Two Six Capital, a technology-enabled firm that has pioneered data science for private equity, today announced that it advised Baring Private Equity Asia (“BPEA”), one of the largest and most established private alternative investment firms in Asia, on the acquisition of Acuon Capital, a South Korea-based consumer finance and leasing company.
To harness the power of data science, Two Six Capital combines large scale engineering, statistics and machine learning to analyze revenue data and customer patterns. The firm’s goal is to help private equity investors unmask the intrinsic value of their prospective and current portfolio companies.
“As is the case with each of our investments in the increasingly competitive Asian market, it is critical to conduct a thorough and in-depth due diligence process in advance of executing an investment,” said Han Chul Kim, a Managing Director at BPEA. “In seeking to ensure we were investing in a quality company with strong growth potential, Two Six helped us discover several areas within Acuon’s business model that we believe will provide value-creation opportunities. Two Six leveraged their technology to generate valuable insights from Acuon Capital’s loan tapes in a compressed timeframe, undertaking due diligence in regard to credit quality and potential impact of economic cycles.”
“There has been limited technology innovation in the private equity industry since the advent of the Microsoft Excel spreadsheet,” said Sajjad Jaffer, Co-founder and Managing Partner at Two Six Capital. “Built on decades of research from Wharton, our large data technology platform has ushered in a new wave of innovation. With over 50% of Two Six Capital’s deal flow sourced outside the United States, Asia has emerged as the fastest growing market for our firm. BPEA has shown that it is at the forefront of embracing data analytics in its investment process, and we were honored to embed our data science and engineering capabilities within BPEA’s impressive private equity team.”
About Two Six Capital
Founded in 2013, Two Six Capital is a technology-enabled firm that has pioneered Data Science for private equity. The firm has developed a proprietary data science platform that applies big data and predictive analytics to forecast costumer behavior to support investment decisions and helps drive value-creation plans. Two Six has served as an advisor and co-investor alongside many of the largest and most respected global private equity firms. The firm’s approach to due diligence transactions and value add post investment is backed by 25 years of IP and research in Data Science. The firm has analyzed over $130 billion in granular transaction level revenue data and has been involved in over $32 billion worth of private equity transactions that have closed. For more information, please visit www.twosixcapital.com.