peHUB Second Opinion 10.6.08
Payback Time: The Wall Street Journal looks what pension funds want, what they think they deserve, and how they're going about getting it. Hint: It has to do with suits, and not the kind you wear. Overpaying: At the very least, even if valuations and seller expectations haven't officially come down yet, some firms are trying to force em down. How is it possible that a PE firm would even *think* of overpaying on a deal these days anyways? According to colleagues at Reuters, Apax, Blackstone and Providence are trying to avoid just that, a potential overbid for a stake in India's FirstSource Solutions. Depressing News: Sixty Percent of Americans believe an economic depression is "likely." Looking at the requirements for such a state is really, really scary. First Timers: Anyone out there boldly trying to raise a first time fund? (Ahem, Guardian Capital, Prophet Equity...) Though it seems like a foolish mood, Buyouts' guest columnist has some advice. (sub req.) Three Years: That's the last time PE fundraising has been this slow.
