Onex Corporation Investment Strategies and Financial Performance

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Onex Corporation has a strong track record of generating returns for its investors. The company's investment strategies focus on private equity and private markets.

Onex has invested in a wide range of industries, including healthcare, technology, and consumer goods. Their investments are often made in partnership with other investors.

Onex has generated significant returns for its investors, with a reported internal rate of return (IRR) of 15% over the past 20 years. This is a testament to the company's experienced investment team and disciplined approach to investing.

Onex's financial performance is also driven by its ability to generate strong cash flows from its investments.

Investments

Onex Corporation has a significant investment portfolio, with over $35 billion in assets under management. This substantial investment pool allows the company to make strategic investments in various sectors.

One notable investment is in the private equity space, where Onex has invested in companies like Alliance Healthcare and AmeriGas. These investments have yielded significant returns, demonstrating Onex's ability to identify and capitalize on opportunities.

Onex's investment strategy is focused on creating value through operational improvements and strategic growth initiatives. This approach has enabled the company to achieve strong returns on investment, making it an attractive partner for businesses looking for growth capital.

Private Equity Investments

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Private equity investments can be a complex and high-stakes business.

Onex Corporation made a significant private equity investment in 2019 by purchasing WestJet for CA$5.0 billion.

This investment was made through its subsidiary Kestrel Bidco, a move that highlights the importance of strategic partnerships in private equity deals.

The purchase price of CA$5.0 billion is equivalent to $5.8 billion in 2023, demonstrating the impact of inflation on investment values over time.

Investment Management & Funds

On December 27, Onex Corporation conducted a substantial issuer bid, purchasing back 3.1% of its shares for $264.2 million.

This move was part of Onex's equity buyback plan, which was announced on November 8, 2024.

In fact, Onex has been actively managing its investments, and this buyback is just one example of its efforts to optimize its portfolio.

Here's a brief summary of the Onex Corporation's equity buyback plan:

This buyback is a strategic move by Onex to boost shareholder value and potentially improve its financial performance.

Mergers & Acquisitions

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As an investor, it's essential to stay up-to-date on the latest mergers and acquisitions (M&A) deals. In August 2024, ONEX:TOR announced its acquisition of Fischbach KG.

The deal was completed on the same day it was announced, August 22nd, 2024. This is a relatively quick turnaround, which can be beneficial for investors looking to capitalize on new opportunities.

The acquisition added significant value to ONEX:TOR's portfolio, with a transaction value of $87.00 million.

Financials

Onex Corporation's financials paint a picture of a growing company. The net sales for 2022 were $24.81 billion, a significant increase from the previous year.

The company's net income also saw a substantial jump, reaching $14.32 billion in 2022. This is a testament to the company's ability to generate profits.

Here's a breakdown of the company's net sales and net income for 2022 and 2023:

The company's net debt has also been decreasing over the years, with a net debt of -$5.67 billion in 2022.

Valuation

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Valuation is a crucial aspect of a company's financial health, and Onex Corporation's numbers are no exception. The company's capitalization has fluctuated over the years, ranging from 352B to 43.37B.

Let's take a look at the P/E ratio, which is a key indicator of a company's valuation. In 2022, Onex Corporation's P/E ratio was 17.4x, while in 2023, it dropped to 10.5x.

The enterprise value (EV) is another important metric that gives us an idea of a company's worth. Onex Corporation's EV has also varied over the years, ranging from 339B to 41.84B.

Here's a breakdown of Onex Corporation's valuation metrics over the years:

The free-float percentage gives us an idea of how much of the company's shares are available for trading. Onex Corporation's free-float percentage is 85.22%.

Financials

The financials of a company can be a complex and daunting topic, but let's break it down in simple terms. The company's net sales have been steadily increasing, from $1.08B in 2022 to $114B in 2023.

Credit: youtube.com, FINANCIAL STATEMENTS: all the basics in 8 MINS!

In 2022, the company's net sales were $1.08B, while in 2023, they reached $114B, a significant increase of $113B. This growth in net sales is a positive sign for the company's overall financial health.

The company's net income has also seen a significant increase, from $529M in 2022 to $55.76B in 2023. This is a staggering growth of $55.25B, indicating that the company is performing well financially.

Here's a breakdown of the company's net income and net debt over the years:

The company's net debt has also seen a significant increase, from -$204M in 2022 to -$21.5B in 2023. This suggests that the company may be taking on more debt to finance its growth.

News and Updates

Onex Corporation has been making headlines lately with some significant developments. Onex Buys Back 3.1% of Shares for $264.2 Million in Substantial Issuer Bid.

Onex Corporation's Equity Buyback Plan was announced on November 8, 2024, and it has expired with 2,257,722 shares, representing 3.05% for CAD 264.15 million. This is a notable move, and we'll be keeping an eye on how it affects the company's stock price.

Credit: youtube.com, Onex Corp. signs agreement to buy WestJet in $5B deal

Onex Corporation's Equity Buyback Plan was initially set to expire on December 23, 2024, but it was extended till December 23, 2024. This change was announced on December 11, 2024.

Here's a summary of the key dates for Onex Corporation's Equity Buyback Plan:

  • November 8, 2024: Onex Corporation announces an Equity Buyback for CAD 400 million worth of its shares.
  • December 11, 2024: Onex Corporation's Equity Buyback Plan is extended till December 23, 2024.
  • December 22, 2024: Onex Corporation's Equity Buyback Plan expires with 2,257,722 shares, representing 3.05% for CAD 264.15 million.

Latest News

Onex Corporation has been making headlines with its recent share buyback announcement. Onex Buys Back 3.1% of Shares for $264.2 Million in Substantial Issuer Bid.

The buyback plan, announced on November 8, 2024, has expired with 2,257,722 shares, representing 3.05% of the company's equity, valued at CAD 264.15 million.

Onex Corporation's Equity Buyback Plan was extended till December 23, 2024, but has since expired. This move is part of the company's efforts to boost shareholder value.

A total of 2,257,722 shares were bought back under the plan. Here's a breakdown of the buyback:

Onex Corporation has also made some changes to its share buyback plan. On December 12, the company amended its previously announced substantial issuer bid, extending the deadline and varying the price range.

The buyback plan was initially announced on November 8, 2024, with a total value of CAD 400 million.

One News

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Onex Corporation recently announced a substantial issuer bid, seeking to purchase up to ~C$264.15M of its subordinate voting shares.

This bid is part of a larger effort by the company, which has also announced a variation of the price range and an extension of the bid.

Onex Corporation has also reported its third-quarter 2024 results, including a GAAP EPS of $1.68.

The company has also declared its fourth-quarter dividend, providing a return to shareholders.

Here's a summary of the key dates related to Onex Corporation's substantial issuer bid:

Management and Governance

Onex Corporation has a seasoned management team, with Robert Le Blanc serving as the CEO since May 10, 2023, at the age of 58.

The company's leadership is well-established, with Christopher Govan holding the position of Director of Finance/CFO since March 23, 2015.

Yonah Feder has been Compliance Officer since December 31, 2017.

The Board of Directors is also composed of experienced individuals, with Ewout Heersink serving as a Director/Board Member since April 30, 2010, at the age of 74.

Credit: youtube.com, WestJet to be bought by Onex in $5-billion deal, including debt

Gerald Schwartz has been the Chairman since February 28, 1987, at the age of 83, making him one of the longest-serving members of the Board.

John McCoy has been a Director/Board Member since April 30, 2005, at the age of 81.

Here is a list of the current management team:

  • Robert Le Blanc, CEO
  • Christopher Govan, Director of Finance/CFO
  • Yonah Feder, Compliance Officer
  • Ewout Heersink, Director/Board Member
  • Gerald Schwartz, Chairman
  • John McCoy, Director/Board Member

Research and Analysis

Onex Corporation has a diverse portfolio of investments, with holdings in various sectors including industrial, consumer, and healthcare.

Their investments include companies like Pactiv Evergreen, a leading manufacturer of food and consumer products packaging.

Onex has a strong track record of creating value through its investments, with a focus on long-term growth and sustainability.

The company's investment strategy involves partnering with experienced management teams to drive growth and improve operations.

Onex has a significant presence in the industrial sector, with investments in companies like Pactiv Evergreen and RPC Group.

Corporate Actions

Onex Corporation has a history of taking bold steps to drive growth and success.

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In 2014, Onex acquired Deltaplex Group, a leading provider of industrial cleaning and maintenance services, expanding its portfolio of companies in the industrial services sector.

Onex's acquisition strategy is focused on identifying and investing in companies with strong management teams and growth potential.

One notable example is Onex's acquisition of Deltaplex Group, which has since become a key player in the industrial cleaning and maintenance services market.

The company has a strong track record of creating value through its investments, with a focus on long-term growth and sustainability.

Onex has a dedicated team of investment professionals who work closely with management teams to drive growth and improve operations.

The company's investment approach is centered around creating value through operational improvements, strategic acquisitions, and organic growth initiatives.

Onex's portfolio companies have a strong presence in North America, with a focus on the industrial services, healthcare, and financial services sectors.

Frequently Asked Questions

How much does the CEO of Onex make a year?

The CEO of Onex earns a total yearly compensation of $8.50M, with a significant portion coming from bonuses and company stock. This compensation package makes him one of the highest-paid CEOs in the industry.

Elena Feeney-Jacobs

Junior Writer

Elena Feeney-Jacobs is a seasoned writer with a deep interest in the Australian real estate market. Her insightful articles have shed light on the operations of major real estate companies and investment trusts, providing readers with a comprehensive understanding of the industry. She has a particular focus on companies listed on the Australian Securities Exchange and those based in Sydney, offering valuable insights into the local and national economies.

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