Jeff Parks is the CEO of Stack Capital.

Stack Capital Group is a publicly listed entity on the TSX that looks for disruptive growth and late-stage businesses primarily in Canada and the US to invest in.

Their current portfolio includes exposure to Locus Robotics, SpaceX, Prove Identity, Newfront Insurance, Omio, Hopper, Varo, Bolt Financial and Canva.

By investing in Stack Capital Group, investors gain exposure to disruptive pre-IPO companies that are very difficult to access. Additionally, since Stack Capital Group is publicly traded, investors are not locked up for long periods and can allocate holdings to registered accounts.

Takeaways

• Why timing is crucial for going public.
• Signs such as hiring a CFO, investor relations focus, and revenue growth can indicate a potential IPO.
• Masterclass into secondaries, what they are, how they work, and how to acquire them from early investors, employees and founders.
• How to do due diligence and research on private companies.
• Why folks would get ownership in Stack's diversified portfolios versus taking cash.
• Dive deeper into Stack's unqiue business model.

Chapters

00:00 Key Learnings at Venator

01:01 Genesis of Stack Capital

04:21 Valuing Equity in Private Companies

05:27 Adding Value to Founders

06:57 Due Diligence on Private Companies

07:25 Targeting Companies for the Portfolio

08:45 Red Flags in Private Companies

16:10 Valuations in the Private Market

20:30 Timing of Going Public

23:08 Signs of a Company Going Public

26:29 Reselling Founder/Executive Shares

27:06 Interesting Private Companies

28:41 Analyzing Businesses

31:48 Building Trust

34:33 Raising Capital for Stack

36:52 Dealing with Hard Times

39:30 Opportunities in Growth and Late Stage Assets