Lehman Statement on Direct PE Biz
Lehman Brothers just issued a statement on the status of the investment management groups that are not included in the proposed sale to Bain Capital and Hellman & Friedman. It doesn’t shed much light, although it also doesn’t discourage widespread speculation that the groups will soon transform themselves into independent entities. Here it is: As specified in a recent press release, the proposed sale of Neuberger Investment Management and several related asset management business units to Bain Capital Partners, LLC and Hellman & Friedman LLC does not include Lehman Brothers' major direct private equity businesses such as Merchant Banking, Real Estate, Venture Capital and MLP. However, the investment teams for these funds remain intact and focused as we actively pursue the best strategic alternatives for these businesses going forward. As always, a primary consideration is the best interests of our investors. While we wait for definitive plans, there are still a pair of questions worth pondering: 1. What will happen to each fund's uncalled commitments from Lehman Brothers? For example, the dearly-deceased bank promised
