Broidy is Guilty – What Does It Mean For Markstone?
This afternoon Attorney General Andrew Cuomo announced the Elliott Broidy, cofounder and chairman of Markstone Capital, pled guilty to one count of rewarding official misconduct in the second degree. Felony, in other words. It raises the obvious questions about the future of Markstone. We saw what happened to Aldus Equity when Saul Meyer pled guilty—it’s now nonexistent. But Aldus didn’t manage millions of dollars with of buyout funds. Markstone even has up to $69 million in uncalled capital. Markstone is around the halfway mark for its fund, an $800 million vehicle which closed in 2005. New York committed $250 million; had been deployed as of March. Investors include Israeli insurance company Clal Insurance Pensions and Finance Group and Oregon Investment Council and of course New York State Common. Investments include a stake in cleantech water company Netafim.
