About NewSpring Capital
Founded in 1999, NewSpring Capital invests in dynamic companies to partner with management teams and develop their businesses into market leaders. As former operators and committed investors in growth companies, the NewSpring team brings decades of experience to offer consistent advice and support through any economic cycle.
NewSpring Capital has raised over $1 billion of committed capital and invested in more than 100 portfolio companies across the firm’s four investment strategies in growth equity, healthcare, mezzanine debt, and control buyout. In addition to providing capital to support liquidity and accelerate growth, the firm works closely with management teams to assist them in setting strategy, human capital initiatives, business development and execution. Their experience and partner-oriented approach has enabled them to support these companies as they launch new products, expand into new areas, and ultimately realize their full potential.
Before celebrating its newest investment in Star2Star Communications, NewSpring Capital turned to consulting firm, T Advisors, for technical due diligence.
Before signing on the dotted line and investing in its 100th portfolio company, NewSpring Capital wanted to ensure that 9-year-old Star2Star Communications was a solid investment. They searched for a third-party firm to assess the Florida-based company’s technical aspects, potential risks, and costs as well as opportunities for future growth. Faced with the prospect of investing in an innovative, unified communications company, NewSpring Capital needed to be certain the Star2Star Communications’ team, technology, and processes were on point. In addition, NewSpring Capital wanted proof of a concrete roadmap, which will lead the team to even more success in the future.
“T Advisors offered a thorough technical due diligence report to be used as a key component in the decision-making process”
Technical due diligence focusing on 4 aspects of Star2Star Communications:
• A comprehensive technical evaluation, both on current and proposed telecommunications services as well as the infrastructure behind it
• An assessment of the engineering management staff, focusing on the ability to execute including technical knowledge, experience and product management capacity.
• An exploration of threats and opportunities, as well as existing product portfolio and roadmap, encompassing the current product lineup and in the pipeline with regards to the competitive landscape.
• A qualitative and quantitative measurement of efficiency and effectiveness in exploiting the technology and technical expertise, with focus on existing intellectual property, technology, and human capital to maximize value for rapid scale of products, network and technical organization.
To invest or not to invest, T Advisors findings will tell.
Within two weeks of intense work, T Advisors delivered crucial insight about the current technological and operational conditions of Star2Star Communications. The team was able to identify several areas of opportunity, providing an unbiased analysis to assist NewSpring Capital in their decision.
How T Advisors can help
Investment firms require an advisor that can deliver reliable in-depth technical due diligence for telecommunications companies. Review an evaluation of technically relevant information with an understanding based on deep industry knowledge with and unbiased view is a key element in this process. Due to rapid changes in technology this can prove to be a significant challenge. T Advisors provides an independent, third-party assessment, evaluation, and analysis to identify potential risks as well as opportunities from a technical point of view. This assists the investor in making an informed decision on whether to invest in a project or not.
“NewSpring Capital very much enjoyed working with T Advisors. Their professionalism, backgrounds and deep knowledge of telecommunications provided our firm with well-rounded technical due diligence analysis that was key in our decision- making process. We look forward to future projects and recommending the experienced T Advisors team to our colleagues and peers."
Marc Lederman, General Partner at New Spring Capital
About T Advisors
At T Advisors, we believe that experience informs intelligent decision making. Our executive team is comprised of some of the nation’s leading telecommunication executives, boasting positions in product management, sales and marketing, engineering, and software development. For more than two decades, the members T Advisors have been working with Fortune 500 companies and progressive technology startups to create better communication solutions.