Blackstone nabs “superstar” from CVC

The private equity firm has hired Chip Schorr, a nine-year veteran of CVC Equity Partners and a “superstar in his field”, to oversee all of the firm’s technology related investments.

New York-based private equity firm The Blackstone Group has named Chip Schorr, formerly a managing director at Citigroup Venture Capital (CVC) Equity Partners, a senior managing director with the firm.

Chip is a superstar in his field.

Stephen Schwarzman, CEO, The Blackstone Group

At Blackstone, Schorr will join the firm’s fifteen other managing directors in the private equity group, headed by Mark Gallogly. Schorr will be responsible for overseeing technology-related investments for the firm, an area in which Blackstone is expected to make a major push.

“Chip is a superstar in his field,” noted Blackstone chairman and chief executive officer Stephen Schwarzman in a statement. “Technology investing is the basis on which whole firms have been established and will be a major initiative for Blackstone.”

During his nine-year tenure at CVC in New York, Schorr was a managing director primarily focused on investments in the technology and telecommunications industries. In 1997, Schorr led the leveraged buyout of Fairchild Semiconductor for $550 million (€445 million), one of the first private equity investments in the semiconductor industry. He has also led investments in AMI Semiconductors, Intersil Corporation and MagnaChip Semiconductors, among others.

Although reasons for Schorr’s departure from CVC are unclear, his old firm harbors no ill will toward their former colleague. In a statement released by Blackstone, David Thomas, managing partner at CVC noted: “All of us at CVC wish [Chip] every success at Blackstone and look forward to finding future opportunities to work together again.”

Blackstone’s push into the technology sector comes on the same day as

[We] look forward to finding future opportunities to work together again.

David Thomas, managing partner, CVC

another prominent buyout firm, Kohlberg Kravis Roberts, along with technology buyout specialist Silver Lake Partners, announced the $2.7 billion acquisition of Agilent’s semiconductor unit. Today also saw the closing of another important technology investment, the $11.3 billion acquisition of Sunguard by seven private equity firms, including Blackstone, Silver Lake and KKR.