. These non-control investments can provide needed growth capital and management talent as well as potentially some liquidity. The terms for these investments differ significantly from control buy-outs and are highly negotiated. In some cases, these investments can create significant tax, affiliation and foreign ownership problems.