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Investment Thesis

Hennessy Capital Industrial Infrastructure and Industrial Growth Investment Thesis

We believe an industrial renaissance is underway in the United States, and that now is the time to invest in the growing trend. The renaissance is fueled by several unquestionable market realities:

  • Cheap and abundant natural gas and crude oil – This has and will continue to benefit a wide range of U.S. industries across the value chain, from abundant feedstock and affordable energy, to finished goods
  • The U.S. labor market is stable, skilled, educated, and is increasingly competitive with developing exporter nations, giving the U.S. an advantage over other economies
  • The U.S. is increasingly competitive on a total landed cost basis when global market logistics, transportation costs and the risks of operating extended global supply chains are calculated

Hennessy Capital’s most recent SPAC investment vehicle is Hennessy Capital Acquisition Corp III, (NYSE American: HCAC U) taken public on June 22, 2017, ultimately raising more than $256 million. For more information on this portfolio company, visit the Hennessy Capital Acquisition Corp III page on this site.

HCAC III - Labor Productivity & Top Exporting Nations Manufacturing Cost Index

A Demonstrable National Infrastructure Deficit

  • The quality of the U.S. Infrastructure lags behind industrialized economies across several categories – making a major infrastructure overhaul necessary and imminent
    • Ranked 12th by the World Economic Forum for infrastructure
    • D+ rating” from American Society of Civil Engineers (ASCE)
  • ASCE estimates $4.6 trillion of investment is required through 2025 to improve the national score to a “B” rating
  • The current administration has prioritized the modernization and expansion of the U.S.’s infrastructure, promoting a minimum of $1 trillion investment over 10 years

More Than $100 Billion of Investments are Already Planned in the United States, According to Media Reports, Indicating That the Industrial and Infrastructure Renaissance Has Begun

  • “Apple to create $1 billion U.S. advanced manufacturing fund” –Reuters, May 2017
  • “GE Energy Financial to invest $3 billion, half for renewables” –Bloomberg, May 2017
  • “$4 billion investment to transform La Guardia into a ‘globally renowned’ hub” –FTE Global, July 2015
  • “ExxonMobil plans investments of $20 billion to expand manufacturing in U.S.” –Exxon Mobil, March 2017
  • “[California] Senate approves gas tax and vehicle fee increases to raise $5.2 billion annually for road repairs” –LA Times, April 2017
  • “Hyundai, General Motors announce billion-dollar U.S. investments” –United Press International, January 2017
  • “LA International Airport to get a game-changing $5 billion upgrade” –Forbes, Feb 2016
  • “Blackstone unveils $100 billion ambition for infrastructure” –Bloomberg, May 2017
  • “Samsung plans [$300mm] U.S. expansion” –The Wall Street Journal, March 2017
  • “Shale drillers are outspending the world with $84 billion spree” –Bloomberg, May 2017