Sea Breeze Capital (A) - Teaching Note

Case A describes the attempt made by Jordi Alves, an MBA graduate, to start the first search fund in Spain. Case B describes two acquisition opportunities that Jordi identified one year after he had launched the search fund. Jordi Alves graduated with his MBA in 2010. During his business school studies, he focused on search funds with the intent of starting his own search fund immediately after graduation. Being from Barcelona, Spain, he selected Spain as the target country for his search, despite the economic uncertainty in Europe and particularly in Spain in 2010. Another reason was that this would be the first search fund ever to be established in Spain. At the time of case A (spring 2011), Jordi is concerned because Spain is facing more serious and lasting economic problems than expected when he began to raise funds. He is considering whether in these market conditions he will still be able to deliver the returns expected by his investors and whether Spain is still appropriate for his search fund.