Colin King of Circle City Group Capital Talks Building a $28MM Holding Co and Magnera (MAGN), a Recent Spin-off.

Last week, I finally got to speak to Colin King of Circle City Capital Group. Colin and I have exchanged emails and DMs for years, and so I was really looking forward to our conversation.

Colin’s background is in accounting and equity analysis, but these days public equity investing is more of a passion project.

Colin and his partner have built a $28MM holding company in just 6 years, called Circle City Capital Group.

In our conversation, we cover:

1:01 – Colin’s background

3:25 – Colin discusses quitting his job to found Circle City Capital Group

4:27 – How Colin splits his time between public and private investments

6:47 – How Colin allocates his capital between public and private investments

8:27 – How Colin things about cash at the holding company level

11:30 – How Colin things about investing in spin-offs

14:05 – Discussion of Zimvie (ZIMV)

17:03 – Overview of recent spin-off, Magnera (MAGN)

20:03 – What has caused the downturn in the nonwoven business?

21:50 – Has Magnera’s business bottomed?

23:49 – Discussion of Magnera’s valuation.

25:20 – How much free cash flow Magnera will generate.

27:20 – The biggest risk factor for Magnera.

29:43 – Indiscriminate selling pressure from Berry shareholders

32:43 – How Colin evaluates the management team of a spin-off

35.05 – Quick Discussion of SiteCenter (SITC) RemainCo and Curbline (CURB) spin-off

37:24 – Where to learn more about Colin