Australian and New Zealand companies possess unique qualities that make them highly attractive to North American buyers, yet their distinctiveness often flies under the radar. One memorable moment was when I pitched a prominent private equity (PE) firm about a great company in Melbourne, and they asked, “Melbourne, Florida?” It highlighted how overlooked the ANZ market can be. But when they finally committed to a deal in Australia, they went all in. This highlights one of the key aspects of ANZ companies: once discovered, they captivate and provide consistent value, leading to further investment and acquisitions.
Here are the defining features of Australian and New Zealand companies that make them stand out:

1. Cultural Compatibility with North American Buyers: ANZ companies operate in a Western business culture that aligns well with North America. This cultural compatibility eases integration after acquisition—there are typically no significant software or operational overhauls required, allowing for smoother transitions.
2. Resilience and Self-Sufficiency: The limited venture capital ecosystem in Australia and New Zealand forces these companies to be highly self-reliant. Without the influx of external capital that companies in Silicon Valley enjoy, ANZ businesses quickly learn to thrive on their own merits. This creates disciplined companies that operate efficiently and prioritize sustainable growth over inflated valuations.
3. Simple Capitalization Structures: Since ANZ companies don’t have access to large amounts of venture capital, their capitalization tables are much simpler. These businesses tend to avoid overvaluation, as they are not racing to become “unicorns.” This simplicity appeals to buyers who seek straightforward acquisitions without the headache of untangling convoluted ownership stakes or over-inflated expectations.
4. Battle-Tested in Challenging Markets: Many ANZ companies have had to expand beyond their borders early in their lifecycle, given the relatively small domestic markets. This international mindset means these companies are often prepared to scale globally, making them more agile and adaptable than businesses that remain focused solely on their home market.
5. Openness to New Opportunities: Australian and New Zealand companies are eager to explore growth opportunities outside of their territories. With a little push and the right buyer providing access to new markets, these companies can unlock significant potential. This willingness to explore and expand makes them highly receptive to strategic partnerships and acquisitions.

Australian and New Zealand companies combine the agility, resilience, and simplicity that make them perfect acquisition targets. Once buyers recognize their value, they often continue to invest in the region, acquiring additional bolt-ons and platform companies​​​​​.