Fresh Profile: Falcon, formed by SK Capital founders, has recruited PE talent to compete for deals

Falcon Private Holdings, the family office of SK Capital Founders Jamshid Keynejad and Barry Siadat, is bulking up its direct-investment portfolio.

The FO was formed almost 10 years ago and its portfolio included Aristech Surfaces, Ascend Performance Materials and a handful of smaller businesses acquired by Keynejad.

In 2017, the Boca Raton, Florida-based family office brought on board Philip Marxen, David Walker, Francois Brendel and Adam Martin to make direct investments.

Marxen, managing director, was previously with SK Capital, Blackstone Group, TPG Capital and Goldman Sachs. Martin was previously with Searchlight Capital Partners and Blackstone.

Walker brings more than 25 years of operating experience in financial, strategic and commercial roles, and Brendel has more than 20 years of operating experience in finance and business development, Marxen said.

SK Capital focuses on investments in specialty chemicals and materials and pharmaceuticals, so Falcon will steer clear of that segment of the market, Marxen said.

Instead, Falcon will invest between $25 million and $75 million of equity in lower and middle-market industrials, services and consumer companies in North America and western Europe, Marxen said.

“Our key differentiation is in the pairing of permanent and flexible capital with internal operating capabilities,” Marxen said.

The family office recently acquired a controlling interest in Spanish Halcon Ceramicas. Falcon’s operations expertise was valued by the rollover shareholders at Halcon and helped Falcon get exclusivity in the deal, he said.

The family office will look at co-investment opportunities in an opportunistic manner, he said.

“More likely it would be in a situation where an investment size extends beyond our level of comfort and another family office could partner with us,” Marxen said.

Action Item: Read Falcon’s press release here