I’m kidding, of course. As you may have heard, Carlyle is considering buying a stake in a hedge fund manager and is in talks with multiple firms, in addition to looking to raise “two new debt funds and a $1 billion pool to buy small companies.” The units would be overseen by Mitch Petrick, who joined the firm in March from Morgan Stanley. Presumably, there are at least a few people who are amped about Petrick’s potential stewardship, while others are, how to put this, less than thrilled. Continue reading »
Carlyle
Some Investors Having Difficulty Forming An Opinion On Carlyle’s Foray Into Hedge Funds
By Bess Levin
The Vuitton, Versace, Gucci, and Dior bags will have to wait, or slip into a slipping revolver, we suspect, as Carlyle group finally admits it got tagged. Takes a lot for a private equity firm to admit to such things without lots of excuses about being on the left side of the “J curve.” We’re thinking short-luxury-goods just became an (even more) interesting trade.
“After several years of unprecedented growth, product innovation, geographic expansion, capital deployment and investment gains, our world changed dramatically,” the Washington-based firm said in its annual report on its Web site today. “2008 was a humbling experience for us.”
Carlyle Says Returns to Shrink After ‘Humbling’ Year for Firm [Bloomberg]
New York Attorney General Andrew Cuomo has just announced an agreement with The Carlyle Group, which includes a $20 million fine and Carlyle’s agreement to sign a “code of conduct” that would preclude, among other things, PE firm employees or employee family members from contributing to pension officials (within two years of doing biz with the pension).
No word yet on voluntary self-regulation when it comes to associate fashion.
Cuomo To Announce New Kickback Developments [PEHub Liveblog]
By now everyone knows that Carlyle Capital Corp, a publicly listed investment company managed by a unit of private-equity firm the Carlyle Group, admitted today it had received a notice of default from one of its banks after failing to make margin calls on its $21.7 billion real estate securities portfolio. It also expects to receive at least one more default notice after falling short of margin requirements with four lenders.
So who are the lenders sending default notices and who are the one who are just chillaxing? As of December 21, Carlyle’s lenders were Bank of America, Bear Stearns, BNP Paribas, Calyon, Citigroup, Credit Suisse, Deutsche Bank, ING, J.P. Morgan, Lehman Brothers, Merrill Lynch & Co. and UBS AG. None of the lenders have commented on who pulled the trigger first and whether they would be adding to the slush pile of default letters. We’ve been digging for hours but we have come up empty. So we’re turning to you. Anyone know which lenders are punching up Carlyle?
Carlyle Capital Adds to Fears Of Forced Sales [Wall Street Journal]
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