History & Vision
LeBaronBrown Industries ("LBB") was formed in 2015 by Simon Brown and Matt LeBaron. The founders of LBB each have over 20 years of private equity experience and led transactions representing over $20 billion of value while at American Securities and Kohlberg Kravis Roberts & Co. Building on that experience, the founders of LBB created a differentiated investment vehicle to support their management partners in the pursuit of a focused goal - building industry-leading operating companies of significant scale over a long-term period of time.
The goal is achievable by combining operational excellence with an acquisition-led growth strategy, supported by the strategic and cultural consistency permitted by truly long-term ownership. LBB is not a private equity fund. It is an investment organization designed to support the long-term growth of industry-leading operating businesses.
Think As Owners: We are owners who intend to build businesses that could be owned indefinitely. The founders have each committed significant personal capital to LBB with the sole intent of compounding that capital meaningfully over the long term. Our decisions are guided by what will result in the best answer for long-term growth and success.
Think Long Term: We recognize the need for long-term thinking to achieve extraordinary outcomes. To us, long term means decades, not years. Our capital is committed for 20 years, which supports this long-term approach to building a business.
Operate With Excellence: Operational excellence requires focus, as well as a bias to simplify and prioritize. Focus allows for domain expertise, deep engagement on key issues, and the selection of leaders, creation of culture and implementation of operational systems that all are enablers of competitive success.
Partner With Exceptional Leaders: Leadership and culture are the bedrock upon which execution sits. LBB will seek to partner with the best operating leadership, and support the creation of a meritocratic, performance-oriented culture.
Grow & Acquire: Combining organic growth with an active acquisition program within a focused operating company is a proven and powerful path to extraordinary results. Executed successfully, this combination will create an industry leader over time. LBB will pursue, in concert with management, an aggressive program of growth via investments in organic growth opportunities and complementary acquisitions.
Re-invest & Compound: Compounded growth is a powerful force, when executed well and supported by long-term thinking. LBB intends to re-invest cash flow for growth for as long as attractive return on capital opportunities are available.
Capital Base & Differentiation
LBB's capital base is highly differentiated. Our capital has a 20-year term. It is drawn from high-net-worth individuals including investors, entrepreneurs, and industry executives, as well as family offices.
LBB is not a private equity fund. In contrast to the typical 3 to 5-year holding period of a private equity backed company, our capital is committed for 20 years. LBB's only goal is to work with management teams to build great businesses over a multi-decade period of time.
Experience & Role
LBB's founders and investment professionals have best-in-class investing and governance experience gained from decades of private investing at leading firms including American Securities, Kohlberg Kravis Roberts & Co., and Onex. We have experience that spans public-to-privates, corporate carve-outs, public mergers, private leveraged buyouts, recapitalizations, and growth equity investing. We have invested across multiple sectors of the economy, and understand how to work in concert with management teams to drive business value.
The founders of LBB are not operating management, and do not seek to act as such. The businesses owned by LBB will be led by their respective Chief Executive Officers and management teams. LBB will serve at the Board level and drive the acquisition growth programs of the companies, operating as a value-added partner that develops competitive insights, commercial networks, and business intelligence. Other areas of active engagement will include strategic planning, capital structure, capital allocation, compensation and management incentive programs, and in partnership with the CEOs, development of the senior leadership team.
We believe the combination of our decades of top-tier private investing experience with a highly differentiated capital base makes LBB a well-suited partner for operating management to drive ongoing success and long-term growth.