Investment Mandate
Van Hermann Capital was founded in 2009 with a mandate to execute value-oriented private equity investments in mid-market companies across Asia and North America. We target businesses exhibiting potential for substantial capital appreciation through growth, improved capital efficiency, margin expansion, and enhanced strategic positioning.
We specifically focus on companies at an inflection point in their development or those undergoing significant transitions, such as changes in senior management or ownership succession. As a typical controlling shareholder, Van Hermann Capital exercises significant influence through board representation and structural governance rights. Our firm is recognized as a preferred partner, working actively with management teams to implement strategic, financial, and governance initiatives that create lasting value. Furthermore, we leverage our portfolio companies conservatively, empowering them to assume the operational risks necessary to achieve aggressive growth targets.
Investment Principles
As a long-term private equity investor, Van Hermann Capital is committed to encouraging our portfolio companies to adopt policies and practices that enhance sustainable corporate financial performance. Our responsible investing approach is guided by the following principles:
Fiduciary Duty: Our overriding mandate is to maximize investment returns while mitigating undue risk of loss.
ESG Integration: We recognize that responsible corporate behavior regarding environmental, social, and governance (“ESG”) factors can positively influence long-term financial performance, acknowledging that the materiality of these factors varies by industry, geography, and time.
Transparency: Access to information is critical for us to evaluate potential risk and return, including the impact of ESG factors on performance.
Risk-Adjusted Analysis: Our investment analysis incorporates ESG factors to the extent that they affect risk and return profiles.
Stakeholder Interests: We recognize that employees, customers, suppliers, governments, and the broader community maintain a vested interest in positive corporate conduct and long-term business performance.
Pragmatic Stewardship: When managing our portfolio, we strive to be both principled and pragmatic, considering industry norms, competitive dynamics, regulatory requirements, and the broader context of specific business issues.
Responsible Investment Activities
All Responsible Investment (“RI”) activities are selected based on a cost-benefit analysis, where successful engagement is defined by an improved investment return or a lower risk profile. Van Hermann Capital communicates its commitment to RI to the Boards of Directors and Senior Leadership of all portfolio companies. We employ a risk-based approach to prioritize key ESG issues in collaboration with management teams and Board members to determine the appropriate actions to pursue.
Environmental: We are committed to environmental responsibility and energy efficiency, and we continue to pursue improvements in these areas.
Social: We are committed to maintaining proper labor and working conditions, safeguarding employee health and safety, and promoting the social development of the communities in which we operate. Van Hermann Capital fosters a culture rooted in fairness, transparency, intellectual honesty, and meritocracy.
Governance: We adhere to a code of conduct emphasizing honesty, integrity, fairness, and respect. We strive to meet reasonable stakeholder expectations and provide clear, transparent, and relevant information.
Industry Dialogue
Van Hermann Capital participates in broader domestic and international discussions regarding definitions, standards, and best practices in responsible investing. We are active members of:
UN Principles of Responsible Investment
Private Equity Association
Institute of Corporate Directors
Catalyst: Workplaces that Work for Women
Responsibilities and Reporting
Van Hermann Capital’s Investment Committee approves and oversees all responsible investing strategies and activities. All firm staff are required to attest to this policy, alongside our general code of conduct, which provides further direction regarding specific RI activities. Periodic training on both this RI policy and our code of conduct is provided to all staff. We are committed to the appropriate and timely disclosure of our RI activities to our investors.