September 2012 Issue


    Month: September
    Year: 2012

    Back to Print Editions

    A private GAAP?

    The creation of a ‘Private Company Council’ is a win for private equity CFOs hoping for more bespoke private company accounting standards.

    Apax replaces COO

    Apax has reshuffled its senior team, with chief operating officer Steve Hare moving to become head of the firm's portfolio support group, and Ralf Gruss taking his place.

    US Treasury unveils model FATCA agreements

    Foreign private equity firms subject to FATCA reporting requirements may find relief in an ‘intergovernmental’ approach being pursued by US tax authorities.

    Survey: LPs get tough on management fees

    Limited partners are increasingly willing to rebuff fund managers who do not offer reduced fees, according to exclusive research.

    Day in the life: Point man

    Shaking hands, getting up to speed on the progress of portfolio companies and listening to summer interns pitch their best all make up a typical Tuesday in London for ECI Partners investor relations director Jeremy Lytle

    Q&A: ‘Know your LP’

    Corporate Resolutions president Ken Springer says applying a ‘know your customer’ philosophy to LPs is a growing trend amongst private equity firms who are hiring background investigators amid increased regulatory scrutiny.

    Clearing competition concerns

    Portfolio company violations of competition law can result in fines at the parent sponsor level, warn Squire Sanders antitrust lawyers Oliver Geiss and Will Sparks, who add that competition authorities have been more willing to look overseas to spot offenses.

    Risk management: Closing the deal

    We’ve all heard horror stories about transactions falling apart at the eleventh hour. Here, market participants share what they believe are some of the greatest potential risks to closing a deal

    Operating models: Us and them

    These days, everyone is at pains to trumpet their operational value-add capabilities. But, as delegates wondered at PEI’s recent Operating Partners Forum in London, can firms ensure their model won’t lead to the ‘operators’ falling out with their M&A-focused colleagues?

    Romneywatch: Red, blue and green

    A study suggests a link between Republican policies and private equity performance – and the industry’s recent political donations certainly suggest a leaning to the right. But is the relationship weaker than it looks on the surface?

    Catch 2-and-20

    Investors may feel management fees are too high, but allocating GPs more carry in place of lower fees presents its own potential conflict of interest.

    Surviving 'Taxmaggedon'

    Creating a secular trust for employees' vested compensation is one of several strategies GPs should consider ahead of looming tax hikes scheduled for 2013.

    SEC may charge for examinations

    Private equity firms could be forced to pay examination fees by the US Securities and Exchange Commission should a house bill pass congress.

    Volcker’s strangle on sovereign wealth funds

    Banks may not be the only limited partners affected by Dodd-Frank rulemaking.

    Getting consolidation right

    CFOs rejoice! International accounting standards setters are taking greater pains to understand the private equity industry.

    Germany adopts ‘strict’ AIFM legislation

    Germany’s onerous interpretation of the AIFM directive could result in GPs leaving the country for more favourable jurisdictions, suggest some legal sources.

    US regulations hinder China's strategics

    Chinese bidders have the cash and desire to be strategic buyers of private equity assets in the US, but regulations tend to get in the way.