Stax Development Corporation (DevCorp) creates new companies and joint ventures to develop innovative solutions that address critical market needs identified by Stax’s strategic consulting practice. Stax DevCorp’s companies are held in two distinct portfolios: the Social Ventures Portfolio (SVP), whose holdings consist of double-bottom-line companies—those that deliver a combination of economic value and social benefit; and the V-Squared portfolio, a combination of new ventures and joint ventures with a profit-maximizing focus.
Although these ventures will typically be completely independent companies or strategic joint ventures, in select situations we may work with a Stax corporate client to pursue adjacent market opportunities that we jointly see as having future strategic value, but where the client is not appropriately positioned and may lack the risk profile to launch the new business on its own. This could be the genesis of a joint venture.
As the foundation for our ideas, we leverage the extensive research and industry knowledge of Stax’s strategy consulting arm to identify market “white spaces”, those key opportunities that others have missed or haven’t addressed adequately. Stax DevCorp then works with the consulting arm to develop or identify a unique solution and to validate the commercial viability of each business strategy.
Once the strategy is developed and tested, we recruit entrepreneurial, passionate executives for the management teams that will build and launch the new enterprises. Stax DevCorp supplements the teams with resources that startups typically lack, from deep industry expertise and research, to relationships with potential partners and financiers.
For the financing, we are positioned to draw on the consulting business’s relationships with more than 100 global private equity funds and a long list of global corporate clients. The trust we’ve gained from delivering actionable results to these clients over the years gives us access to decisionmakers controlling deep wells of capital as potential investors, meaning that our ideas are not constrained by deal size or investment strategy. We look at market opportunities with a clean sheet and develop the best approach.
Companies currently up and running include:
- Zerellium, which has developed a proprietary technology that allows mobile-device users to simultaneously view and interact with multiple types of content through a single application. Stax DevCorp is working with Zerellium to pursue opportunities for education, entertainment, sports, and other content producers or owners that can leverage this collaborative, multi-type content solution to drive mobile user and revenue growth.
- ULTRA TESTING, which was founded by two MIT engineers in 2012 to provide a high-quality and affordable software testing service. Their competitive advantage comes from employing on-shore teams of individuals with Autism Spectrum Disorders, including right here in New York, who can have the exact skill set required to be exceptional software testers – focus, attention to detail, natural pattern recognition ability, intelligence and curiosity. Armed with a market segmentation and competitor benchmarking developed by Stax, Stax DevCorp guided ULTRA to successfully launch, secure customers and line up funding. For more information on ULTRA, visit www.ultratesting.us.
Other deals in progress range from capital-efficient technologies in education, real estate and healthcare to large energy and infrastructure projects.
For more information about Stax DevCorp, please email firstname.lastname@example.org or call 212-299-7500.