Rob Normandeau
When it comes to his company's business strategy, Rob Normandeau believes in depth over breadth, quality over quantity. So far, this less-is-more approach is yielding results at Clarke Inc., a publicly traded Halifax company that invests in undervalued businesses with the goal of realizing attractive returns as these companies grow.
Clarke Inc. began as a freight transportation company and continues to own four transportation businesses.
Since Mr. Normandeau took over as Clarke Inc.'s president in December, 2008 - he was already COO since April 2007 - book value per share at the company has risen by about 50 per cent, even as Clarke reduced its management portfolio from 50 companies with total assets of $380-million in 2007 to 20 companies with total assets of $290-million in 2009, he says.
The goal, says Mr. Normandeau, is to have a core group of between 10 to 12 companies.
"We are doing more with less and have gone from doing a lot of things with a little bit of depth to doing fewer things with a lot of depth," he says. "Now we have very deep relationships with the businesses we're invested in and we're extremely active in executing strategic plans."
Working with Clarke's board of directors, Mr. Normandeau also closed down Clarke's stock trading business - a decision based on an analysis of the company's strengths.
"The team we have is more suited to rolling up its sleeves and working with companies rather than asset management roles where you synthesize data," he says. "We're better at working with companies, doing plant tours and making capital expenditure decisions."
Mr. Normandeau, who worked as a lawyer in the Toronto offices of Skadden, Arps, Slate, Meagher & Flom LLP & Affiliates before joining Clarke in 2005, says he's a hands-on leader who likes being on the front lines of the business. He travels every week to various parts of Ontario, Quebec and British Columbia to visit companies where Clarke has investments.
Yet somewhere in his busy schedule, Mr. Normandeau has found time to coach hockey, be a dad to three children aged 9, 7 and 5, and lend his expertise as a board member for a couple of not-for-profit organizations.
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