Novacap

Looking to triple its fund size in just five years, Canadian private equity firm Novacap looked to Intralinks® for assistance in upgrading its homegrown document management system.

Novacap uses Intralinks

Looking to triple its fund size in just five years, Canadian private equity firm Novacap looked to Intralinks® for assistance in upgrading its homegrown document management system. What started as a way to streamline fundraising soon blossomed into an integrated, automated system, the equivalent of an Enterprise Resource Planning platform for the buyout company.

Situation

Initially, the legal team created an FTP site to facilitate due diligence. Loading documents, adding password protection to each one and tracking usage proved complex, with security limited to monitoring which organizations — not individuals — viewed the information. Investors found the FTP site hard to use and it was time consuming to manage.

Problem

Continuing with a manual, paper-based process was time-consuming and failed to provide adequate security for confidential information.

Implications

Early in the fundraising effort, Novacap printed and bound reams of documents to ship to prospective investors — 10 full three-inch binders in some cases. Novacap needed to provide immediate, secure access to investors anywhere in the world.

Solution

Intralinks Exchanges™ provided the institutional grade fundraising platform in a matter of days. Novacap’s dealroom was ready with all documents posted. Intralinks’ document-level security and individual permissioning ensured the highest level of security for Novacap’s valuable information.

Result

Intralinks helped Novacap target its fundraising efforts, while improving its investors’ experiences and significantly lessening the impact on its staff. The firm tracked investor interest by monitoring activity on its exchange, allowing them to focus their time on investors’ needs and questions. Investors had such a positive experience using Intralinks for fundraising they suggested Novacap use Intralinks to report on the funds. Today, Novacap posts current and past reports, meeting material, investment memos and other pertinent information to its exchange.

Benefit

Novacap used Intralinks to complete the investment phase of its Novacap II Fund and continued acquiring various companies for the vintage 2000 Fund. Deal teams use the exchange to work quickly and efficiently through every phase of a deal. After acquiring companies, Novacap has them use Intralinks as a repository for all important records. This allows Novacap to keep abreast of key events in each portfolio company without micromanaging or requiring access to their corporate networks.