Highlights included Wasserstein warning that the global financial crisis will get worse yet, noting that consumer lending and commercial real estate losses are just now beginning. Schwarzman was critical of banks not using the U.S. Treasury funds for their intended purpose of actually administering new loans. Both spoke at length about accounting standards and regulatory issues. Here’s a brief video excerpt from the talk:
Bridgepoint targets businesses valued at up to €1bn across six sectors including consumer, media and financial services. This vehicle will allow them to make equity investments of up to €350m on a single transaction.
Laid Off by Lehman: One Broker’s Story. Worth a watch.
This past Friday I, along with 12 of my fellow MBA classmates, had the pleasure of participating in HEC’s kickoff to THECAMPAIGN, the school’s five-year, €100m fundraising event. This is to be coupled with the €100m that the CCIP will be spending on infrastructure improvements at the school. One aspect that I particularly like (and unsurprisingly so as it’s a highly Anglo-Saxon move) is that the school will be setting aside €50m from the campaign to develop an endowment to give it a sustainable source of income. Now if they can just work on getting their press releases out in English…
According to a recent MoneyTree Report released from PwC and the National Venture Capital Association, venture capitalists put $7.7 billion into 1,033 deals in Q3 2008, a decrease of 7% from the quarter before.
Investment in biotech and medical device companies rose 10%, while funding for clean technology startups increased 14%. Venture investment for internet-based companies fell 36%, however some of this decline can be attributed to the fact that web companies today have become more capital efficient thus burning less upfront cash (also many “me too” copycat web ideas are no longer finding funding).
Many thanks to HEC alum Bernard Tézé (H. 85) of DS Avocats for sending over this excellent presentation that he put together concerning PIPEs in France. I saw Bernard this past Friday at a school event and we discussed the fact that there’s been little research performed recently concerning French PIPEs (perhaps this could make for an excellent research topic for one of our academics?).
The EVCA has set up a taskforce to act as a unified voice for the industry in Europe to react to a report recommending regulations concerning private equity that was passed by the European Parliament and suggested to the European Commission.