Don't hate Patrick Healy for his youth; hate him for his track record. Some may ask: Patrick who? We recommend getting to know a rising force in Europe's media market.
Healy is a managing director at the San Francisco-based private equity firm, which is reportedly about to close a $2.5 billion fund. In March, 37-year-old Patrick Healy was chosen to represent Hellman & Friedman (H&F) on Nasdaq's board of directors. H&F chairman Warren Hellman had taken the directorship in 2001 when the firm acquired a 27 percent stake in exchange for $240 million (&€201 million).
But Healy has for the past few years also been spearheading H&F's push into Europe. He first grabbed attention when leading H&F's $312 million investment in Formula One in February 2000 and subsequently more than doubling the firm's money when selling to EM.TV just a few months later.
By selling for cash, Healy came out smelling of roses – in sharp contrast to the odour emanating from co-investor Morgan Grenfell Private Equity, which made the disastrous decision to sell its stake in exchange for EM.TV shares, which subsequently tanked, taking with them Morgan Grenfell Private Equity.
In October 2003, Healy led the acquisition of a 19.4 percent stake in Axel Springer, Germany's largest newspaper publisher and second-largest magazine publisher. The deal was a major coup, with Healy having courted vendor Deutsche Bank for a year. Deutsche had been looking for a way out of its interest in Axel Springer since it took it as security against a £452 million loan default by media group Kirch. Healy swooped when Deutsche's attempt to sell the stake through a secondary offering proved unsuccessful.
Now Healy is at the helm of what could be a dramatic strategic addition to H&F's existing European media interests (which also include ProSiebenSat.1, the German broadcasting company, of which Healy is a board member). At press time, the firm was engaged in battle with various financial and trade bidders to buy the UK's best-selling broadsheet the Daily Telegraph from Hollinger International for around £550 million. H&F has teamed up on the deal with Egyptian media mogul Haim Saban.
If successful, this would represent Healy's second UK acquisition in quick succession, having led H&F's $199 million purchase of London-based asset manager Delaware International in May. An interest in UK-based assets is no surprise given that H&F is currently in the process of establishing a London office. And who will be heading up the office? You guessed it.
3I APPOINTS NEW CHIEF EXECUTIVE
3i's most pressing succession issue has been solved: in May, Europe's largest listed venture capitalist unveiled its new chief executive, snatching Philip Yea from under the noses of UK property company British Land. Yea is currently a managing director at Investcorp, the Bahrain-based global private equity firm. He will take over from current incumbent Brian Larcombe soon after the 3i AGM on 7 July, on completion of various projects at Investcorp.
The announcement marks the first time 3i has appointed a CEO from outside the organisation. Yea joined Investcorp in 1999 as a managing director in its private equity business. He had previously been group finance director at Diageo from 1997 to 1999, and prior to that finance director at Guinness from 1993 to 1997.
CALAM, WYLES JOIN NEW SAGITTA FUND
Duncan Calam and Toby Wyles have been hired as directors by Sagitta, the London-based private equity firm.
Calam joins from UK-based pan- European private equity house Bridgepoint, and Wyles was most recently a senior partner and cohead of global buyout and venture firm Apax Partners' European buyout group. Sagitta managing director Charles Ind said Calam and Wyles would both play a role in direct investments, putting to work the Sagitta Private Equity Partners III fund, which was capped at £105 million just eight months after launch and 40 percent ahead of target size.
CAM ADDS THREE TO FUND OF FUNDS TEAM
A trio of new professionals has been appointed to the investment and business development teams at ([A-z]+)-based funds of funds manager CAM Private Equity.
Peter Schwanitz joins from private bank and asset manager Sal Oppenheim. As an investment director, he will be responsible for due diligence and investment monitoring of certain fund investments as well as business development. Nicolas von der Schulenberg joins from 3i, where he has been involved in direct investments in Germany for the last five years. Kay Roesener has joined to take responsibility for information and process management at CAM.
FORMER ADVENT MAN JOINS GMT
Massimo Prelz Oltramonti, a former European managing director of Advent International, has joined GMT Communications Partners, the European private equity firm that specialises in investments in the communications sector. Oltramonti spent eight years at Advent, the Boston-headquartered global fund manager, where he helped build the firm's European presence in investing in media and telecommunications. After leaving Advent in 1999, he joined Gilbert Global Equity Partners and since 2001, he has held a number of senior advisory positions with pan- European telecommunications and technology companies. GMT is currently investing from its &€365 million ($435 million) second fund, GMT Communications Partners II.
DUKE STREET APPOINTS THREE OPERATING PARTNERS
The London-headquartered private equity firm has announced the appointment of three new operating partners. Didier Gros, Nick Irens and Richard Stephenson have joined Duke Street to focus on strategic development, deal origination and portfolio company management respectively. Gros is the former president and chief executive of Accor's budget hotel division and helped the company launch the Ibis hotel chain in China. Irens, currently non-exec chairman of the leisure operator Esporta group, was previously chief executive of Cannons group in the same field. Stephenson joins from Madison Filter, a global filtration company where he was CEO, having previously been a director of industrial company Scapa Group plc.
CD&R MAKES LONDON HIRE
New York-based buyout house Clayton, Dubilier & Rice (CD&R) has announced that former Morgan Stanley Capital Partners managing director Christian Rochat will join its London office as partner to focus on growing European opportunities. Before Morgan, Rochat was a director at Schroder Ventures – now Permira – where he was responsible for European business development.
Rochat's hire follows two recent, significant CD&R European transactions. In April, the firm acquired VWR International, a US-based global distribution platform of laboratory supplies, from German pharmaceuticals group Merck for $1.65 billion (&€1.36 billion). A month prior, CD&R agreed to sell its 84 percent stake in Jafra Cosmetics International. Terms of the deal were not disclosed, though it is understood the sale will yield CD&R approximately five times return on capital invested, almost $1.4 billion (&€1.17 billion)