This episode is brought to you by:

Tegus. The team at Tegus has built a full company intelligence platform aimed at streamlining the investment research process. In preparation for the 50X series, we actively used Tegus to gain qualitative insights beyond traditional reported data. To learn more and enjoy a free trial, visit tegus.co/50x.

Show Notes

[00:00:00] – 50X Intro

[00:01:51] – Sponsorship: Tegus

[00:07:19] – Introduction

[00:08:57] – Berkshire Partners’ Initial Exposure to TransDigm

[00:10:57] – Auction in 2003 by Odyssey Investment Partners

[00:14:35] – Contrast TransDigm with Hexcel

[00:15:55] – Re-engaging with TransDigm post-IPO

[00:18:33] – Origins of Stockbridge

[00:24:53] – Core Elements of TransDigm’s Business Quality

[00:29:52] – Investment Trajectory for Stockbridge and Berkshire Partners

[00:33:31] – Rob’s Appointment to TransDigm’s Board of Directors

[00:36:42] – Rob’s Trajectory of Conviction

[00:42:59] – Translating Conviction to Position Size

[00:43:50] – Persistent Undervaluation: Acquisition Pace and Exit Multiples