October 2004 Issue


    Month: October
    Year: 2004

    Back to Print Editions

    Advice à la carte

    Investment consultants offering advice only on private equity say their clients are better served than those of gatekeepers that have ventured into money management. David Snow presents the case for both sides

    ONLINE WITH THE SHOW

    Private equity firms are making bets on digital entertainment distribution. Some have already been richly rewarded

    FUNDS LOVE NYC

    The New York City comptroller's office plans to staff up and allocate billions of dollars to private equity

    ALABAMA SLAMMER

    A fee-averse pension fund learns a hard lesson about turnaround investing

    The trappings of wealth

    An article published earlier this year in Swedish business magazine Afförs Vörlden, which zeroed in on the country's most successful private equity players, has cast the spotlight on a Nordic taboo: significant personal wealth. Unsurprisingly, it has caused a stir

    HUNTING HEADS, HUNTING DEALS

    Paul Capital taps an executive recruiter to expand its secondary-deal sourcing capabilities

    OUT OF FASHION

    Swiss private equity firm Leman Capital sheds French clothing and accessories purveyor

    NEW CLIENTS FOR GEMINI

    Gemini's new $200m Israeli venture fund proved popular with Europeans

    SPAM BRACKET

    Some company owners are desperate for a liquidity event, but is anyone this desperate? We received an email from a Santa Monica, California outfit with this message: “We specialize in assisting emerging companies in “Going Public” … I wish I could covey to you, all the many benefits of going public in a brief letter. […]

    TALKING BULL

    PEI enjoys chewing the fat with London's private equity headhunters: they always have some interesting, and occasionally indiscrete, thoughts to share. In a recent exchange of views, it became clear that the appointment of industry veterans to the general partner ranks is widely acknowledged to be a good thing. But we discovered that there are […]

    A STUDIED APPROACH

    The allure of Europe is clear, and canny US investors are keen to take advantage

    THE BIDDER THAT WASN'T

    THE BIDDER THAT WASN'T 2004-10-02 Staff Writer When London's Sunday Times put Permira in the frame as a possible £5 billion bidder for the J Sainsbury supermarket chain, it was only the size of the deal that might have taken a few people by surprise. Even for Permira, this would

    GAGEN GETS THE BLUES

    GAGEN GETS THE BLUES 2004-10-02 Staff Writer The former head of 3i's private equity activities in the US will not be idle for long, according to a report in London's Evening Standard newspaper. Although Martin Gagen has been linked with a new role in the academic world, his short-term ambitions appear to inv

    SWEAT EQUITY

    SWEAT EQUITY 2004-10-02 Staff Writer It's been a good few weeks for Jonathan Nelson. His firm, Rhode Island-based communications specialist Providence Equity Partners, rounded up $4.25 billion for Fund V, he clinched a deal with Sony to acquire Hollywood studio MGM (see degrees of separation), and he got a b

    RICHER THAN MICK

    RICHER THAN MICK 2004-10-02 Staff Writer If one is going to appear in the The Daily Mirror, a newspaper not famous for its discretion or subtlety, one might as well be on this list – “Britain's Top 100 Self-Made Millionaires.” Toping the list is fashion tycoon Philip Green with £

    IMPETUS SPEAKS UP

    IMPETUS SPEAKS UP 2004-10-02 Staff Writer Venture philanthropy has long been a forceful movement in the US and Canada, but in Europe, the practice of using VC style investment techniques to help charitable organizations maximize their effectiveness remains in its infancy. Impetus Trust

    BLACKSTONE AND CLYDE

    BLACKSTONE AND CLYDE 2004-10-02 Staff Writer Stephen Schwarzman really knows how to bring disparate groups together. Since May, the Blackstone co-founder has been chairman of the Washington DC-based John F. Kennedy Center, a performing arts institution. This coming December, the Kenned

    BUYOUT KING, QUEEN

    BUYOUT KING, QUEEN 2004-10-02 Staff Writer The degrees of separation between David Bonderman, the multi-talented founder of Texas Pacific Group, and Queen Latifah, the multi-talented recording artist, movie actress and television personality: the two are linked through a recent Hollywood studio buyout backed

    COME ON ENGLAND!

    COME ON ENGLAND! 2004-10-02 Staff Writer Are US general partners bigger athletic supporters than their UK counterparts? The financials behind two competing 2012 Olympic bids would indicate as much. Both New York and London are vying to be the host cities for the Summer Olympics eight years from now. While fi

    HOOP DREAMS

    HOOP DREAMS 2004-10-02 Staff Writer Try as they may, private equity guys cannot resist the allure of sports team ownership. The latest GPs to get sports fever are Jim Davidson, a partner at tech buyout biggie Silver Lake Partners, and Fred Harman, apartner at Oak Investment Partners. Davidson and Harman have

    Editor's letter

    Editor's letter 2004-10-02 Staff Writer Few would dispute that investment consultants can offer a vital advisory service to those seeking insights into how to commit to private equity in an optimal way. From suggesting an asset allocation model, through selecting specific funds and carrying out due diligence

    NIGEL DAWN, MANAGING DIRECTOR, PRIVATE EQUITY FUNDS GROUP, UBS SECURITIES, STAMFORD, CONNECTICUT

    Nigel Dawn spent the past three years managing UBS' private equity fund investment portfolio. In 2003, his team achieved an influential $1.3 billion structured secondary joint venture with HarbourVest Partners, a deal that involved the transfer of over 50 UBS partnership investments to the Boston-based fund of funds giant. Now Dawn, who is based in Stamford, Connecticut, is applying his secondary know-how to working with external clients. He is leading UBS' push into the secondary advisory business, an area that so far has been the domain of small and independent specialists. It is the first time that an investment bank is looking to leverage private equity expertise, combined with a global footprint, in this fledgling market.

    In from the cold

    Norway is the least celebrated of the Nordic region's private equity markets. But a spate of recently launched fundraising projects has challenged assumptions, finds Andy Thomson

    Why Europe needs a tech exchange

    If Europe is to close the technology gap on the US, its venture capitalists must become bolder – and a functioning stock market for growing hi-tech companies needs to emerge argues Robert Abbanat

    A venture capital odyssey: part I

    In September, the first of our two-part roundtable on the state of the global venture market saw six highly regarded European venture capitalists gather in London (part II will be in Menlo Park next month). Drawing on their life sciences, technology, early and later stage investment experience, we wanted these experts to tell us how they saw the world in 2004. The result was some forthright views on strategy shift, LP appetite and attitude, the problems with public markets and why America isn't necessarily the Promised Land. Colm Gilmore sat in

    Cracking the cocoon

    As one of the largest and longest-standing advisors on private equity investing, Hamilton Lane has captured a treasure trove of information on the asset class. The firm's leadership has ambitious plans to help private equity shed its protective cloak of uniqueness and be compared alongside the rest of the investment world. David Snow went behind the scenes at the Bala Cynwyd, Pennsylvania group to learn more

    Advice <italic>&agrave; la carte</italic>

    Investment consultants offering advice only on private equity say their clients are better served than those of gatekeepers that have ventured into money management. David Snow presents the case for both sides

    Back in town

    Having spent over three decades in the industry, Sir Robert Smith is a big name in UK private equity. Now retired (well, kind of), a recent non-executive appointment to the board of directors of 3i Plc means the veteran dealmaker is about to return to the action. Here he talks to Philip Borel about where British private equity came from and where it is going

    VC PASSAGE TO INDIA

    Cisco launches new investment operations in the transforming subcontinent

    REAL ESTATE SPIN-OFF SEEKS VENTURE DEALS

    A VC newcomer has plans to outperform its parent's core real estate business

    LATE SERIES, HIGH HOPES

    Advanced rounds of financing now indicate growth, not life-support

    Benchmarking: private against private

    You are the proprietor of a private equity fund portfolio, and what you really want to know is this: how does your performance stack up against your peers? Christophe Rouvinez explains how investors can benchmark against the asset class

    Lien and mean

    Distressed investors are hungrily eyeing the many second-lien loans taken out by US private equity sponsors. Deal Mechanic presents the vulture view

    PLAYING THE LONG GAME

    Western private equity houses hoping to make a quick buck out of China had better think again, according to an established investor in the country.

    TAIWAN'S UNCOMFORTABLE BID RUMOR

    A US-Asia venture firm eyes controversial assets in Taiwan

    A FRIENDLIER FACE

    Japan still has a reputation for seeing private equity as at best a necessary evil – but recent developments indicate perceptions may be changing

    REVOLVING GATEKEEPER

    Yet another senior executive steps down at Pacific Corporate Group