Carlyle Group

Okay so you’re a private equity fund and you’ve filed to go public. GOTCHA:

Q. You tout the managerial-discipline, incentive-alignment and cost-saving benefits of taking companies out of the public equity markets. Yet you’re going public with your own company. Aren’t you just obviously destroying value to top-tick the market???
A. No, no, it’s not like that, see …
Q. TOP. TICK. THE. MARKET.
A. You got me. Never mind.

If this line of thinking resonates with you – and, like, I guess, right? – then you should get a certain amount of joy out of this:

Carlyle Group LP, the Washington- based buyout company that’s preparing to go public, is seeking to bar its future shareholders from filing individual and class- action lawsuits.

The firm revised its governing documents last week to say that investors who purchase company shares must settle any subsequent claims against Carlyle through arbitration in Wilmington, Delaware. That could limit the ability of stockholders to win big awards for securities-law violations such as fraud, several attorneys said.

Bloomberg, and Steven Davidoff at DealBook, have some fun with the question: can they do that? (Answer: maybe not!) Also with the question: isn’t that kind of mean? Davidoff writes:
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Eeevil conspiracy theory source The Carlyle Group filed for its IPO today, which makes sense because the best time to file for an IPO is during a global financial meltdown (better than filing in normal times and launching your roadshow into a meltdown, or not). The not so great news: they’re too private equity-y for some people. Bloomberg reports:
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If you love a good conspiracy theory but find Ron Paul’s and Rick Perry’s calls to kill Ben Bernanke for counterfeiting a little played out, do we have some good news for you. The Carlyle Group, a mild mannered private equity firm by day that at night transforms into an evil conspiracy among George Bush, Skull & Bones, the Saudi royal family annd the Illuminati, is about to get a lot more public attention.

Bloomberg reports that Carlyle is shopping an IPO. While we do worry that IPOs by smart private equity managers have a pretty solid tradition of top-ticking (Blackstone IPOed in June 2007 and the market has never been the same since), we like David Rubenstein’s efforts to get valued for making good investments instead of just for having a ton of money:
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  • 04 May 2010 at 11:40 AM

Caption Contest Tuesday

[Andrew Harrer/Bloomberg via Getty Images]

[Cavorting at a Bloomberg cocktail party before the White House Correspondents' Dinner]