Zama Capital is a global special situations manager with an active short book. Zama primarily focuses on mid-cap companies undergoing inorganic corporate action, where returns from these hard events can have “step-function” type outcomes with less correlation to broader market direction.
Traditional event investing has become increasingly crowded and short-term oriented. Shorter-term capital waits to invest in events when certainty about the outcome is high, which pushes up premiums, decreases the return opportunity, and creates downside risk.
Zama focuses on situations across the capital structure when other market participants are not paying attention or are focused on the wrong factors. They also look to align themselves with key stakeholders who are likely to undertake a corporate action to unlock value the market is ignoring. Zama also is willing to invest with a longer timeframe when the payoff is adequate.
Founders Alex Eiseman and Emilio Gomez Villalva were previously team members together at Mason Capital. They began running their independent strategy in 2015 and launched their current fund in November 2017.