Castle Crow & Company

The San Francisco, California-based private equity firm

Castle Crow & Company – An Overview

Castle Crow & Company is a private equity firm that was founded in 2001 and is headquartered in San Francisco, California. The firm operates additional offices in Atlanta, Georgia, and in Incline Village, Nevada. Castle Crow & Co. specializes in providing a range of services, including leveraged buyouts, recapitalizations, growth capital, equity investments, and advisory services.


Castle Crow & Company


The firm makes equity and debt investments in privately-held companies. It also partners with financial providers to make investments in subsidiaries or divisions of publicly-listed companies in the United States.


Transactions by Castle Crow & Company


1. Recapitalization and buyouts

The firm works with companies looking to achieve liquidity or an optimum capital structure. They achieve the corporate goals by selling a portion or the entire business to a strategic investor. In recapitalization, the firm’s goal is to restructure the debt and equity ownership to make it more stable for the firm’s investors. In a buyout transaction, the firm works with interested and qualified acquirers who want to buy a majority stake in the client’s company.


2. Management buyouts

Management buyouts are transactions where the company’s executives acquire the assets or operations of the company they manage. Castle Crow & Company provides management teams with the required capital to purchase stocks from its owner or parent company. Management buyouts present an opportunity for the executives to become owners of the company, rather than just employees earning a monthly salary.


3. Growth capital

Companies do not always possess the required capital to fund an expansion strategy or acquire smaller competitors. They require a significant capital injection to actualize these growth strategies, which may be impossible to get from a single bank.

Castle Crow & Company leverages its wide network of financial providers to provide business owners and entrepreneurs with the required capital to execute the acquisition of small competitors or expand their business to new geographical markets.


4. Minority equity investments

When making capital investments in client companies, Castle Crow & company gets a minority ownership stake in the company. As a minority investor, the firm takes part in the company’s strategic decisions and participates in its revenue-sharing arrangements. A minority equity investment owns less than 50% percent of the company’s stocks.


5. Mezzanine capital investments

Mezzanine financing is a hybrid of debt and equity financing. It gives lenders the right to convert their investments in the company into equity ownership in case the client company defaults in its principal and interest payments. Mezzanine lenders are paid after venture capitalists and other senior lenders. Castle Crow & Company makes mezzanine capital investments to support acquisitions, recapitalizations, and growth capital in its client companies.


6. Strategic advisory services

Apart from providing investment capital, Castle Crow & Company provides strategic advisory services to entrepreneurs and business owners. The advisory services may involve major strategic decisions such as succession planning, management buyouts, divestitures, mergers and acquisitions, and capital sources.


Castle Crow & Company Management Team

The following are the senior executives of Castle Crow & Company:


John Adams

Adams is a co-founder of Castle Crow & Company and serves as the firm’s managing director. Over the last 25 years, Adams has handled various transactions across a multitude of industries including logistics, communications, aerospace, building products, and laboratory supply. As the managing director, he is responsible for sourcing deals and managing client relationships with the firm’s investment groups. Previously, Adams worked at Citigroup’s banking division, KPMG Acquisition Advisory Group, and VNI Television.


Keith R. O’Donnell

O’Donnell is also one of the founders of Castle Crow & Company. In the past, he oversaw transactions in various industries such as oil and gas, telecommunications, recreational services, manufacturing, plastic, and packaging.

His responsibilities at Castle Crow & Company include sourcing deals, negotiating, working with portfolio companies, and managing relationships with the clients. Previously, O’Donnell worked with private equity and venture capital firms such as Arch Group and Graham Partners.


Dave Gaggero

Gaggero serves as a director and head of Castle Crow’s Atlanta office. He used to handle transactions in diverse industries such as specialty chemicals, healthcare, specialty distribution, aerospace, and outsourced business services.

While working at Castle Crow & Company, Gaggero has supervised transactions worth over $300 million in value. Before joining the firm, Dave worked at Credit Suisse and Symphony Asset Management. He earned his CFA designation in 2005.


Kyle R. Nicholas

Nicholas works as a director at Castle Crow & Company. He works with business owners in mergers and acquisition, recapitalization, and growth capital transactions. He also initiates and conducts negotiations with the firm’s clients. Before joining Castle Crow, Nicholas worked as an associate with Heidrick & Struggles International.


Brendan J. Thomas

Thomas serves as the vice-president of Castle Crow & Company. He previously handled transactions in various industries such as insurance, firearms, manufacturing, building products, and specialty chemicals.

As the vice-president, Thomas is tasked with developing and initiating new investment and acquisition opportunities with client companies. He previously worked at Sagemark Consulting and MetLife.


Related Readings

Thank you for reading CFI’s guide to Castle Crow & Company. CFI is the official provider of the global Financial Modeling & Valuation Analyst (FMVA)™ certification program, designed to help anyone become a world-class financial analyst. To keep advancing your career, the additional resources below will be useful:

  • Capital Raising Process
  • Banking Interview Guide
  • Middle Market Investment Banks
  • Recapitalization

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