Delta’s strategy is to identify and finance fast-growing companies in Russia with strong and progressive management teams, then to work with them so that their companies achieve market leadership and generate competitive long-term returns on invested capital.
The funds under DPEP’s management provide equity and equity-related debt financing to small and medium-sized high-growth companies operating in such sectors as financial services, consumer goods, media, telecom, technology and other, mainly consumer-oriented, sectors. DPEP does not invest in natural resource industries and privatizations. DPEP invests between $5 mln and 10 mln in each company for an average period of three to five years before achieving liquidity through either a sale to a strategic partner or an IPO (initial public offering).
We actively support management teams, but do not micromanage. We seek to add value in the following ways:
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Assist in developing a company’s administrative and financial infrastructure;
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Advise on corporate formation and structure, legal and financial issues, with emphasis on transparency;
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Assist in structuring personnel benefit programs, including performance-based incentive compensation;
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Assume an active Board role in portfolio companies to provide strategic guidance along with capital;
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Benchmark the operations of each portfolio company to international standards;
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Introduce portfolio company managers to decision-makers in Russia and elsewhere to forge strategic partnerships and alliances;
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Enable access to later-stage investors as well as other sources of debt or equity.