Investment Strategy

KSL Capital Partners is dedicated to making investments in the travel and leisure businesses. According to numerous metrics, travel and leisure is one of the largest components of the economy, second only to healthcare. The firm's investment philosophy is that it can generate attractive rates of return for its investors by improving the operating performance of its portfolio companies rather than relying on financial engineering.

Although formed in 2005, each of our investment principals has worked together previously. Cumulatively, our professionals have over 200 years experience in the travel and leisure industry, having served in many capacities such as key operating executives, investment bankers, lenders and attorneys. This team works closely with management to understand the company’s business and markets. While each investment is lead by an independent management team, the firm supplements the expertise of management with a dedicated team within the firm to monitor each investment as well as an asset management team that is able to supplement each management team's operational and financial management resources.

Our firm is founded on the principal that a buyout investment will succeed if the interests of management and investors are aligned. Management is given the opportunity, and is expected, to make a direct investment in their portfolio company. In return, managers are provided meaningful incentive compensation that allows them to earn additional ownership of the company, which allows them to further share in the success of the business long-term. While a common structure in private equity, this type of incentive structure is very unusual in many aspects of travel and leisure business.

We believe in investing in people, assets and businesses, both monetarily and operationally. We supplement each management team’s expertise with a board of KSL professionals and outside directors who offer a unique insight, and who can help grow the business, typically with either a marketing or operational background. Additionally, we capitalize a business appropriately to position it for future growth.

Transaction Size and Structure

While our targeted minimum equity requirement for the fund is $25 million, because of the nature of our portfolio companies, related entities and our desire to grow these businesses, no transaction is too small to execute. We have the ability to commit up to $400 million of equity in any one transaction.

We typically pursue transactions where we control the investment. This may take the form of whole ownership, joint venture or participating debt or preferred equity investments.

Our extensive industry knowledge, network of in-house experts and third party consultants and operational expertise enable us to conduct a comprehensive due diligence review expeditiously, providing sellers with a timely offer and a high likelihood of closing.