Transcript
Introduction
Matt
Welcome back to Business Breakdowns. This is Matt Reustle. And today, we are breaking down the publicly-traded investment company 3i. Now, you may think if you've seen one publicly-traded investment vehicle, you've seen them all. Not so fast. 3i is an investment vehicle where one business, Dutch retailer, Action, represents well north of 50% of their net asset value. And our guest to break down 3i is Luke Bridgeman, Portfolio Manager at Hosking Partners.
Luke shares the unique origin story of 3i, which goes back to pre-World War II in England and has a very unique funding story with a consortium of banks. He takes us off through present day, where longtime investment banker, Simon Borrows, has taken 3i and completely reshaped the asset management business into something that looks completely different. We end the conversation talking a lot about the philosophical evaluation of this type of business, which is very unique relative to anything else you would look at. We get into the comp sets valuation framework and much more. This was a fun conversation and I think you'll enjoy it as well. Please enjoy this breakdown of 3i.