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Frequently Asked Questions

What type of 'profile company' does Lexington like to engage with?

Our bankers are dedicated to helping established and fast growing companies in the middle-market achieve their strategic and financial goals across several key industry sectors: Technology, Media & Communications, Industrial & Manufacturing, Health Care, Consumer & Business Services and Real Estate. Lexington however, does not assist in financing for pre-revenue, start-up or early-stage development companies.

We assist companies in need of private and public placements including equity capital raises, M&A and structured financings such as senior, subordinated-debt and mezzanine financings. In addition, our financial restructuring services also helps businesses that are faced with financial challenging or ‘troubled times’ with various financing alternatives.

At Lexington, we make our engagement decisions based on several factors: the depth of the management team, visibility of earnings, the transaction type and size, underlying industry trends, inherit market risks and growth 'tailwind' characteristics, and the overall merits and scalability of the company, among others. In private placement financings, we look to partner with companies who possess certain characteristics in the form of:

Established, Profitable Businesses
Unique Value Proposition and Scalable Business Model
Current Revenues from $50 to $500 Million and more
Trailing 12-month EBITDA of $5 Million and up; and
Projected Stabilized EBITDA for 'Distressed' Companies

In an electronic age, markets and even economies can shift instantaneously, so in collaboration among our own professionals and team members, we ‘stress test’ our assumptions as we pursue, in a balanced and focused way, engagement opportunities and assignments. This is because our (prospective) clients expect us to deliver the best advice, even if it means advising against an engagement or a particular transaction. The only way to forge a long-term relationship is to build trust step-by-step each day, focusing not only on the transaction, but also on the best interests of our clients – in essence, to do the right thing.

At Lexington, we are committed to working in partnership with you - devoting our network, energy, and resources to help you build an exceptional business. We identify with opportunities where operational improvements need to be made, emerging and expanding markets are to be met, and industry consolidation needs to occur. We look to engage with companies where opportunities for growth through internal expansion and strategic acquisitions are evident; and we base our engagement decisions on certain hi-level, attractive characteristics and sustainable competitive advantages:

Sound, Experienced Management Depth
Visibility of Earnings with Predictable Cash-Flow
Global Scope with Focus on North America
Industries and Markets Transformed by Major Change
Meaningful Barriers to Entry and Market Niche Differentiation
Scalable Businesses and Defensible Revenue Models
Fragmented Industries in Need of Consolidation
New Market, Product or Service Expansion Opportunities
Fee-based Businesses and Limited Commodity Price Risks
Over-Leveraged or Distressed Companies
Shifts in Channels of Distribution
Achievable Exit Strategies

We think speculative "pitching" is a waste of both our time and that of the prospective client. Because the firm's reputation is more important than anything else, Lexington only commits to projects it believes it can deliver on. And, we only engage with companies where we have a shared vision for the business with all stakeholders involved. Lexington does not assist in financing for start-ups or early stage companies.