Morgan Stanley Expansion Capital is a private investment platform targeting late-stage growth equity and credit investments in technology, healthcare, consumer, digital media and other high-growth sectors.
We specialize in making equity and credit investments in technology and other high-growth sectors, such as healthcare, digital media, e-commerce, consumer and business services. Our team predominantly invests in North America and Western Europe. Our focus is on late-stage private companies, largely with established products and services addressing established markets seeking capital to scale revenue and expand business operations.
In addition to capital, the team relies on its industry experience to drive strategic growth, improve board governance, optimize capital structures, enhance operational efficiency, recruit senior executives and advise on strategic and financial liquidity. We seek to leverage the Morgan Stanley global brand, insights, resources and relationships in all our investment activities.
Investments typically range from $10 million - $25 million per transaction but there may be additional size flexibility through syndicate and co-investor relationships. Morgan Stanley Expansion Capital typically leads investments, but will also co-lead and participate in syndicated opportunities.
We generally do not take controlling ownership positions, so our investment strategy is predicated upon a partnership framework with founders, management teams and fellow investors. Value creation is driven by growth with a particular focus on capital efficiency and demonstrated unit economics.
Expansion Capital’s Advisory Partners provide an additional resource across our investment portfolio. Advisory Partners often participate in the examination of investment opportunities, serve on company boards, share their market and business insights and consult with portfolio founders and management to drive growth throughout the life cycle of an investment.
Morgan Stanley Expansion Capital and its predecessors have invested in the growth sectors for over three decades. We believe we are unique in our ability to offer private equity or credit investment to late-stage growth companies with the flexibility to lead or syndicate investments. Our investment team and our portfolio companies benefit from Morgan Stanley's global resources, network and franchise. Our long tenure and unique relationship with Morgan Stanley affords our portfolio companies unparalleled access to thought leaders, industry experts, operational expertise and managerial talent. We believe that our experience and reputation enables us to build market leaders which are more valuable and better positioned, and thus able to drive outcomes which maximize exit value for our companies and our investors.
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DataGuard is a Software-as-a-Service company focused on privacy, information security, and compliance. DataGuard is the trusted partner to over 3,000 mid-sized enterprises (SME) and corporates operating in over 50 countries. Customers use the DataGuard platform to comply with regulation (e.g., GDPR, CCPA, EU Whistleblower Directive) and obtain information security certifications (e.g., ISO 27001, TISAX, SOC 2). DataGuard’s end-to-end solution drastically reduces the time and money companies spend to keep their personal data protected, their information and assets secure, and their business processes compliant. This enables them to build trust, mitigate risks, prevent breaches, and achieve their business goals.
Scale Computing is a leader in edge computing, virtualization, and hyperconverged solutions. Scale Computing software eliminates the need for traditional virtualization software, disaster recovery software, servers, and shared storage, replacing these with a fully integrated, highly available system for running applications. Using patented HyperCore™ technology, the self-healing platform automatically identifies, mitigates, and corrects infrastructure problems in real-time, enabling applications to achieve maximum uptime. When ease-of-use, high availability, and TCO matter, Scale Computing is the ideal infrastructure platform.
Platform.sh is a unified, secure, enterprise-grade platform for building, running and scaling web applications. Founded in 2015, the company is headquartered in Paris and San Francisco. Platform.sh employs 340 people across 36 countries and is available in Europe, the United States and Asia, through global partnerships with AWS, GCP, Azure and OVHcloud.
CompStak is the leading crowdsourced commercial real estate platform. They handle millions of data points each week to create a comprehensive, robust CRE datat set. CompStak envisions a commercial real estate industry in which accurate and transparent data leads to better, faster deals. CompStak is available on a subscription basis exclusively to qualified lenders, landlords, and investors operating in the commercial real estate space. A growing list of top tier banks, private equity funds, owner/operators, REITS, and advisors rely on CompStak.
Elligo Health Research ("Elligo"), a healthcare-enabling research organization powered by the novel IntElligo Research Stack technology, uses electronic health records and the trusted patient and physician relationship to ensure all patients have access to clinical research as a care option. Elligo directly engages physicians and patients who otherwise would not participate in clinical research and accelerate the development of new pharmaceutical, biotechnology, and medical device and diagnostic products.
Founded in 2011 and based in San Diego, California, Classy, Inc. provides fundraising software to nonprofit organizations and social enterprises. The Company’s software platform includes a fundraising suite that offers various modules such as campaign management, customer relationship management, automated engagement and reporting / analytics.
The Lifetime Value Co. ("LTV") is an information services technology platform comprising a portfolio of brands that provide easy access to information to help make all of life’s decisions, big and small. LTV’s brands include best-in-class web-based and mobile products that put the power of data into the hands of customers. Millions of people trust LTV for insight into people, properties, businesses, and vehicles. LTV is powered by its global team of 150 employees.
Pluribus Networks delivers highly scalable, automated and cost-efficient data center network solutions based on the principles of disaggregation and controllerless SDN automation. The Linux-based Netvisor® ONE operating system and the Adaptive Cloud Fabric™ controllerless SDN software have been purposely built to deliver radically automated networking along with superior economics by leveraging white box switches including Pluribus’ own Freedom™ Series of switches. The Adaptive Cloud Fabric controllerless SDN architecture is optimized to deliver a modern network fabric underlay and overlay across data center sites to support distributed cloud with rich services, automated operations, intrinsic security, comprehensive visibility and no single point of failure. Pluribus is deployed by more than 350 customers, including more than 100 tier one mobile network operators, in mission critical networks around the globe.
Founded in 2013 and based in San Francisco, CA, Chairish, Inc. is a leading online marketplace for resale vintage and pre-owned furniture, décor and art. The Company holds no inventory, curates for style and quality, and focuses on professional sellers (e.g., dealers, stores, designers, etc.).
Medsphere Systems Corporation is a Carlsbad, CA-based provider of healthcare IT solutions, including electronic health record, practice management and revenue cycle management solutions. The company serves small / medium sized inpatient, ambulatory centers and physician practices within the acute care, outpatient and behavioral health markets.
Integral Development Corp. is a financial technology company that helps its customers, including banks, retail brokers, and asset managers, outperform their competition in the foreign exchange (FX) market through innovative solutions for workflow management and advanced execution. Founded in 1993 and based in Palo Alto, CA, Integral maintains development, support, and sales offices in Palo Alto, New York, London, Tokyo, Singapore and Bangalore.
Cohesity, headquartered in Santa Clara, California, is the industry-leading platform for hyperconverged secondary storage solutions. The company was founded by Mohit Aron, the co-founder and former CTO of Nutanix, to provide secondary storage solutions to enterprises for the consolidation, protection and sharing of non-mission critical data assets. Cohesity was founded in 2013, currently has over 500 employees, and has quickly gained scale through innovative products and strong technical leadership.
VizExplorer is a business intelligence software company headquartered in San Diego, California. Via its proprietary visualization technology, the company offers operational intelligence solutions to enterprise customers within the regulated, land-based gaming and entertainment verticals to provide gaming floor optimization, visitor behavior analytics and customer marketing.
Tiff’s Treats makes and delivers classic, baked-to-order cookies and brownies straight from the oven to the home or office, warm, in about an hour. Founded in 1999, what started as two friends baking cookies at University of Texas at Austin to help fellow students get through exams has now grown to over 30 stores in Texas and Georgia, with more than 700 employees, baking more than 80 million cookies since its inception.
A leading online marketplace for voiceover talent and other audio products and services.
Eska Water is a Canadian bottler, seller and distributor of carbonated, flavored and flat spring water.
MotionPoint is a leading provider of website localization services to Fortune 1000 companies.
RocketLawyer is an online legal destination website for individuals and small businesses.
Software-as-a-Service (SaaS) provider of voice and text connectivity products and solutions to small- and medium-sized businesses, not-for-profit organizations and political agencies.
VBrick Systems produces video streaming and content management solutions.
Founded in 2010 and headquartered in Marina Del Rey, CA, SmartyPants produces premium all-in-one multi-vitamins in a variety of formats for children and adults.
Designs, develops, and markets business application solutions.
A leading developer of consumer products and content for children specifically focused on delivering superior educational content through its Nabi devices.
Provides small- and medium-sized businesses integrated electronic document management solutions through on-premise software and Software-as-a-Service product offerings.
Domiciled in Israel with U.S. headquarters in Cary, North Carolina, Doron Gordon founded Samanage Ltd. in 2008. The company is a leading public cloud SaaS provider of IT service management (“ITSM”) software for medium-sized companies. Samanage’s cloud software provides a comprehensive solution for its customers, offering a centralized location for employees to submit various requests and for agents to manage workflow across functional departments for multiple ticketing use cases.
Vigilant is a provider of license plate and facial recognition products and solutions.
Provider of cloud-managed enterprise WiFi solutions to large- and medium-sized enterprises, higher education and primary schools.
Provider of antennas and radio frequency chips to the mobile and Wi-Fi/Set-Top Box OEM market.
XSInc provides e-commerce and data management solutions for the life science and agricultural industries.
Core Security creates security software for enterprise vulnerability assessment. Acquired by Courion.
Global Custom Commerce, Inc. is the largest North American online retailer of customized window coverings such as blinds, shades, draperies and wallpaper.
E2open (NASDAQ:EOPN) is a global computer, electronics and telecommunications e-marketplace.
Provides ultrasound accelerated drug delivery catheters for rapid dissolution of blood clots. Acquired by BTG plc, (LSE:BTG).
Internap (NASDAQ:INAP) provides internet connectivity services.
Arcadian Management provides Medicare Advantage to underserved markets. Acquired by Humana (NYSE:HUM).
Developer of equipment for medical device companies.
IDeaS provides revenue management software. Acquired by SAS Institute, Inc.
Provider of software for project-driven companies and departments.
Immobilien Scout is a German real estate portal. Acquired by Scout24 Schweiz AG (Deutsche Telekom (DB:DTE)).
Avamar provides backup and restore software and systems. Acquired by EMC Corporation (NYSE:EMC).
Develops radiofrequency ablation devices for minimally invasive cancer treatment. (NASDAQ:RITA), since acquired by AngioDynamics (NASDQ:ANGO).
Provider of a minimally invasive tissue biopsy device. Acquired by Hologic, (NASDAQ:HOLX).
Bowstreet was a leading provider of portal-based tools and technology. Acquired by IBM (NYSE:IBM).
Control Delivery Systems provides drug delivery systems. Acquired by pSivida (NASDAQ:PSDV).
Creates web-based content, tools and services for the education market.
FormFactor (NASDAQ:FORM) develops wafer-level test and packaging solutions for the semiconductor industry.
U.S. Healthworks provides workers' compensation health services.
European IT services and consulting firm.
Yantra is an eBusiness software for managing high volume transactions. Acquired by Sterling Commerce, a division of IBM (NYSE:IBM).
Allscripts (NASDAQ:MDRX) develops internet and client/server medication management solutions.
Provider of laser-programmable gate arrays.
Evolving Systems (NASDAQ:EVOL) is a telecom software solutions vendor.
Intuitive Surgical (NASDAQ:ISRG) develops minimally invasive surgery systems.
Provider of detail-critical business processes, including translation, online marketing, global content management and application testing solutions, which ensure global brand consistency, local relevancy and technical usability across all touch points of the customer lifecycle.
A wireless data communications company.
Develops DEC VAX applications software.
Frontstep is an enterprise resource planning software provider. Acquired by Mapics, (NASDA:MAPX).
Business-to-business company focused on the design and construction market. Acquired by Autodesk.
Provides datacom consulting and web-based training and support
Creates document and workflow management systems.
Websense (NASDAQ:WBSN) provides internet usage management software.
E-commerce company focused on the shoe industry.
Develops digital control technology for electric motors.
Provider of integrated healthcare information systems.
Provides image management software. Now ScanSoft (NASDAQ:SSFT).
Develops software applications for use in plant lifecycle management.
Anasazi provides central reservations software and services. Acquired by REZsolutions, now Pegasus (NASDAQ:PEGS).
CSG Systems (NASDAQ:CSGS) provides billing and customer care software for the communications industry.
Cytyc (NASDAQ:CYTC) develops diagnostic systems for cervical cancer screening.
Milestone provides sub-acute hospital management services. Acquired by HCR ManorCare.
Managed Health Network provides mental health management services. Acquired by FHS, now Health Net (NYSE:HNT).
Quintiles Transnational (NYSE:Q)is a leading global contract research organization.
Manager of child care centers and pre-school programs.
Client-server online transactions processing applications development software
Provider of home infusion services.
Develops advanced PC graphics systems.
Strategy Name | Description |
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Makes privately negotiated later-stage investments in technology, health care, consumer, and other sectors.
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Makes privately negotiated later-stage investments in technology, health care, consumer, and other sectors. |
As of 10/30/2021. Team and portfolio information may change from time to time.
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