Sentient is a development investor. Its ultimate objective is to participate directly in underlying metal or mineral projects with the objective of building new businesses. However, it will take equity placements in listed companies that are the majority owners of an asset as part of its overall strategy. As a matter of policy, Sentient does not make hostile acquisitions. Sentient also invests in refinancing and expansion opportunities in established businesses with existing operations that have the potential for further growth. Projects are expected to be low cost and profitable across the business cycle and offer commensurate returns for the risks involved. Sentient typically seeks potential high return projects with companies that have committed and talented management.
Sentient invests its investors' capital in a step by step manner in line with the capital needs of the project through its development and commissioning phases. Sentient has the ability to invest capital directly from the funds it manages, or on a larger scale through co-investment with investors in the Sentient funds where the opportunity warrants it.
The Sentient Funds expect to hold their investments for the medium to longer term and seek to have a significant position in each of their investments. Investments are structured according to the individual project and company circumstances.
The Sentient Funds are engaged investors and are actively involved with management through board representation. Sentient monitors the performance of the portfolio companies through frequent communication with management and regular analysis of financial and operating results. Sentient is able to provide advice regarding financial matters, including the evaluation and implications of acquisition and divesture opportunities, strategic and long-term planning, and refinancing options.
Sentient can invest up to 50% in any one OECD country or Eligible Developing Country. For projects located in Eligible Developing Countries, the minimum eligibility requirements include the provision of political risk insurance from a reputable insurance company or support by an international financial institution such as the World Bank Group, or the Asian Development Bank.