Overview
- The fund reported a Q4 2025 Class I return of -0.4%, trailing the Russell 2000’s 2.2% as healthcare allocations weighed on performance.
- Managers exited Western Alliance after identifying exposure to the First Brands bankruptcy through a note-on-note lending line and noting a non-zero capital-raise risk tied to borrower irregularities also cited by Zions.
- A new position in GitLab reflects conviction in its DevSecOps platform, double‑digit growth, mid‑teens operating margins, and a strong balance sheet, with intrinsic value estimated at $75 per share.
- The fund initiated Viavi following a DOJ-ordered transfer of overlapping Spirent assets from Keysight that closed on October 16, 2025, viewing it as a catalyst for data center opportunities and assigning a $30 intrinsic value as the company reported 36.4% year‑over‑year revenue growth in Q2 FY26.
- New stakes in Mirion and AAON target nuclear and data center demand, citing Mirion’s recurring revenue and ~25% EBITDA margins with a $30 value estimate and AAON’s BASX cooling business potential above $1 billion in revenue with a $114 estimate.