Sagewind Capital Joins Private Equity for Greater Good to Share Equity Ownership Opportunities with Portfolio Company Employees
Sagewind Capital LLC (“Sagewind”), a New York-based private equity firm, today announced it has joined Private Equity for Greater Good, a recently launched initiative to promote equity ownership for the employees of private equity-backed companies. Sagewind joins InTandem Capital Partners, LLC as a founding member of the program.
Private Equity for Greater Good is a commitment to addressing the very serious societal problem of income and wealth inequality by sharing equity gains derived from portfolio company investments with employees beyond just the management team. Further, Sagewind believes it can lead to enhanced operating and financial performance by better motivating employees to help drive the growth of their companies. Over time, Private Equity for Greater Good aims for its efforts to achieve industry-wide adoption.
Steven Lefkowitz, Managing Partner of Sagewind, said, “Sagewind is proud to be a founding member of Private Equity for Greater Good. Strong performance is driven by the intellect, commitment, and hard work of our team members, especially in the government services sector where we are primarily focused. As such, we believe that if we do well, everyone involved in creating that success deserves to do well, and that sharing investment returns with the employees of our portfolio companies will result in improved operating and financial performance. We are pleased to join this pioneering initiative, and we look forward to welcoming other industry leaders to the program.”
The full text of Sagewind’s commitment letter to Private Equity for Greater Good is below:
Sagewind Capital made the decision to join Private Equity for Greater Good for one simple reason: we believe sharing success is the right thing to do.
The employees of our portfolio companies play a critical role in achieving our goal of creating value for our investors. Strong performance is driven by the intellect, commitment, and hard work of our team members, especially in the government services sector where people are our assets. If we do well, everyone involved in creating that success deserves to do well.
Looking forward, we firmly believe that sharing investment returns with the employees of our portfolio companies will result in improved operating and financial performance. As our equity partners, employees will be increasingly motivated to help grow our companies, by pursuing attractive growth opportunities and exceeding our customers’ expectations. This will differentiate our portfolio companies from their competition and will allow them to recruit and retain top talent in a challenging labor environment.
Our commitment to Private Equity for Greater Good is about more than compensation and financial returns. We want our portfolio company employees to be engaged in and fulfilled by their work. We expect that making them owners will have this effect.
As such, we are pleased to commit that in the future we will share a portion of investment returns with the employees of applicable companies in which we are currently invested and all future platform companies that we acquire.
Further, we join in the call for other private equity investors to join us in this important initiative. Together we can begin to address the very serious societal problem of income and wealth inequality.
About Sagewind Capital LLC
Sagewind Capital, LLC is a New York-based middle-market private equity firm that partners with exceptional management teams and focuses on significant capital appreciation by helping businesses grow organically and through strategic acquisitions. Sagewind invests across several industries, including government services, aerospace & defense, software, information technology, healthcare and business services. The firm is focused on long-term capital appreciation and has the flexibility to own businesses for extended periods.
About Private Equity for Greater Good
Envisioned as an industry-wide effort, Private Equity for Greater Good aims over time to help shift the norms of incentive equity plan construction and employee rewards. Private Equity for Greater Good is a simple concept: an open invitation to private equity firms and other alternative investment firms to publicly commit to distribute a portion of portfolio company investment gains to the employees of companies that do not already participate in equity value creation. The program is connected to the principle that wealth should be shared among those who create it. Joining Private Equity for Greater Good is an enduring commitment and a recognition of the private equity industry’s potential impact and responsibility, particularly against the backdrop of growing income and wealth inequality and the societal inequities that they create. For further information, please visit www.pe4gg.org.
Mark Semer / Grace Cartwright
Gasthalter & Co.