In his latest Q4 2021 Earnings Call, Prem Watsa explains his preference for investing in founder-led companies. Here’s an excerpt from the call:
No. No. The — good question. No. The investment philosophy is the same. What we are trying to buy is good companies with great management who built the company who want to continue to build it and want us as a partner. We are not looking at companies that are run by people who want to sell it in three years or four years. We are not private equity.
And we want to be partners with founders and people who have owned a big share of the company and who want to build it and that’s what we have done. If you look at the investments that Chandran and our group in India have done, it’s basically linked to founders.
In fact today there’s a company that their press release went out Jan X I think where we bought 70% and with the founder having the 30% and you have got a terrific track record 10 years, 15 years entrepreneur built from scratch wants to continue to build the company and where we would be a good partner for people like that.
You can read the entire earnings call transcript here:
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