Investment CriteriaMno-Bmadsen is the non-gaming investment arm of the Pokagon Band of Potawatomi Indians. This independently managed instrumentality owns subsidiary companies that operate within certain targeted industries in accordance with its Long-Term Investment Plan. The Mno-Bmadsen team has set in place established criteria for deploying capital that drive the investment thesis and will act as the cornerstone of the financial future of the Pokagon Band.
Mno-Bmadsen has three actively managed investment portfolios:
Services (Seven Generations Group)
Manufacturing (Mno-DREK Group)
Commercial Real Estate (Red Tail Group)
Preferred Investment Criteria
- We are not constrained geographically in terms of making our investments. Preference for platform investments given to those in the greater Midwestern United States. Complementary/add-on investments are strategically located throughout the country.
- Companies with track records of verifiable profitable operations are preferred. Independently audited financial statements are favored; but not required.
- Reasonable multiples for asking prices that use a ‘normalized’ valuation approach.
- For platform investments, a management team already in place that is willing to stay onboard after acquisition. Exceptions may include where the existing management team continues temporarily through a succession period and/or where new leadership is readily installed.
- Preference given to majority ownership investments. We will consider minority stakes that include clear paths for to majority ownership where contractually delineated strategies for assuming ownership, including put/call, buy/sell agreements.
- Minority-owned suppliers with proprietary products, technology, expertise, reputation or position operating in spaces whose customers have spending goals in this space but are not currently accessing the market. We are particularly interested in suppliers that provide goods or services to the federal government or its agencies.
- Income vs. growth companies with high recurring tax liabilities as a result of cash returns.
- Start-ups or early-stage businesses unless there is a captive tribal gaming or government customer.
- Companies with high R&D expenditures that are capital intensive or are heavily regulated.
- Gaming (except for suppliers).
- Hi-tech, life-sciences, bio-med or bio-tech.
- Syndications or investment structures/vehicles in which Mno-Bmadsen has a limited partner stake. (This does not include private equity funds or pooled capital funds/investments).