9AT: PROPHET EQUITY MANAGEMENT LLC

other names

PROPHET EQUITY MANAGEMENT LLC

Adviser Profile

As of Date	03/28/2025
ADV Location	SOUTHLAKE, TX, United States
Adviser Type - Mid-sized advisory firm
Number of Employees	6
of those in investment advisory functions	4
Registration	SEC, Approved, 04/24/2012

AUM^*	57,000,000 -7%
of that, discretionary	57,000,000 -40%
Private Fund GAV^*	103,438,888 81%
Avg Account Size	57,000,000 -40%
SMA’s	No
Private Funds	2 1
Contact Info	817 xxxxxxx
Websites

Client Types

- Pooled investment vehicles

Advisory Activities

- Portfolio management for pooled investment vehicles

Compensation Arrangments

- Performance-based fees

Fund Type	Count	GAV
Fund TypePrivate Equity Fund	Count2	GAV$103,438,888

Adviser	Hedge Fund	Liquidity Fund	Private Equity Fund	Real Estate Fund	Securitized Asset Fund	Venture Capital Fund	Other Fund	Total Private Fund GAV	AUM	#Funds
Adviser PT CAPITAL ADVISORS, LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund56.9m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV56.9m	AUM56.9m	#Funds2
Adviser GRANITE BRIDGE PARTNERS LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund-	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV-	AUM89.8m	#Funds-
Adviser V DELIMA INVESTMENTS INC	Hedge Fund-	Liquidity Fund-	Private Equity Fund-	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV-	AUM98.5m	#Funds-
Adviser CHICAGO ATLANTIC BDC ADVISERS, LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund-	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV-	AUM309.6m	#Funds-
Adviser WINGSPAN CAPITAL, LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund74.0m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV74.0m	AUM94.5m	#Funds7
Adviser WARREN CAPITAL GROUP	Hedge Fund-	Liquidity Fund-	Private Equity Fund-	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV-	AUM131.0m	#Funds-
Adviser XALTS	Hedge Fund-	Liquidity Fund-	Private Equity Fund92.3m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV92.3m	AUM92.3m	#Funds1
Adviser TERRAMONT INFRASTRUCTURE MANAGEMENT LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund297.5m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV297.5m	AUM549.9m	#Funds12
Adviser LONETREE CAPITAL, LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund215.2m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund-	Total Private Fund GAV215.2m	AUM215.2m	#Funds5
Adviser DAUNTLESS CAPITAL PARTNERS LLC	Hedge Fund-	Liquidity Fund-	Private Equity Fund112.4m	Real Estate Fund-	Securitized Asset Fund-	Venture Capital Fund-	Other Fund34.6m	Total Private Fund GAV147.0m	AUM283.5m	#Funds11

Brochure Summary

Overview

Prophet Equity Management LLC (“PEM”), is a Delaware limited liability company based in Southlake, Texas. PEM provides investment advisory services to Prophet Equity LP, a Delaware limited partnership, and any parallel or alternative investment vehicles related to Prophet Equity LP (collectively, the “Fund”). The Fund was formed in 2008, primarily to acquire controlling equity positions in, and seek to improve the operations of, strategically viable, asset intensive lower-middle-market companies that are underperforming their full potential. Prophet Equity GP LP, a Delaware limited partnership (the “General Partner”) serves as the general partner of the various Fund entities. The Fund’s investments benefit from several unique capabilities: (1) an established and unique network of professionals (including restructuring advisors, the Fund’s network of operators and asset based lenders) from which the Fund sources significant transaction opportunities; (2) demonstrated expertise in creatively and effectively structuring and closing transactions in complex, underperforming situations (including the purchase of assets of operating businesses out of Bankruptcy Court, the carve-out of entire businesses units from larger companies, and the acquisition of stand-alone operating platforms); (3) a rigorous process for screening investment opportunities based on size,

industry segment, strategic viability, detailed value creation plans, and price; and (4) the hands-on involvement of PEM executives in defining and implementing operating improvements that significantly improve cash generation and profitability in the Fund’s portfolio companies. PEM’s principal owners are Ross Gatlin and George Stelling. PEM’s assets under management were $61,060,184 as of March 30, 2024, all of which is managed on a discretionary basis. Description of Advisory Services. PEM serves as investment adviser to the Fund as set forth in a Management Agreement by and among the Fund, the General Partner and PEM (the “Management Agreement”). PEM’s services include:
• examining and evaluating investment opportunities,
• structuring and negotiating acquisitions and the related financing thereof,
• monitoring and managing investments and portfolio companies of the Fund, and
• evaluating and executing divestiture opportunities for such portfolio companies. The individual needs of the investors in the Fund are not the basis of investment decisions by PEM. Investment advice is provided directly to the Fund by PEM and not individually to the Fund’s investors. The commitment period for new subscriptions into the Fund closed on January 1, 2010, and the Fund is in the process of liquidating following the expiration of its term in December of 2021.

PROPHET EQUITY MANAGEMENT LLC

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