FNCP II DEALS COMPLETED TO DATE

In January 2015, FNCP II completed its first investment by acquiring a majority interest in Plastics Research Corp (PRC) since renamed and re-branded as PRC Composites. PRC is a specialty manufacturer, located in Ontario, CA, that produces customized shipping containers and other commercial products. Major customers include General Atomics (the Predator drone), Boeing (the J-Dam smart bomb), the US Gov’t (PALCON) and United Technologies Corporation (maker of Pratt and Whitney jet engines). In 2015, the company earned $2 mm on revenue of $17 mm. In 2016, revenue exceeded $21 million with an Adjusted EBITDA of $4mm. In January, 2017, FNCP II completed its second investment by acquiring a controlling interest in Advance Adapters, Inc, a 45 year-old specialty manufacturer of automotive aftermarket parts located in Paso Robles, CA.


FNCP’S OVERALL PHILOSOPHY

The management of FNCP is composed of seasoned investors, not traders or speculators. The capital of the investors will be used to acquire or invest in high quality and reasonably priced companies, the equity of which is being made available for good (and verifiable) reasons. Locating attractive deals requires ongoing diligence and constant nurturing of contacts. This is particularly the case because the target companies typically have not had outside investors or institutional capital. In these situations, professional capital can bring a new level of business operations and savvy to the target company. FNCP will do this through active management of its portfolio companies, thereby adding value, and the resulting growth and success. If successful, the portfolio companies are transformed from reasonably successful entrepreneurial based companies to professionally managed and operated companies with increased revenues and profits, which generally allows for higher multiples when an exit occurs.