Vault Career Guide To Private Equity Europe

Vault Career Guide to
Private Equity
2009 Vault.com Ltd
2009 European Edition
Copyright 2008 by Vault.com Ltd. All rights reserved.

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ISBN 13: 978-1-58131-598-1
ISBN 10: 1-58131-598-8
Printed in the United Kingdom
ACKNOWLEDGEMENTS
Thanks to all Vault staff for their help. Special thanks to our family and friends,
especially Angelina, Antoine, Ariana, Olivier, Andrew, Goncalo, Christelle and the
Candesic team.
We are also grateful to all the private equity fund managers who agreed to answer
our questions and complete our data.
Vault Career Guide to Private Equity
PREAMBLE
THE SCOOP
CHAPTER 1: What is Private Equity?
Who invests
Other specific cases
CHAPTER 2: The Market
10
Industry statistics
10
Current trends and issues
12
GETTING HIRED
25
CHAPTER 3: Is It the Right Job for Me?
26
Comparison with other elite jobs
29
Lifestyles
32
Interview with a London director at 3i
33
Interview with former senior partner at London-based mid cap fund
34
Days in the life
35
Career paths
39
CHAPTER 4: The Hiring Process
40
Campus recruiting
40
Networking
41
Search firms
42
Websites
42
Preparing for the interview
42
Table of Contents
TABLE OF CONTENTS
PROFILES OF 37 REPRESENTATIVE PRIVATE EQUITY

FIRMS IN EUROPE
47
US-ORIGINATED GLOBAL FUNDS with direct presence in Europe
48
Advent International
48
Bain Capital
53
The Blackstone Group
57
The Carlyle Group
65
General Atlantic
71
Goldman Sachs Principal Investment Area
76
Kohlberg Kravis Roberts & Co. (KKR)
81
TPG
87
PAN-EUROPEAN FUNDS
91
3i Group
91
Allianz Capital Partners /Allianz Private Equity Partners / Allianz AGF PRE
98
Apex Partners
103
AXA Private Equity
111
Barclays Private Equity
118
BC Partners
124
Bridgepoint Capital Ltd.
130
Candover
135
Cinven
140
CVC Capital Partners Limited
145
Doughty Hanson
151
Duke Street Capital
154
EQT Partners
157
Eurazeo
161
European Capital
164
Glide Investment Management
167
HgCapital
171
176
Montagu Private Equity
181
PAI Partners
184
Permira Advisers
188
TerraFirma
195
OTHER FUNDS with more regional focus
199
Englefield Capital
199
Exponent Private Equity
202
Investitori Associati
205
Mercapital
208
Sagard
211
MEZZANINE FUNDS
214
Intermediate Capital Group PLC
214
FUND-OF-FUNDS
218
Partners Group
218
SHORT PROFILES OF 200 OTHER PRIVATE EQUITY

FIRMS IN EUROPE
225
LBO, growth equity and diversified PE Funds
226
Mezzanine Funds
304
Distressed Funds
310
Secondary Funds
312
Fund of Funds
316
APPENDIX
335
RECOMMENDED READING
337
WEB RESOURCES
337
ACADEMIC SOURCES
337
INDUSTRY JARGON (glossary)
338
ABOUT THE AUTHORS
342
Table of Contents
Industri Kapital
PREAMBLE
We selected 37 firms that we deemed representative of Europe, not necessarily the

largest ones. This includes mostly direct LBO funds and a couple of examples in each
of the other categories. Selecting the top firms was not necessarily clear cut
considering the variety of situations occurring in an industry undergoing European
convergence. All the other firms included in the analysis are listed at the end of the
guide with key statistics and contact details.
Preamble
his guide covers late stage private equity funds only, excluding venture
capital. Using the Candesic database of private equity firms, we have
identified around 250 companies that meet the following criteria: a minimum
of 200-300 million of committed private equity investments in Europe. The list
includes LBO, growth capital, distressed, mezzanine funds and, to an extent, funds
of funds. The guide excludes sovereign funds, which are state owned pools of money,
as well as most of the real estate and infrastructure funds. Together and excluding the
funds of funds, the first 200 firms in our sample manage about 400 billion in
commitments and invested assets in Europe. (Including the assets outside of Europe
and the funds of funds, our sample reaches 900 billion in total commitments and
investments in private equity.)
THE SCOOP
CHAPTER ONE: What is Private Equity?
CHAPTER TWO: The Market
CHAPTER ONE: WHAT IS PRIVATE EQUITY?

s its name implies, private equity investing refers to investments in nonpublicly traded assets. This encompasses a wide range of investments, from
small equity stakes in new ventures by so-called angel investors to highly
leveraged controlling equity investments in multi-nationals.
Who invests?
Most private equity funds are structured as limited partnerships with a life of
between five and ten years, with a General Partner and a Manager. The direct
investors, or limited partners, are mostly institutional investors who want to
diversify into alternative asset classes. This can also include funds of funds that allow
smaller investors access to the asset class. One of the big strengths of private equity
is that it closely aligns the interests of investors with those of the fund managers (the
general partners) and the management of the companies they invest in, as they
generally all have a substantial share of the equity.
PRIVATE EQUITY INVESTORS
Smaller Investors
Investors/GPs
(Institutions, HNWI)
Funds of Funds
Investment Managers
PRIVATE EQUITY FUND
Company Management/Entrepreneur
Source: Candesic
How they make money

Private equity investors seek to recognise niches that offer attractive growth prospects, to
buy or build a well positioned player in that niche and to give that player the means to
Types of PEsegmentation by stage and product

The wider private equity sector can be divided into four distinct types of investment:
leveraged buyouts, venture capital, mezzanine financing and distressed debt. Some
firms will specialise in a single type of investment, while larger firms will often
provide a range of investment alternatives.
A leveraged buyout is the name given to an acquisition that is funded primarily
through debt. Public companies are often taken private, using large bank loans or
corporate bonds to acquire the firms outstanding equity. The practice was initially
pioneered in the 1970s by banking icons such as Henry Kravis, founder of KKR, and
has developed into an accepted industry standard.
In a leveraged buyout the management team is often given or allowed to purchase a
stake in the investment. This is done to incentivise the management team and align
their interests with the PE firm, who will trust the management team to look after
their investment for them. If the current management team is involved in buying the
company from existing owners, it is known as a management buyout, or MBO. When
the management team involved is an external group that replaces the existing
management, it is known as a management buy-in, or MBI.
Venture capital is a form of alternative investment that provides high risk equity to
early stage companies. The firms are typically entrepreneurial ventures that do not
have the steady cash flows or track record to raise money through bank loans and
public markets. To compensate, the venture capital firms expect very high returns on
their investments. It is sometimes the case that companies seeking venture capital
investment may have nothing more than a business plan, and therefore have a high
risk of failure. This inherent risk was particularly damaging during the dotcom crash,
as many of the tech companies that lost equity were backed by venture capital firms.
The mature part of venture capital is called expansion capital, and is often a side
activity of LBO funds.
Mezzanine finance is the term given to a layer of debt that is typically used to fill a gap
when structuring an LBO, which can be either in time, transaction structure or capital
structure. This level of debt can have many forms and can offer several advantages
over other forms of financing.
Chapter One: What is Private Equity?
perform better than its peers. In addition, at least in mature markets, they attempt to
multiply their return by leveraging their investment, aided in recent years by low interest
rates. As a more difficult credit environment evolves and debtor protection increases, it is
likely that some poorly performing funds wont be able to survive much longer.
Distressed debt is a high risk form of debt given to a company that is financially distressed
or bankrupt. Distressed firms are typically very volatile and difficult to value, and
therefore present arbitrage opportunities for financial investors such as hedge funds.
TYPICAL BIG LBO FINANCING STRUCTURE (PRE-CRISIS)
Equity
30%
Mezzanine
10%
High yield
10%
Senior debt
50%
Choice of high yield over

mezzanine can be led by:
Market conditions
Pricing
Ease of issue
Possible need to refinance
Source: Candesic
Segmentation by styledirect investors, co-investors, secondary

funds and funds of funds
This book focuses on primary funds that invest directly into companies, either taking
a majority stake, so they can influence the management and decide on the strategy
of their asset, or investing alongside other funds (co-investors like Parallel in the UK).
Another category of private equity investing that is growing fast is the so-called
secondary, when a fund buys a portfolio of private equity assets or pre-existing
investor commitments to private equity.
While this activity is not new, the maturing of the industry and the market
downturn of 2000 led many historical private equity investors, often banks or
insurance companies, to withdraw from the private equity asset class. This in
turn led to the rapid growth of another segment of investors specialising in the
acquisition of these existing portfolios. Dedicated secondary funds concentrate
on acquiring all or part of the portfolios from other private equity funds. Within
TOP 20 DIRECT PRIVATE EQUITY FIRMS BY AuM IN EUROPE*

March 2008, bn
(*Doesnt include funds of funds)
90
86
80
70
60
Assets or commitments outside Europe

Assets allocated to European acquisitions
50
45
44
40
38
35
35
33
30
32
30
25
20
22
20
21
19
15
10
15 11 11
11
9
11
9
8.4
5.7
KK
Ap R
Pe ax
rm
Te C ira
rr V
BC a Fi C
Pa rma
Bl rtne
ac r
ks s
to
n
EQ e
Ci T
nv
en
Ch C 3i
ar ar
te lyl
r e
B
G ain hou
ol C se
dm a
a p
Br n S ital
idg ac
PA ep hs
Ind I Pa oint
us rtn
tri er
K s
AXapit
D Ba A al
ou rc P
gh lay E
ty s
H PE
a
Al nso
pin n
ve
st
Source: Candesic PE database
this segment, secondary direct funds buy portfolios of direct investments. Many
large diversified funds include it in their activities. Finally, one can distinguish
between early and mature secondaries.
We also listed some of the major funds of funds in Europe. They simply invest in a
number of direct PE funds to diversify their risk.
Geographic segmentation: global, pan-European or regional players

in Europe
We also distinguish between major US funds attracted by the investment
opportunities in less mature European markets, pan-European funds that grew
beyond their country of origin and developed teams in major European cities,
and local funds that made the strategic decision to concentrate on their home
market or, like Canadian owned Sagard in France, on a geographic area of
common language. Most of the US funds, with the exception of Vestar, launched
their European operations out of London, and many still conduct them from
there.
Segmentation by financing: private vs. listed

We can roughly consider three forms of financing for private equity funds: internal
funding, for example through a parent company or a family office, limited
partnership with external institutional investors, and access to permanent capital
through public funding (3i, Blackstone, Eurazeo).
Other specific cases

A PIPE is a special type of private investment, where accredited investors are
privately invited to invest in a public company. The process has similar
characteristics to other forms of stock offerings, and is often used when a company
is having difficulty finding additional funding after an unconvincing IPO. The
securities sold can be common stock, convertible preferred stock or convertible notes,
and are normally sold at a discount due to their relative illiquidity.
Crossover funds are investment funds that attempt to fill the gap between private and
public equity investing. They combine private equity investing with strategic public
equity investing typically used by hedge funds, with a market risk somewhere in
between the two. There is a trend for hedge funds to allocate a portion of their fund
to private equity investments into side pockets, although typically this will only
make up around 10% and tends to be the money of the fund managers.
Interval funds are somewhere between open and closed-end funds in that they do not
provide daily liquidity, but have specified periods when shareholders are able to
redeem and distribute shares with the fund. During this time there will be an offer
to buy back a stated portion of shares from investors. Interval funds have proven
popular since being introduced in 1992 as they provide retail investors with access
to private equity investments with a degree of liquidity.
CHAPTER TWO: THE MARKET

rivate equity may well be the oldest form of financing. For a long time,
merchant banks or early forms of family offices have been responsible for
organised venture capital. The major transformation, beginning in the 70s, has
been the adjunction of high yield (junk) debt to the financing of companies with
mature cash flows and the widespread use of leverage. In the last 30 years,
professional and mostly independent LBO firms have occupied a leading position in
the market. In the US as well as in the UK, the direct presence of investment and
commercial banks has been eroded as most internal funds have gained their
independence, often to reduce the risk of a conflict of interest with the increasingly
important clients of the banks. Today, banks are mostly present as General Partners
or co-investors and, with the notable exception of Goldman Sachs, the major players
are independent firms. The same process is happening now in the rest of Europe.
Industry statistics
In 2007, global private equity assets under management represented about $1.1
trillion, of which 700 billion were LBO funds (these figures, which seem rather
conservative, come from the McKinsey Global Institutes The New Power Brokers,
which appeared in October 2007) . A year later, following a record fund raising of
more than $500 billion, research provider Private Equity Intelligence announced that,
with the sum of the undrawn money and portfolio company holdings, the private
equity industry had reached assets under management of $2 trillion and had the
firepower to acquire up to $2.4 trillion in enterprise value; despite the current
difficulties in the LBO segment, [They] are predicting a $5 trillion industry over the
next five to seven years.
The industry has experienced an average growth rate of 14 per cent since 2000. From
a demand perspective, the growth is fuelled by the strong and sustainable
performance of the best managers, by the ability of many institutional investors to
allocate a larger portion of their assets to the asset class and by the surge of new
investors like sovereign funds. From a supply perspective, there is more awareness
of the possibilities offered by private equity for companies in need of financing, and
a growing pool of experienced managers with the skills required to execute these
transactions.
Of course, as we publish this guide (late 2008), and after a year of depressed markets,
culminating in a financial crisis, that have halted the most visible transactions, it is
difficult to merely describe the boom of the past seven years. We may be in the midst
of a bust, but we dont think the fundamental attractiveness of the private equity
model has changed, and would argue for a temporary correction of the recent excess.
10
Chapter Two: The Market
EUROPE-PRIVATE EQUITY FUNDS RAISED AND INVESTED

bn, equity commitments to and worldwide investments by
European PE funds
100
100
90
90
80
72 71
70
70
60
50
48
47
45
40
40
Commitments raised
Funds invested
37
35
35
30
28
29 28
- The recent fast growth of
30
commitments has led to an

overhang with too many investors
chasing too few deals
27
25
25
24
20
20
20
15
15
10
- One of the consequences is a

rush towards bigger deals
20
19
10
15 11 11
8
7
8.4
- Another possible consequence

is a more relaxed approach to risk
and an expected decrease in the
overall performance
19
9
19 6
97
19
9
19 8
9
20 9
00
20
0
20 1
02
20
0
20 3
0
20 4
05
20
06
20
07
0
Source: EVCA; Perep & Preqin (2007); Candesic
Employment statistics
In terms of employment, PE remains a niche; the top 50 PE firms worldwide employed
less than 4,000 investment professionals in 2007. If we add the smaller firms, the venture
capital and the family offices, we may reach 20,000 investment professionals, of which
11
we estimate 7,000 are based in Europe. According to the Candesic database, the top
240 PE firms operating in Europe currently employ about 4,000 investment
professionals. These numbers look particularly low when compared to the millions of
people employed at the companies owned by the private equity funds.
EUROPEAN PRIVATE EQUITY FUND MANAGERS BY

COUNTRY OR REGION
European private equity fund managers by country
Other 2%
Spain 6%
Eastern Europe 3%
Nordic 7%
Switzerland 4%
Germany 10%
Benelux 4%
France 17%
Italy 5%
UK 42%
Source: Candesic PE Database
Current trends and issues

After two decades of relative confidentiality, the private equity industry has come
under increased scrutiny from the media, politicians and the general public. Among
the major concerns, the excessive debt levels seem to be losing importance as debt
providers now refuse the extreme conditions demanded by PE investors before the
summer 2007. The public disclosure of the huge compensations that successful
partners can achieve (e.g., Blackstone) has raised questions and sometimes fierce
critics. Other concerns include the lack of transparency and accountability, as well as
a sometimes narrow sense of fiduciary duty. The industry regularly stands accused
of profiteering and asset-stripping. This seems to be an unfair accusation, as most
studies showedat least until recentlythat private equity backed companies create
more jobs than their public equivalents. A meta-review of 12 existing studies by A.T.
Kearney claimed that private equity created 600,000 jobs in the United States between
2000 and 2003. But critics point out that the report didnt distinguish buyouts from
venture capital.
In France, a study made by accounting firm Constantin for the French Association of
Private Equity Investors (AFIC) on more than 100 French companies undergoing
12
Similar studies in Germany (Economic Impact of private Equity in Germany, F.A.Z

Institute, 2004) and in the UK (Employment Contribution of Private Equity and
Venture Capital in Europe, Centre for Entrepreneurial Studies in London, 2005) led
to similar findings. (The 2005 study by the Center for Entrepreneurial and Financial
Studies (CEFS) for the EVCA claims that more than 400,000 net jobs were created in
Europe by buyout-financed companies between 2000 and 2004. SEIU (Service
Employees International Union) warn that the studys claims are based on selfreported information from a small set of portfolio companiesjust 99 out of more
than 1,400 companies that underwent a buyout during the period studied.)
In January 2008, by commission of the World Economic Forum, Josh Lerner from
Harvard and Steven Davis from Chicago published the most extensive study to date
regarding the issue. It is also unique in that it is not suspected of having any bias or
external influences. Reviewing 5,000 US transactions from 1980 through 2005, they
find that companies owned by private equity funds have a net reduction of their
workforce of 1 per cent over two years. This differs from the positive result of another
study commissioned by the Private Equity Council, a lobbyist group, which showed
that employment at privately acquired firms grew by more than 8 per cent, but was
later dismissed by many academics as biased. The World Economic Forum study
doesnt examine what would have happened to the jobs had the transaction not
occurred. They also find that these firms default slightly more often than the average
public firm, but only half as much as those with similar leveraging.
In order to address the transparency and profiteering concerns, in 2007 the BVCA
announced the formation of an independent working party under the
Chairmanship of Sir David Walker to draw up a voluntary code on a comply or
explain basis to address the transparency of the industry and levels of disclosure.
Twenty-three private equity firms operating in the UK issued a statement to support
this initiative, including Apax, BC Partners, Barclays Private Equity Ltd., The
Blackstone Group, Bridgepoint, Candover, The Carlyle Group, Charterhouse,
Cinven, CVC, Doughty Hanson, Exponent Private Equity, Hermes Private Equity,
HgCapital, ISIS EP LLP, KKR, Legal & General Ventures Ltd., Lyceum Capital,
Montagu Private Equity, Permira, Terra Firma Capital Partners Ltd., TPG and 3i.
13
LBOs showed that their headcount grew by 4.1 per cent per annum (with 78 per cent
of it from new jobs and 22 per cent from external growth), whereas the national
average was only 0.6 per cent. This growth was partnered with salaries increasing by
3.3 per cent per annum vs. 2.9 per cent on average and other elements of
remuneration being on average better developed and more attractive for all LBO
employees.
Main Private Equity Firms Are Giant Conglomerates

# of Companies
in portfolio
Total
turnover
Employees
AuM
KKR
40
$102bn
560,000
$86bn
Blackstone
45
$72bn
350,000
$32+60bn*
Carlyle
200
$87bn
280,000
$75bn
660,000
$50bn
PE FIRM
Bain Capital
Apax
$35bn
180
$65bn
TPG
300,000
Permira
$30bn
$30bn
GS Capital Partners
1,000,000
$30bn
430,000
$29bn
Cerberus
360,000
$22bn
Providence Equity
86,000
$21bn
Thomas H. Lee Partners
390,000
$20bn
CVC
53
$55bn
Apollo
100
300,000
$16bn
Warburg Pincus
50
375,000
$15bn
General Atlantic
* $60bn in other asset classes
$14bn
Source: press search; SEIU; Candesic analysis
The credit crunch

Leverage in the buyout industry reached an all time high in 2007, which led to an
increasingly lenient approach to risk, with a flourishing of so-called covenant-lite
debt financing. Debt providers finally started to object and refuse the conditions
dictated by the buyout funds. The situation may have arisen in the US but spread
immediately to Europe. In June 2007, banks were left sitting on 5bn of debt from the
financing of Alliance Boots, the UK pharmaceutical retailer acquired by KKR. This
signaled a severe correction of both leverage levels and the conditions associated
with the loans. This was further confirmed during the summer of 2007, when the
tightening of the world credit markets led to major collapses in the hedge fund
industry where the effect of this credit adjustment is more immediately visible.
14
For private equity firms involved in major transactions that they cannot easily finance
anymore, it is tempting to try and renegotiate terms or simply withdraw their offer.
But invoking the material adverse change clause doesnt work well and the break
up fee can be heavy.
One likely consequence will be that private equity funds will have more difficulty
competing against strategic investors as their access to cheap financing will be
limited. This in turn will contribute to lower returns. According to the McKinsey
Global Institute, firms that have relied more on leverage than skill may shut down.
This is more the case for mega buyouts which are more likely to rely on financial
engineering for value creation.
Regional differences
The private equity industry has historically grown first in Anglo-Saxon countries. In
Europe, the UK still represents about a third of the activity. While countries like
France or Spain have had substantial growth in the recent years, the economic,
regulatory and cultural environment remains more favourable in Northern Europe.
This hasnt prevented funds from expanding throughout Europe, but they recognise
the strong cultural differences.
Even in the UK, supposedly the friendliest place in Europe, public perception about
private equity deteriorated in 2007 following widely publicised critics of the attractive
tax status General Partners enjoy. The subsequent reform of the tax system is more
likely to penalise entrepreneurs, for whom the system was originally designed, than
improve public perception.
This hostility has resonated elsewhere in Europe. The industrys negative reputation
is relatively new and differs from country to country. In Germany, the term locusts
was famously used in 2005 by the leader of the Social Democrats and again by the
former CEO of Deutsche Boerse in his vitriolic book Invasion of the Locusts, after an
activist fund led to his departure. This has tainted the industrys reputation ever
15
In spite of a record first half year in 2007, the total value of buyouts between August
and October 2007 was 60 per cent lower than during the same period in 2006. In the
months leading up to the second quarter of 2008, the situation has further
deteriorated and many insiders acknowledge that they dont expect to close many
transactions during the year. One immediate consequence is the general impact on
the investment banking business. Before the credit crisis, investment banks could
earn up to 25 per cent of their fee income from advisory related to private equity
firms; this number has fallen to around 10 per cent with a direct impact on the banks
profitability.
since. It is tempting for politicians to use private equity firms as scapegoats, and it is
all the more easily done when some players carry out transactions with an approach
that is considered too aggressive, in a country where social consensus has dominated
for fifty years. In spite of that, Apax still considers Germany a friendlier environment
for private equity than France, all of Southern Europe and even Norway.
PRIVATE EQUITY ENVIRONMENT RANKINGS IN EUROPE

2007 grades
5.0
4.8
4.5
4.0
3.8
3.8
3.8
3.5
3.0
3.1
2.6
2.5
2.6
2.0
1.9
1.5
1.8
1.5
1.1
Greece
Hungary
Belgium
France
Austria
Norway
Germany
NL
Finland
Ireland
CH
Sweden
-0.5
Denmark
UK
Poland
Spain
Portugal
0.5
Italy
Slovakia
Czech Rep.
1.0
1.4
-0.3
-1
-1.0
-1.5
-1.9
-2.0
-2.1
-2.2
-2.5
-2.5
-3.0
Source: Apax
16
-2.7
-3.0
Costs and performance
According to a study he conducted in 2005 with Antoinette Schoare from MIT, large
buyouts consistently outperform public stocks. More precisely, they exceed those of
the S&P 500 gross of fees and equal them net of fees. However, this depends on the
sample and the period considered. There are a couple of limitations in the assessment
of the industry performance, starting with the access to sufficient data, the selection
bias between good and poor performers and the general accuracy of the valuation of
the assets still in the portfolio. Some other studies have shown more mixed results
over the last ten years US buyouts could have outperformed the stock market (though
whether this can be proven is something of a grey area)but buyouts seem to be an
attractive asset class for limited partners and individual investors through their pension
plans. They could also have a beneficial impact on the economy with net job creations.
When looking more closely at their results, Kaplan and Schoar find a large degree of
heterogeneity among fund returns. Returns persist strongly across funds raised by individual
private equity partnerships. The returns also improve with partnership experience. They also
find that market entry in the private equity industry is cyclical. Funds [and partnerships]
started in boom times are less likely to raise follow-on funds, suggesting that these funds
subsequently perform worse. Aggregate industry returns are lower following a boom, but
most of this effect is driven by the poor performance of new entrants, while the returns of
established funds are much less affected by these industry cycles. (This is from Kaplan and
Schoars 2004 Private Equity Performance: Returns, Persistence and Capital Flows.)
Nevertheless, a 2008 report by Thomson Financial for the EVCA shows that European
private equity firms achieved a 15.9 per cent five-year rolling IRR, against 14.5 per
cent for US buyout groups, and expects the short-term performance of private equity
funds to remain very strong.
Taxation
General partners in private equity funds have been increasingly criticised for paying
a very low amount of taxes on their revenue. Until 2008, carried interests were taxed
at the level of capital gains at 15 per cent in the US and at a special level of 10 per cent
in the UK. This is an unintended result of the original attempt to support the
financing of risky ventures by private equity, by the so-called venture capitalists.
Today, when 75% of the capital is invested in buyouts where, by definition, cash
flows are relatively stable and predictable, this tax treatment appears generous to
17
"On balance, private equity increases efficiency," says economist Steven Kaplan of
the University of Chicago.
many. In October 2007, the UK government announced their decision to raise the rate
to 18 per cent, a measure that should be limited enough to prevent a massive exodus
of funds. In the US, major players have lobbied hard to kill a Senate bill and a measure
by the House of Representatives that would increase the taxation of carried interests
to 35 per cent or more instead of 15 per cent. They are now trying to at least double
the five year grace period contained in the draft proposal and to ensure that all private
equity firms will be treated equally, including those who went public.
The competition
Cooperation and competition with hedge funds
Hedge funds are similar to private equity funds in many respects.
They have similar organisational and to an extent compensation structures,
they are often highly leveraged; they offer high performance and seemingly
lower correlation to other asset classes; they need to raise funds from
institutional investors, they attract top talent; and they are increasingly
accused of being too lightly regulated.
They differ mostly from each other in their time horizon and the liquidity
of their investments. PE funds invest primarily in very illiquid assets and
lock their investors for the entire term of the fund. This leads to differences
in the asset valuation, in the timing of performance compensation, in the
exit strategies and ultimately in the motivation of the management of the
target companies. But, while most hedge funds pursue absolute returns and
invest in very liquid assets, their search for new alpha leads them to build
their own PE funds where they can hold side-pocket investments. In 2007,
PE represented about 10% of hedge funds investments.
In the competition with PE, hedge funds tend to benefit from having a
variety of people with expertise in different places within the capital
markets chain.
Activist hedge funds make direct bets when they demand board seats after
building a position in a company. Many hedge funds have entered the
LBOmarket, first as mezzanine providers. At the same time, distressed
hedge funds compete with their PE counterparties, and the shorter
investment horizon becomes less obvious a difference.
Finally, in general, hedge funds are pushing into less liquid markets such
as mid-caps to compensate for the lower returns in their traditional fields.
Lately, hedge funds are starting to hire PE managers, and PE funds have to
18
While their core businesses remain quite distinct, hedge funds and private equity are
now experiencing a melt down in most periphery segments.
Other competitors
Government-sponsored principal investors (Dubai, China) and large family
offices represent a further inflow of liquidity that targets the biggest assets,
sometimes competing with the biggest PE funds, sometimes partnering with
them in club deals, and lately buying stakes in the funds directly. Sovereign
funds can disturb the market as they dont have the same performance
requirements or culture. Many of them need to find ways to invest the huge
amounts of money they manage and are less concerned with the risks they
are taking. Insiders mention that, on several occasions, some well-known
sovereign investors have started their due diligence after the acquisition!
The $100bn ticket

Since the buyout of RJR-Nabisco by KKR in 1989, mega LBOs remained rather rare.
But, since 2005, the major funds have multiplied their acquisitions of assets with an
enterprise value above $10bn. There were 27 of them in the period ending August
2007, of which four were in Europe, if we include infrastructure deals. In real dollars,
the previous RJR-Nabisco record was finally beaten in 2007 with the $44bn
acquisition of TXU by KKR and TPG. Shortly after, the $50bn mark was almost
reached with the buyout of BCE, a Canadian company. By June 2007, the major LBO
funds had accumulated so many commitments that a $100bn acquisition by a
consortium was ready to happen at any time. This is less likely in the medium term,
following the financial markets turmoil that started in the summer of 2007.
In Europe, after VNU in the Netherlands ($11bn), Wind in Italy ($13bn) and TDC in
Denmark ($14bn), the mega deals continued with the first buy-out of a FTSE100
company, when KKR bought Alliance Boots for $24bn in 2007. More mega deals
could well happen once the markets have settled, with targets like Sainsburys
regularly featuring in the media; in November 2007, Delta Two, which invests on
behalf on the Qatar Investment Authority, terminated discussions to buy the retailer
for 13.4bn.
19
increase the salaries of their mid-ranking managers. One difficulty PE

employers may face when retaining their managers is that they have to wait
many years for the realisation of their investment before they receive their
carry, while hedge fund managers get their performance every year.
LBOs WITH EV>$10bn

BCE
50
45
TXU (KKR+TPG)
40
HCA (Bain + KKR + ML)
35
30
30
Hilton(Blackstone)
25
Alltel (TPG+GS)
Alliance Boots (KKR)
20
15
- Largest Deal in Europe

15 11 11
10
8.4
Q
1
Q
2
Q
3
Q
4
Q
1
Q
2
Q
3
Q
4
Q
1
Q
2
Q
3
Q
4
Q
1
Q
2
Q
3
Q
4
0
2005
2006
2007
2008
Source: Candesic
Private goes public

Ironically, private equity funds have come to realise that public money offers several
advantages: it is a permanent source of capital and most small shareholders are
unlikely to be actively tracking the funds activities. In 2007, Blackstone made the
headlines when it went public and raised $4 billion through an IPO. They were not
the first ones but certainly the most publicised. Several other funds were planning a
similar move, starting with KKR, which will most likely IPO on the NYSE. The
degradation of the environment since the summer 2007 and the disastrous
20
Overhang
In private equity jargon, overhang refers to unused (uncalled) capital commitments.
It is somewhat similar to dry powder, which refers more generally to the cash
reserves kept on hand to cover future obligations. In March 2008, Goldman Sachs
estimated at $400 billion the amount of uninvested capital raised by private equity
firms. With the tightening of the credit markets and the temporary death of mega
LBOs and club deals, it becomes difficult to invest. Putting the money to work is a
condition to charge the management fees on a continuous basis, which may explain
some of the recent appetite for buying stakes in public companies. Another issue is
the impact on the asset allocation plans of the institutional investors, if the capital
remains in cash for too long.
Exits
In their yearly report commissioned by the EVCA, Perep Analytics recognise seven
exit categories for private equity investments: trade sale, repayment of shares or
loans, secondary buyouts, initial public offerings, sale of quoted equity, write-offs
and sales to financial institutions. In 2007, secondary buyouts reached a record 30 per
cent of all exits and, for the first time since at least 1992, overtook trade sales by value
of total divestiments.
According to a fund manager in London, Write-offs are kept artificially low for
reputation reasons; it it often tempting to merge a hopeless dog with a better run
company as long as there is limited risk to damage the better one.
Whats next
So, whats next? Prior to the September 2008 crisis, returns were already mixed, high
leverage ratios seemed out of the question, mega LBOs were delayed if not cancelled,
and still, the market was expected to continue to grow at a significant pace, albeit
slightly slower than previous predictions. In a September 2007 conference, Carlyles
David Rubinstein said that the average holding period is likely to rise from four to
six years. For a while, targets are going to be smaller as big groups are tempted into
21
performance of the Blackstone shares have halted most ambitious plans. Like
Blackstone, listed PE vehicles in Europe have been slammed by the market: shares
of 3i, Altamir (Apax France), Candover Investments, Eurazeo or KKR Amsterdam
have lost 25 to 50 per cent of their value in less than a year.
the middle market. Firms like Blackstone, Cerberus and KKR with its Capstone unit
will leverage their strong restructuring experience and target more distressed assets.
However, ultimately, institutional investors are unlikely to lose their appetite for the
industry and the McKinsey Global Institute forecasts a further increase of global
private equity assets under management to $1.4bn by 2012, a doubling in five years.
Citigroup expects private equity to soon overtake property and hedge funds as the
most popular alternative investment for pension funds. In a keynote address at the
2008 Wharton conference, David Rubinstein, again, reckoned that Private Equity will
now spend a year or so in purgatory before entering the platinum age, an even
greater period of expansion than the golden age it went through in the last five
years. For Rubinstein, returns will remain strong and Private Equity will remain
attractive to investors because the techniques used by sponsors to improve
companies have been proven to work, including giving management a stake in the
companies they run. In the first half of 2008, the mid market showed its resilience.
22
GETTING HIRED
CHAPTER THREE: Is it the Right Job For Me?
CHAPTER FOUR: The Hiring Process
CHAPTER THREE: IS IT THE RIGHT JOB FOR ME?
rivate equity is a relatively new industry. While the activity has been around
for centuries, as long as wealthy investors have been able to acquire stakes in
private companies, it is only in the last few decades that it has become an
industry, with a typical organization and business model and the recruiting of
professionals at undergraduate, graduate and experienced levels. From our
interviews, private equity in Europe has clearly become more competitive as teams
compete directly within and across countries for the same assets. Because the
competition is more global, the recruiting tends to be more competitive and
PROFILES OF 4,000 PE FUND MANAGERS IN EUROPE (Higher Diploma)
Bachelor only 31%

Unknown or none 11%
PhD/JD/MD 5%
MBA 25%
Master 28%
Source: Candesic PE database, January 2008
PROFILES OF 4,000 PE FUND MANAGERS IN EUROPE

(Most significant previous job)
Asset management 3%
Strategy & management consulting 10%
PE 11%
Audit & transaction services 10%
Banking 11%
Investment Banking 24%
None 11%
Other 20%
26
TOP UNIVERSITIES ATTENDED Number of professionals*

*Double counting allowed for staff with several degrees
250
210
200
204
177
170
168
150
104
100
72
72
69
66
62
61
59
50
57
49
49
44
42
42
38
37
37
bia
Po
L
lyt BS
ec
hn
iqu
e
D
Co urha
pe m
nh
ag
en
St
G
all
en
IEP
Pa
ris
M
an
ch
es
te
r
M
un
ich
St
an
fo
rd
ine
ph
um
au
D
Co
l
LS
SE
ES
ha
rto
n
AP
SS
-E
CP
ES
or
d
Bo
cc
on
i
EC
xf
IN
SE
AD
H
ar
va
rd
Ca
m
br
idg
e
27
Chapter Three: Is it the Right Job For Me?
international candidates with language skills are targeted.The industry has grown very
fast, but its attractiveness has grown even faster. Our database shows that more than
60 per cent of the investment professionals have an MBA, a PhD or another advanced
degree. Those who only have an undergraduate degree tend to be younger analysts,
especially in the UK where it is common to start working after a bachelors degree.
The institutions represented areno surprisethe top universities in Europe (typically
top 5-10 universities in each country) and top 15 global programs for MBA graduates.
Globally, INSEAD, Harvard, Cambridge, HEC and Oxford are the most represented
academic institutions across all the professionals, accounting together for about 20 per
cent of them. Bocconi is the clear challenger to the group of five and sometimes seems
to be the sole local provider of managers in Italy. Other institutions that have
substantial amounts of graduates in the industry tend to be the best business and
economic schools in each big European country: Stockholm School of Economics,
London School of Economics, St. Gallen, ESCP-EAP, London Business School.
However, the vast majority of graduates do not start their career in private equity:
they will first get their training in related areas of advisory or in top management
positions.
Most investment managers have started their career in another area: the Candesic
database shows that less than 20 per cent of private equity fund managers started
their career in private equity (11 per cent at their current employer and the rest at a
previous PE firm). Out of the other 80 per cent, half of them worked in investment
banking or other areas of banking, especially leveraged finance, and 20 per cent
worked outside of the finance industry. More than 10 per cent of all fund managers
had previous experience in strategy consulting, and the same percentage came from
audit and transaction services (note that the numbers dont add up to 100 per cent
because many fund managers had several jobs previously). The most frequent
previous employers are PWC, McKinsey and the top tier US investment banks.
MOST FREQUENT FORMER EMPLOYERS

Number of professionals
150
Private equity
138
Investment banking
Strategy consulting
120
Audit & transaction services
109
95
90
93
86
77
74
71
70
65
64
60
57
53
51
51
46
46
45
44
41
28
UB
D S
BN eloi
tt
Er P P e
ns ari
t & ba
s
D
eu You
tsc
n
he g
Ba
nk
C
Le red 3
i
hm t i
an Suis
Br se
o
AB the
N rs
Am
ro
Ba
in
lL
yn
ch
KP
M
Ar JP M G
th
ur org
An an
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n
BC
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up
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M
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M Mc C
or Ki
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dm tan
an ley
Sa
ch
s
30
English is the common language, but in most European countries, fluency in the local
language is necessary to interact with the management team of a local private firm.
There are exceptions at both ends of the private equity spectrum, whether dealing
with high tech start-ups set up by highly educated PhDs or on the mega LBOs of
firms with global operations.
Finally, private equity doesnt appear to be an equal opportunityarea. Unlike in
many other areas of asset management, women represent only 10 per cent of
investment professionals and 11 per cent of all professionals (which includes CFOs,
COOs and those engaged in business development, fundraising and risk
management). In addition they are found proportionally less often in senior
positions. Pessimists will question their chances to get promoted against men.
Optimists will explain it by an improved access at junior level: women represent 15
per cent of the analysts and associates.
Comparison with other elite jobs

A significant proportion of private equity fund managers got their initial professional
experience in investment banking. They appreciate moving into jobs that give them
a better lifestyle and often better compensation. As one insider says, now, I am the
client of my former colleagues and I feel like I can set the pace. The IB background
is essential as fund managers end up developing their own valuation models that
they rarely share with their advisors.
29
Most fund managers tell us they like their job, the diversity of activities, the team of
like minded brilliant professionals, the opportunity to work closely with executives,
and the perks. They also tell us that they work harder than they did ten or twenty
years ago; low hanging fruits have disappeared in developed countries. New risks
appear and limited partners become more and more sophisticated. The industry is
also more likely to be hit by global economic downturns. The most recent example
is how the 2007 US subprime mortgage crisis has led to a sudden and complete halt
of all multi-billion dollar LBOs. Many mega funds have quickly dispatched their
fund managers to work on improving the existing portfolio companies. Part of the
stress is also linked to the performance dependant reward model; managers get their
share of the profits only after the PE fund sells the company, typically three to seven
years after the investment. A prolonged recession with limited exit opportunities can
destroy most of the expected remuneration. A recent BVCA report showed that only
50 per cent of the private equity firms in the UK paid out a carry to their managers.
In addition, the access to the carry is long and becoming longer at those firms that can
pay it: it takes an average of seven years to be promoted to partner, and another
seven years to gain full access to the carry. For all these reasons, one should expect
the staff turnoverso far extremely lowto increase in the private equity industry
like in any other maturing industry.
Like management consulting, private equity offers the opportunity to work across
industries and geographies on various management issues, in direct contact with the
top management and other professionals. Numerous insiders coming from
management consulting see their move as a natural career progression, with the
advantage of being closer to the real operations of the companies in their portfolio,
and the opportunity to participate directly to the implementation or monitoring of
implementation of the strategy. Some consultants, especially those who didnt have
prior significant line experience, become frustrated after years of advising top
executives and feel the need to do things by themselves.
The MD of a French mid cap fund states that one of my great joys is to coordinate the
various advisors. It can be a lot of work, but they are generally the ones who keep
working late a long time after I left the office. While this may be an extreme situation, it
is certain that the private equity fund manager doesnt have to report to the limited
partners the way top executives in public companies report to their shareholders.
The skills required in most hedge funds are somewhat different. This is mainly due
to the timeframe of the investment: hedge funds get in and out of an investment
within months, weeks, sometimes days. Quantitative skills are often more developed
and required. One can say that, on average, private equity roles are more well
rounded and come with more variety in the day to day job. There are however many
common features: the small team of bright professionals, often with international
backgrounds, the exceptional remuneration opportunities and the high flexibility
being close to the top of the value chain.
Understanding the jobs: The investment process and the roles in

the private equity firm
Most private equity firms are small (roughly 10-20 people for each billion dollars
under management) and organised along the same lines, with a relatively heavy
senior investment team supported by a few juniors, an individual or a small team in
charge of fund raising, operating partners who can advise, second or take over the
management of the portfolio companies, and a very light support staff (as most noncore activities are outsourced). Senior fund managers are likely to be involved in most
steps of the private equity investment process. In new or in smaller funds, they are
also likely to participate in fundraising.
The only job that varies significantly from one firm to the next is deal origination.
Some firms have a dedicated person or team and most will leverage the entire senior
team. In certain firms they have to develop their own network to identify early
investment opportunities. In any case, this is always encouraged as early
identification and exclusive access to deals is one of the main drivers of performance.
30
Fund raising
Deal sourcing
Acquisition
Postacquisition
Investment
strategy
Investors
hunting
Set up funds
Networking
Identification
of investment
opportunities
Preliminary
investigation
Prioritsation of
opportunities
Due diligence
Set up of
financial
structure
Valuation
GP agreement
Investment
Committee
decision
Contract
preparation
Portfolio
Monitoring
Portfolio and
company
management
- Optimisation
of operations
- Reorganisation
- M&A
- Strategic
review
Exit
Management
Vendor due
dilligence
Valuation
Partial or total
divestment
through
- IPO
- Trade sale
- Secondary sale
- Write-off
Source: Candesic
Deal sourcing. Fund managers will assess the various opportunities brought by
investment bankers, brokers and other contacts in their networks. Typically, no
more than 25 per cent of the deals are proprietarythe rest comes from the bankers
(50 per cent) and from affiliated funds or advisors (25 per cent). Some firms have
a thorough process of monitoring thousands of public and private companies to
identify underperformers or companies with non-core assets and excess costs. Most
big firms will have to analyse hundreds of targets.
Due diligence. During the due diligence, they will select and monitor their various
advisors (investment bankers, lawyers, accountants, management consultants and
other specialised advisors), often leaving the investment bankers with the
responsibility of coordinating the team.
In a fund of funds, the due diligence will be more targeted at the financial
performance and investment process of the fund. Managers will conduct most of the
diligence themselves.
Financial structure. The fund manager will discuss the financial structure and the
use of leverage with the debt and mezzanine finance providers. They may have to
get approval from the General Partners.
31
INVESTMANT PROCESS OF PRIVATE EQUITY FIRMS
Investment Committee. Often working within a team, the fund manager will put
together the various elements of the investment case and will submit it to the
investment committee, composed of the senior partners and some of their advisors.
Acquisition. Once the case is agreed upon internally, the team can make a binding
offer to the vendor. If it is accepted, the acquisition proceeds, and may last three to
six months, with the due diligence likely to continue in the background.
Post-acquisition. The performance of the companies in the portfolio is constantly
monitored and actions are taken if the results deviate from the tight plan that was
agreed upon with the management. Some firms will just have a fund manager
sitting on the board of the company; some will delegate one of their employees to
work with the executive team; others will put entire teams of operational
consultants to work.
Exit. After a period of three to seven years, the portfolio company should have
repaid a substantial part of its debt. Hopefully, the new company has a reasonable
leverage ratio and can be sold with a handsome profit to the public through an
IPO, to another PE firm, or to a strategic investor through a trade sale. In recent
years, numerous secondary and tertiary transactions have occurred, when further
growth in the ownership of a bigger private equity firm is considered the best
option, i.e., the option that maximises the current value of the portfolio company.
The firm will hire an investment bank to manage the sale process and prepare an
Information Memorandum (IM). It will generally hire accountants to prepare the
Vendor Financial Due Diligence document, and sometimes consultants for the Vendor
Commercial Due Diligence document.
Lifestyle
Private equity can be demanding. Like other high-paying jobs, it comes with a lot of
stress. One French Managing Director observes that the globalisation of the business
makes life more difficult than it was 20 years ago, when nobody knew what private
equity was. We were a small club of professionals and had plenty of opportunities.
Now we compete against the world for every asset. However, since most of the fund
managers have had a previous experience in consulting, leveraged finance or
investment banking, the transition to private equity is generally very satisfying: You
have fewer hours, less hierarchy, you work more for yourself, and you direct the
work of others, remarks a former M&A banker.
32
What do you like most about PE?

PE work is a daily challenge. I love being an entrepreneur.
What do you dislike about PE?
The time pressure can be pretty intense!
What recommendations would you give to a graduate interested in PE?
It is important to have previously worked in a different environment. There are basically three
options. I believe experience in transactions services (Big 4 accounting) is great you gain excellent
analytical financial skills. People who worked in investment banking have great technical skills
(What is a good/bad investment?) but regarding their entrepreneurial mind-set, they can sometimes
have difficulties. I believe that the most important skills are the soft skillshard skills can be learnt,
but PE is a people business. My main role is communicating with the management. We need to build
personal relationships in order to influence the decision-making process from an informal
perspective. These types of skills are best learnt at a strategy consultancy.
What does the team structure look like?
3i, for example, has small teams of 3-4 PE fund managers and boosts the teams during project
phases with external legal, tax, strategy and finance consultants. But companies like Permira
or Cinven staff their teams with up to 10 people.
How do you work together with the management of acquired companies?
First of all I sit on the board of the company. There is always a formal and an informal role.
The formal role includes that we are a part of the organisation. We are not consultants, we are
shareholders. The informal role includes personal relationships with the management. These
relationships are often the key to making a good decision together.
What role does pressure play in the daily work of PE fund managers? Please explain
from an internal (teamwork) and external (work with management of acquired
companies) point of view.
The pressure is positive as long as the projects are going well. If the fund is losing money
from that investment then the pressure increases significantly. It is even worse than for an
entrepreneur. It is the money of the partnership and they are all alpha-people who do not like
to lose money. Fortunately, in my ten years in PE I have never had that situation.
33
Interview of a London director at 3i
What are the exit strategies?

Normally you do not want to exit unless you want to retire. Some people leave PE after a
major mistake. The few that do leave have a lot of opportunities though, for example as a CEO
or CFO. Our PE firm offers fund managers the possibility to move into one of our portfolio
companies which can be interesting. However it is always a psychological problem for senior
PE fund managers to work again as employees. The mindset is different and the change is
often very difficult.
Interview with a former senior partner at London-based mid-cap fund

What do you like most about PE?
PE is a hectic industry with lots of eagerness. Throughout the three steps of the private equity
investment process (fundraising, transforming company, selling) there are a lot more areas
involved: legal side, financial side, strategic side
What recommendations would you give to a graduate interested in PE?
The corporate finance area of a bank is a good way of starting with PE because mainly the same
tasks are involved. When you work as a management consultant, it is always the same as one
aspect of PE you will experience: the commercial due diligence.
It would be good if consultancies could put their PE guys to work for a while within private
equity companies so that they would get the whole picture.
The best way to go into PE is to begin with a start-up PE firm. That way you grow into the
process. Working in PE should be at least for 15 years. Normally it takes up to 10 years to
fundraise and to build the portfolio and, basically, in the last 5 years you will make the
money.
Fundraising for our company meant 25 people working 5 years until we had 200 million
pounds together.
What are the exit strategies?
It is difficult to leave a private equity firm because your incentives are always paid off a couple of
years later. By leaving you accept that you dont receive your full shares of all the deals you did.
I quit private equity at 45 but everybody in my company was very surprised because it was
an unusual move.
34
Days in the life: Senior investment manager in London for major

pan-European LBO fund
7.30 am: Im on my way to work checking my emails via BlackBerry.
8.00 am: Breakfast meeting regarding a potential target company with experts.
9.00 am: Today, I attend a management presentation. When we have a project
running I normally participate in contract negotiations with the company owners or
the financing banks which last late into the evening.
13:00 pm: I use lunch time to review my synthesis of market studies. I make sure that
the consulting teams we hired for commercial due diligence are working in the right
direction. We feel we have to challenge them by asking for updates or for more
information regularly.
On another day I would have lunch with colleagues or advisors and discuss potential
projects.
Afternoon: Today, we dont have contracts to negotiate and have organised a
financial due diligence presentation by a Big Four accounting firm at our office.
Dinner: If we had negotiations in the signing phase of the project I would stay at the
office for a long night. Shortly before the final offer I will occasionally need to pull
an all-nighter, but that is something I can expect and am prepared for. Today, as we
are still discussing potential targets I can leave the office at 8pm for a dinner meeting.
I like to use meal times for meetings, although usually only have one of these
meetings a day.
Day in the life: Business school student, junior analyst role as intern
in France for pan-European multibillion mid-cap LBO fund
9.00 am: I get into the office and glance over the finance section of the daily paper and
a dedicated private equity newspaper we get delivered.
9.30 am: Team meeting. We normally talk about any issues and news relating to a
deal in process, a company in our portfolio, or a new investment opportunity.
35
People who work in PE have to be very clear about the fact that the work is very intense and
the cultural pressure is often very strong. We had to get rid of people during the last few years
because they became too ambitious about their shares. It did not serve the company anymore.
10.30 am: I start work on an IM (investment memorandum) which must be finished

within three weeks as we made an indicative offer last week. I start reading the
commercial and financial due diligences; I have a quick discussion with the director
in charge of the investment to talk about what points from the diligences he wants
me to focus on.
13.00 pm: Lunch.
14.00 pm: I keep working on the IM.
15.00 pm: Presentation with the management team to a large bank to get an idea of
how much debt they would be willing to provide, and at what rates.
17.00 pm: In the wake of the previous meeting, we have a rough idea of the leverage
level and interest rate for the deal and I update the financial model to check how the
internal rate of return (IRR) evolves with the new conditions.
17.30 pm: Call with an alternative potential debt provider for the same deal.
Apparently they are not as interested as the first bank in this particular deal, but gave
us an idea of what benchmark levels we could expect.
18.00 pm: I have to find some peer comparables and make some research slides on
investment opportunities. During my research, I come across some other companies
which may interest the team, so I gather some key figures on each one.
19.30 pm: I start preparing a presentation for investors for the new fund which is
being raised.
20.30 pm: Leave the office.
Day in the life: Investment manager in Spanish local fund

8.00 am: Breakfast with a potential business partner and a representative of an
investment bank. We discuss the possibility of partnering to acquire an asset that is
for sale. The potential business partner operates in the same sector and the
combination of our skills and experience could be beneficial in this particular deal.
9.30 am: Return to the office and catch-up on e-mail and news.
9.45 am: Review and sign a non-binding letter of interest for the potential acquisition
of a target company. We have been working hard on the analysis of this
opportunitytoday we submit our indicative offer.
36
11.45 am: Review Investment Memorandum (IM) prepared by internal deal team on
the same transaction.
13.00 pm: Interview a candidate for an analyst position in our fund.
14.00 pm: Lunch with the former manager of a large company. At this stage of his
career he would like to lead a management buyout. We discuss a couple of potential
investment opportunities and agree next steps.
16.00 pm: Investment committee meeting. We have a lively discussion around a
potential investment that we are considering, its merits and risks. We are in
exclusivity and getting close to a final commitment.
18.30 pm: Internal meeting to discuss overall status of projects we are working on.
19.30 pm: Meeting with a consulting firm. They have come here to present their
thoughts and views on the healthcare sector at our request. We discuss trends and
opportunities.
20.45 pm: Go home.
Day in the life: Junior associate at a small fund in Milan, Italy

9.00 am: I start the day with research on the logistic market for an IM in process.
When working on a new sector, it is necessary to understand exactly how it works
and be able to explain it to others. I discuss with other analysts who have more
exposure to the sector and conduct my own research on the internet, as well as in
internal documents and databases.
11.00 am: Briefing conducted by the boss to prepare the next meeting.
11.30 am: Meeting with two directors of a German real-estate group willing to
participate in an investment in Russia. Two senior associates and I are present to
listen to their objectives, explain our offer and answer questions.
13.00 pm: Lunch with our guests.
37
10.15 am: Review a pack of due diligence reports on a potential investment we are
considering. The pack includes the main findings on the financial, fiscal, commercial
and legal areas, produced by a team of advisors assisting us in this transaction. We
have an investment committee meeting later on and need to be well prepared for the
discussion.
14.00 pm: Conclusion of the meeting, signature of documents. I go back to my IM on

logistics.
15.30 pm: I call the initiator of the logistic project to ask for technical details that will
be included in the IM.
16.30 pm: I set up the prospective profit & loss and compute returns for the logistic
venture.
18.00 pm: Meeting with an Italian entrepreneur looking for financing of a new
venture. Entrepreneurs typically want to share a lot of the details of their ideas,
because they want to be really really sure we understand. We often run into political
aspects (it can be difficult to stop them!) so the meeting is quite long.
20.30 pm: Debriefing with the boss, we share our first impressions and decide if we
should carry on discussions further.
21.00 pm: Evaluation of the progress on the logistic IM.
21.20 pm: End of the working day.
Day in the life: Partner at German mezzanine fund (500m AuM)

9.00 am: Arrive at the office. 15-minute daily briefing with the office manager
(agenda of the day, overview of the mail) followed by a 15-minute daily briefing
with investment team (main tasks for the day).
9.30 am: Marketing calls with business partners: M&A advisors, lawyers, accountants
and PE firms regarding marketing plan (6-10 calls). Some fundraising calls too.
10.30 am: Meeting in our office with CEO and CFO of a German mid-size company
looking for expansion capital to acquire a competitor.
12.00 pm: Lunch with the two visitors.
14.00 pm: Reading a new information memorandum (IM) describing a fashion
retailer for sale.
16.00 pm: Reading the financial due diligence by PWC on our most promising deals
(construction industry); summary of the main points.
18.00 pm: Progress review on construction deal with investment manager (Research,
financial model, etc) and distribution of tasks for the new deal.
38
20.00 pm: Debriefing with the team.

20.30 pm: Dinner with lawyer.
Career paths
Maybe because it is such a young industry, there doesnt seem to be a lot of life after
private equity. Not that there wouldnt be opportunities, but as most of our
interviewees observed, Why move if I get everything I want here? While we dont
have the most precise statistics, most people leave private equity to go into private
equity! This can be moving into a larger fund, creating ones own fund or sometimes
moving into an operational or interim management position in the portfolio.
There are a few cases of fund managers who transferred to a top executive position
in the industry, but a more natural development is to spend increasing time in nonexecutive director positions until full retirement. If not in the portfolio, even a CEO
role proves to be difficult as managers typically have five to 10 years of carry that they
risk losing if they leave the fund. Only hedge funds have deep enough pockets to
buy out private equity fund managers.
39
19.00 pm: Conference call with English lawyers to discuss progress on fundraising for
new fund.
CHAPTER FOUR: THE HIRING PROCESS
ost private equity funds dont have a very formal recruitment process. The
firms are small, the turnover is low, and so are the recruitment needs, unless
one has an aggressive international expansion. There are however a couple
of exceptions, like 3i, Bain Capital, Blackstone, Carlyle or Goldman Sachs PIA. The
key success factors for entering the industry are the academic pedigree and the
networking skills. For experienced candidates, an excellent track record is of course
another requirement.
Many firms dont have a recruiting or HR person but a recruiting committee chaired
by one of the funds managers. Other HR responsibilities can be outsourced. After an
internal or external screening, a couple of candidates will be invited to a set of three or
four rounds of interviews. Even for internships, the average seems to be two rounds.
While this is based on anecdotal evidence, many interviews are one on one. The fit
with the individual fund managers is a key component in a small transaction team.
Campus recruiting
Because most firms don't have a very formal recruitment process, they often don't
recruit on campus. In recent years, the big ones like Alpinvest, Blackstone, Alliaz,
Axa or Goldman Sachs PIA may have appeared on selected MBA campuses like
INSEAD or LBS for graduate recruiting, but this used to be the exception. It is
changing fast: according to Sandra Schwarzer, who heads career services at INSEAD,
at least nine PE firms participated in 2007 in company presentations or Career Fairs.
While in 2006 a record 26 students declared joining a PE/VC firm straight after
INSEAD, this has gone up to 39 in 2007. We expect the number of schools visited to
grow once the current credit crisis softens. It is also encouraging that an increasing
number of the top MBA students have a summer internship in PE firms (20 at
INSEAD in 2007). And there are a couple of opportunities for internships at other
schools: in France, for example, Axa PE and Barclays PE advertise on the Intranet of
top Parisian business schools to recruit interns.
Indeed, a growing number of funds now value the opportunity to recruit a couple of
young analysts for a gap year. They warn however that only a tiny percentage of
interns may receive an offer afterwards as the firms often don't have the need for
more permanent staff.
40
All top business schools now offer a private equity elective. This often gives
students an opportunity to start networking very early, sometimes with a summer
internship or even a gap year working as an analyst. Some of them, like Chicago
GSB in London, also provide a private equity club where students can meet with
alumni in the industry.
Several European business schools are developing dedicated research focusing on
private equity issues. The Nottingham University Business School created the
Centre for Management Buy-out Research (CMBOR) in 1986 in partnership with
Barclays Private Equity and Deloitte to monitor and analyse management buyouts. ESSEC in France launched a private equity chair in 2006, sponsored by
Barclays Private Equity. At London Business School, the Private Equity Institute
has been established to advance the understanding and practice of private equity.
The Munich-based Centre for Private Equity Research (CEPRES) is managed
HEADHUNTERS TARGETING PRIVATE EQUITY

In the UK
Blackwood Group
Kinsey Allen Consulting
Marks Sattin Private Equity
Parker Linton Associates Ltd
Private Equity Recruitment (more for juniors with a couple of years experience
Stevenson James Search & Selection
Walker Hamill
Wood Hamill
In France
CT Partners
Alvedis Conseil
Boyden
Egon Zender
In Germany
PER (out of London)
Grip (Frankfurt)
In Spain
Korn Ferry
Heydrick & Struggles
Source: Candesic interviews
41
Chapter Four: The Hiring Process
Networking
academically by Goethe Business School in Frankfurt and Technical University

Munich. Cass Business School is currently launching the Cass Private Equity Centre
(CPEC) which will promote understanding and provide evidence of the key issues
and challenges in the industry. EDHEC in France is the exclusive provider of
preparatory courses in Europe for the CAIA exams that cover all alternative asset
classes. Their research currently focuses more on hedge funds but could soon
extend to private equity.
Search firms
Headhunters are mostly involved in looking for specialist skills. The typical mandate
is to replace a senior manager or fill new senior positions following an expansion
plan. While the major executive search firms all claim to be involved, our
interviewees directed us to local specialist firms.
Website
Firm websites are often disappointing for candidates applying to small or mid-size
funds. Most company websites wont even mention the name of a recruiting person
or give specific contact details. It is understood that the right candidate is already
part of the club or will be personally introduced. But strongly motivated candidates
should not hesitate to try their chance through the switchboard.
Preparing for the interview

The type of questions depends a lot on the background of the managers. One
experienced candidate for a position in a London-based mid cap fund told us that
each former consultant asked me to draw a value driver tree and conducted a typical
consulting case interview while each former investment banker tested my negotiation
skills and my knowledge of valuation models.
42

Chapter Four: The Hiring Process
General questions
Why PE?
Why this firm?
What makes a good deal?
How would you find deals, how do you know what to buy?
How would you do it?
Which deal can you describe and what do you think of it?
If you had that amount of money, what would you buy in this country?
Behavioural questions
What do you do in your spare time?
Tell me about yourself.
Finance questions
IRR vs. multiple
How to motivate management
How do you value a company? What is a P/E ratio?
LBO model: candidates are expected to be familiar with LBO models. They are
likely to be asked to comment on a simple valuation model that may contain a
relatively obvious miscalculation. In some cases, the candidate has to build a simple
model on paper. Knowing the definitions and differences between free cash flows
to equity and free cash flows to the firm, how to choose the appropriate discount
rate and calculate it, and how average EBIT or EBITDA multiples have been doing
lately may be a deciding factor. At a major London-based firm, candidates are given
a laptop and asked to build an LBO model.
What are the pros and cons of using mezzanine to finance a transaction? In which
cases will you consider it? What should you be aware of?
43
Industry questions
How many transactions can an analyst work on simultaneously? In a year?
Give an example of an industry with high Capex, with no Capex.
Case studies
For a given EBITDA in a given industry, how much leverage can you afford? How
do you find out?
Full case study including analysis of the growth drivers in an industry, major risks
and competitive positioning of an asset. One Associate candidate in London reports
being sent all the case study material 24 hours prior to the interview with the
request to prepare a presentation to the Investment Committee.
44
Profiles of
37 REPRESENTATIVE
PE firms in Europe
US-ORIGINATED GLOBAL FUNDS with direct presence in Europe

PAN-EUROPEAN FUNDS
OTHER FUNDS with more regional focus
MEZZANINE FUNDS
FUND-OF-FUNDS
ADVENT INTERNATIONAL
UK Regional Headquarters
Advent International plc
111 Buckingham Palace Road
London SW1W 0SR
UK
Tel: +44 20 7333 0800
www.adventinternational.com
THE STATS
Chairman: Peter A. Brooke
Employer Type: Independent Private
Company
Total private equity funds under management: about 11bn (2008)
Employees: 130 investment professionals,
of which 65 are in Europe (2008)
No. of Offices: 15
COMPANY FOCUS
Sectors:
Business Services & Financial Services
Retail & Consumer
Technology, Media & Telecoms
Healthcare & Life Sciences
Industrial
Financial stages:
International buyouts, recapitalization and
growth equity investments (up to 500m
equity), some venture capital
Types of financing:
Majority equity
48
EUROPEAN LOCATIONS
London (HQ) Amsterdam Bucharest
Frankfurt Kiev Madrid Milan
Paris Prague Warsaw Bratislava
(affiliate) Oslo (affiliate)
REST OF THE WORLD

Boston (HQ) Tokyo Singapore
(affiliate) Buenos Aires Sao Paulo
Mexico Further affiliates in five other
countries
KEY COMPETITORS
3i Apax Barclays Private Equity
Cinven Montagu
EMPLOYMENT CONTACT
In the US: info@adventinternational.com
For other offices, see "contact us" at
International investment
London and Boston-based Advent International is truly an international private
equity firm. While most of the big names in private equity have outposts in Europe
and Asia, Advent takes "international" to another level, with 15 offices around the
world, from Argentina to Southeast Asia. In the last two years alone, it has opened
new offices in Amsterdam, Prague and Kiev. Advent is also responsible for a number
of firsts in the global private equity landscape; they put together the first leveraged
buyout in Hungary and Poland; the first private equity-backed public-to-private deal
in Central Europe and Spain; the first global private equity fund, in 1987; and the
largest-ever private equity fund dedicated to Latin America. Founded in 1985 as a
spin-off of TA Associates international operations, the firm has backed more than 500
companies in some 35 countries.
Most important funds

VINTAGE YEAR
FUND CAPITAL
Advent International GPE VI
2008
6.6bn
LAPEF IV (Latin America)
2007
$1.3bn
Advent International GPE V
2005
2.5bn
ACEE III (Central Europe)
2005
330m
Advent International GPE IV
2002
2.0bn
FUNDS
Middle of the road

Advent invests in middle-market companies in five core sectors: business and
financial services, retail and consumer, health care, industrial and technology, media
and telecom. In North America and Europe, the typical Advent investment is $20
million to $200 million; in Central Europe and Latin America, the average outlay is
on the smaller end of the range, between $20 million and $60 million. Advent also
manages venture capital funds focused on start-up to revenue-stage companies in
Health Care & Life Sciences, primarily in North America, not to be confused with
UK-based Advent Venture Partners. The firm's venture investments usually run from
$5 million to $20 million.
49
Advent international
THE SCOOP
In December 2006, the firm won an impressive and unprecedented four industry
awards at the fourth annual European Private Equity Awards organised by EVCA.
The list included the European Private Equity House of the Year as well as the
European Mid-Market Deal of the Year, for Moeller in Germany, and the Emerging
European Deal of the Year, for Terapia in Romania.
Deal-making
Advent has been on a shopping spree as of late with a clear acceleration in the last
three years. In early 2005, the firm brought in the new year with the acquisition of
Proservvi, the leading provider of back-office processing services to financial
institutions in Brazil. Then in April, Advent bought a stake in Fat Face, the active
casual wear market leader in the U.K. One month later, across the Atlantic, the
private equity group picked up Making Memories, the Utah-based provider of
scrapbook and card-making products. In June, Advent invested in the drilling
services and equipment company Boart Longyear and Italian vending machine
operator Gruppo Argenta. In August, the global private equity group acquired five
different companies, ranging from a Romanian paints business to a technology
company in the U.K. In September 2005, Advent bought a majority stake in Casa
Reha, a German private nursing home group. It pursued a buildup strategy and, in
2007, doubled the size of the company with the acquisition of competitor
SozialKonzept, catapulting Casa Reha into the top five of German private nursing
home groups. In December of the same year, Advent announced the sale of the group
to HgCapital.
Advent had already shown its skills in Germany with the 2006 turnaround and sale
for 1.1bn, in an auction to Doughty Hanson, of global electronics manufacturer
Moeller Group, which was on the verge of bankruptcy when acquired in December
2003. This highly successful restructuring attracted the praise of the judges who saw
the deal as an outstanding example of a traditional private equity house taking on
a difficult asset and turning it around.
In 2007, Advent headed again to Germany, this time to buy a 770m majority stake
in German fashion discount chain Takko from Permira. The same year in the UK,
Advent International acquired Worthing, a share registration business they renamed
Equiniti, for 550m from Lloyds TSB Registrars. In December, Advent announced
the first fully-financed public-to-private transaction since the summers turbulence in
the credit markets with the 524m acquisition of Domestic & General Group plc
(D&G), the UKs leading specialist provider of extended warranty plans for domestic
electrical goods. In France, it took a majority stake in Stokomani, the French discount
retailer, from Alpha Group.
50
GETTING HIRED
Advent International has around 130 investment professionals working out of 15
offices around the world. About half of them are based in Europe.
As a firm half headquartered in the US, the firm has its share of American MBAs.
But the European team is not different, with almost half of the professionals holding
an MBA, and Harvard by far the most represented school in the team.
Higher Diploma
Masters (23%)
Bachelors only (30%)
Unknown (1%)
PhD/JD/MD (5%)
MBA (41%)
Source: Candesic
Most significant previous job
Strategy consulting (13%)

Audit & transaction services (7%)
Banks (35%)
Other (45%)
Source: Candesic
51
Advent international
The firm is also active all over Eastern Europe. In April 2007, it opened an office in
Prague and, in September, it announced the first members of its Kiev team in
Ukraine. In December 2007, within two days, it acquired a 70 per cent stake in KAI
Group, Bulgarias largest manufacturer of interior and exterior floor, wall and
decorative ceramic tiles, and a 70 per cent stake in Bucharest-listed Ceramica Iasi,
one of Romanias leading ceramic bricks and clay roof tiles producers.
Top 5 universities attended (# of professionals)

**double counting allowed for staff with several degrees
20
15
Wharton (4)
10
Oxford (5)
Cambridge (6)
INSEAD (10)
Harvard (18)
Source: Candesic
Top 5 former employers (# of professionals)
8
7
6
5
Merrill Lynch (3)
ING (3)
UBS (5)
Dresdner (6)
1
0
McKinsey (8)
Source: Candesic
While the most represented former employer, McKinsey, accounts for 12 per cent of the
European professional staff, employees have relatively diverse backgrounds. Former
bankers represent 35 per cent of the team, slightly below the industry average.
Although the firm does not offer employment information on its web site, it does
provide contact details for each of its outposts. Candidates interested in working for
Advent International should get in touch with the appropriate office (see "contact
us" at www.adventinternational.com).
52
ADVENT
INTERNATIONAL
BAIN CAPITAL
111 Huntington Avenue
Boston, MA 02199
USA
Tel: (617) 516-2000
Financial stages:
Venture, expansion and growth capital
for private & public companies; Management buyouts; Industry consolidations
London Office:
Bain Capital LTD
Devonshire House 6th flr, Mayfair Place
London, W1J 8AJ
UK
Tel: +44 20 7514 5252
Types of financing:
Majority equity, participation, mezzanine,
high yield debt
www.baincapital.com;
www.baincapital.co.uk
EUROPEAN LOCATIONS
London (HQ) Munich
REST OF THE WORLD

THE STATS
Managing Director, Bain Capital: Joshua
Bekenstein and 25 other partners
Managing Director, Bain Capital Europe:
Stuart Gent
Employer Type: Private Company
Total private equity funds under management: $50 bn in 2008
Employees: 650, with 270 investment
professionals, 175 in private equity
No. of Offices: 7
Boston (HQ) New York Honh Kong

Shanghai Tokyo
KEY COMPETITORS
Blackstone KKR TPG
EMPLOYMENT CONTACT
www.baincapital.com/careers
COMPANY FOCUS
Sectors:
Information Technology
Communications
Healthcare
Industrial & Manufacturing
Retail & Consumer Products
Financial Services Investments
53
THE SCOOP
Dealmakers
Bain Capital traces its roots back to 1984, when Bain & Company partners Mitt
Romney (a former Governor of Massachusetts and presidential candidate), T.
Coleman Andrews and Eric Kriss decided to leverage their private equity know-how
by forming their own leveraged buyout and venture capital firm. According to
Fortune magazine, Bain Capital charges a 30 per cent fee to its limited partners,
instead of the standard 20 per cent. It also differs from its peers in that it raises funds
mostly from university endowments, instead of pension funds. That doesnt seem to
have been much of an issue so far; today the Boston-based private equity firm has
invested in more than 240 companies with an aggregate transaction value in excess
of $100 billion. The firm raised $13bn in 2006, at least $4bn more than was originally
anticipated, adding to a total of over $40bn currently under management. Notable
deals include Burger King, Toys R Us, Burlington Coat Factory, Brookstone,
Domino's Pizza and Duane Reade. Bain was also part of a consortium of private
equity firms led by Silver Lake Partners to acquire SunGard Data Systems. The deal,
completed in August 2005, was valued at $11.4 billion, making it the largest
technology privatization and the second largest leveraged buyout ever completed
a record that lasted for only a few months. Bain Capital would go on to more than
double its transaction size the next year, thanks in part to a longstanding habit of
joining club deals.

VINTAGE YEAR
FUND CAPITAL
Bain Capital Fund XI
2008
$20bn (target)
Bain Capital Europe III
2008
3.5bn
Bain Capital Fund X
2006
$10bn
Bain Capital Fund IX
2005
$6bn
Bain Capital Fund VIII
2004
$5bn
FUNDS
54
Between 2000 and 2002 Bain Capital went over a year without completing a deal.
This simmering of transactions was not a case of taking it easy, but merely running
their companies in tough market conditions instead of buying new ones. In the
following years, Bain Capital made four times its 2002 initial investment in Burger
King over five years, according to The Deal, and the 2003 acquisition of Warner Music
Group made $3.2bn on a $1.25bn investment in just a little over a year, as reported
in Forbes. The floodgates truly opened in 2006, when Bain completed an historic
twelve transactions with a total value of $85bn (when including the $26.7bn Clear
Channel transaction with Thomas Lee, which took another ten months to get
shareholder approval). The major transaction of 2006 was the acquisition of HCA
hospitals with KKR and Merrill Lynch for $33bn. In 2007, while not matching the
2006 success, Bain Capital has nonetheless been busy, paying $1.9bn for Guitar
Center, $1.76bn for American Standard's bath and kitchen unit and $2.2bn for 3Com.
In Europe the firm doesnt make the headlines as often as it does in the US. It is
however an active investor, in particular in Germany, with current or past
investments in companies including ProSiebenSat.1 Media, Jack Wolfskin and
Sddekor. In 2004 Bain Capital, whose European deals have been a mix of midmarket and large, was able to buy Brenntag, a global distributor of industrial and
specialty chemicals, from Deutsche Bahn for around 1.5bn. It sold the company to
BC Partners only two years later for around 3.1bn including debts. In October 2007
Bain Capital accepted an offer by paint and stain maker PPG Industries for coatings
producer SigmaKalon at a price of around 2.2bn. Overall, about a third of its last
fund, Bain Capital Fund X, was invested in Europe.
The one, the many

Bain Capital has offices in Boston, New York, London and Munich, to which it
recently added Hong Kong, Shanghai and Tokyo. It employs 175 deal professionals
in the private equity division, of which only 16 are based in Europe. Although the
majority of Bain's efforts are geared toward private equity (through Bain Capital
Private Equity and its European affiliate Bain Capital Limited), the company also
dabbles in venture capital, public equity and leverage debt assets. Absolute Return
Capital (ARC) manages $600 million of capital in fixed income, equity and
commodity markets; Bain Capital Ventures, the venture capital arm, focuses on seed
through late-growth equity investments in technology companies; Brookside Capital
is Bain's public equity affiliate, targeting publicly traded companies with long-term
growth potential; and Sankaty Advisors invests in high-yield securities.
55
Bain Capital
Another clubber
Value-added
With its close ties to Bain & Company, it should come as no surprise that Bain
Capital's investment approach draws on its partners' consulting expertise. According
to the firm, its investment professionals evaluate companies on a "people-intensive,
consulting-based due diligence process" that looks at "financial performance, market
potential, industry attractiveness and competitive position." Once Bain invests in a
company, it takes an active role in improving the business.
GETTING HIRED
According to Dwight Poler, a managing director at Bain Capital in London, Some
firms franchised by hiring a local team, which may have lacked the credibility on the
investment committee at home. Others only sent people from the US to make sure
they had the experience and the trust back home, but found they lacked the reach and
experience locally. Bain Capital seeks professionals with a combination of deep local
expertise and international credibility. That may explain why half of the London
senior team graduated from Harvard Business School, with their first degree often
obtained at top French engineering schools.
Bain Capital doesnt disclose the profiles of the rest of the team, maybe to protect
themselves against competitors, maybe because the names change slightly faster than
usual in the industry, but some research shows the same top pedigrees as with the
senior team. To complement its investment team, the firm has been using operating
partners for more than fifteen years and currently has more than thirty of them
helping to improve the operations in the portfolio.
Unlike many private equity groups, Bain Capital has both a web site and a career
page ("careers" at www.baincapital.com). Candidates interested in working for the
buyout firm can learn more about current job openingsand applyonline. For
example, the company offers a two-year associate program in any of its offices, which
starts off with a multi-week training program designed to introduce newcomers to
Bain's "value-added" investment approach.
56
ADVENT
INTERNATIONAL
THE
BLACKSTONE
GROUP
345 Park Avenue
New York, NY 10154
Phone: +1 (212) 583-5000
investments, corporate partnerships and

industry consolidations
Types of financing:
Main: Majority equity
Other: Minority equity, Debt, Investment
in third party fund, Mezzanine, Shareholder loans
London office:
The Blackstone Group International Limited
40 Berkeley Square
London, W1J 5AL
U.K.
Phone: +44 (0)20 7451 4000
EUROPEAN LOCATIONS
www.blackstone.com
London (HQ) Paris
THE STATS
REST OF THE WORLD
Chairman and CEO: Stephen A.

Schwarzman
Employer Type: Listed company (NYSE)
Ticker Symbol: BX
Total private equity funds under management: 32.7bn (As of October 2007)
2007 Revenue: >$3bn
Employees: 500+ (of the 400 professionals, 98 work in private equity)
No. of Offices: 9
New York (HQ) Atlanta Boston

Los Angeles Hong Kong Mumbai
Tokyo
KEY COMPETITORS
Bain Capital Goldman Sachs KKR
Permira TPG
EMPLOYMENT CONTACT
COMPANY FOCUS
www.blackstone.com/careers
Sectors:
All, with a preference for out-of-favour,
under-appreciated industries
Financial stages:
Leveraged buyout acquisitions of seasoned companies but also transactions
involving start-up businesses in established industries, turnarounds, minority
57
THE SCOOP
B is for Big
The Blackstone Group got started in 1985 as an M&A advisory boutique with a staff
of four and a balance sheet of $400,000. Today, Blackstone controls or has a stake in
45 companies totaling $72 billion in revenue with 350,000 employees, making it one
of the four or five biggest private equity funds in the world. While the firm managed
a record $92 billion in 2007, a healthy $32 billion came from corporate private equity.
The group boasts expertise in a number of areasincluding corporate debt, real
estate, hedge funds, other asset management and advisory servicesbut its private
equity business has become its bread and butter. Blackstone's first buyout fund
closed in 1987 at $950 million, making it the largest first-time fund ever. Twenty
years later, in August 2007, Blackstone set another record when it established its $21.7
billion Blackstone Capital Partners V fund.

VINTAGE YEAR
FUND CAPITAL
Blackstone Capital Partners VI
2008
$20bn (target)
Blackstone Credit Liquidity Partners
2007
$2.1bn
Blackstone Capital Partners V
2007
$21.7bn
Blackstone Real Estate Partners V
2006
$5.25bn
Blackstone Capital Partners IV
2002
$6.45bn
FUNDS
In total, the firm has raised more than $36 billion across six private equity funds, and
as Blackstone's funds get larger, so do the deals. The $38.7 billion buyout of US real
estate firm Equity Office Properties Trust, completed in February 2007, was the
largest private equity transaction until the $45 billion acquisition in October 2007 of
TXU by KKR and TPG, itself followed by the announcement of a $51.7 billion
acquisition of BCE by Teachers a few months later.
In total, Blackstone has invested in over 114 companies worth more than $200 billion.
Its sheer size exposes it to the scrutiny of the public and the media. In July 2007,
Blackstone publicly denounced a front page article in The New York Times filled
58
In May 2007, China's government announced it had agreed to make a $3bn

investment in the Blackstone Group in the form of non-voting common units, giving
it close to 10 per cent of the shares. It was the first time Beijing has invested its foreign
reserve in a commercial transaction. In addition, it is understood that Chinas foreign
reserve agency has agreed not to invest in rival private equity groups for 12 months.
It is widely believed that by having China as a partner, Blackstone will receive
preferential access to China's market. For China, it may be a way to bypass the
restrictions that prevent it from making sensitive investments in Western countries.
Shortly after, Blackstone raised $4.1bn in one of the largest IPOs in history. However,
nine months after being issued to the public, shares in Blackstone languished at 35 per
cent below the $31 issuing price. In early 2008, Blackstone announced a $500 million
unit repurchase programme, explaining, We believe our common units are
undervalued. While the share price didnt recover, Blackstone reportedly sent, in the
first quarter of 2008, a fundraising prospectus to some investors for the new
Blackstone Capital Partners VI fund, with an unofficial target of $20 billion.
B-list industry investing

Blackstone invests in what it calls "out of favor" industries. Ignoring swings in
conventional wisdom about the attractiveness of certain sectors, Blackstone puts its
money in "B-list" industries such as cable television, rural cellular, refining and
automotive parts. The company's investment approach also includes partnerships
with leading corporations, such as AOL Time Warner, AT&T and Sony, rigorous due
diligence and an active role in monitoring portfolio companies. The firm has a
dedicated senior operating partner who is responsible for overseeing the strategic,
operational and financial performance of its investments, and employs former Clevel executives who act as advisors and board members.
Building blocks
In 2005, Blackstone completed the acquisition of Merlin Entertainment, an operator
of branded visitor attractions, for 102.5 million. The transaction indicated the firm's
seriousness about the leisure sector and, more specifically, European attractions and
theme parks. Two years later, the firm announced the deal with the Tussauds Group
to create the worlds second biggest visitor attractions operator after Disney. Merlin
now employs 13,000 people in 12 countries and across three continents and manages
a balanced portfolio of 51 attractions that includes iconic brands LEGOLAND,
59
with inaccuracies, myths, and misrepresentations that give a false impression of

Blackstones tax situation and that of its partners.
Madame Tussauds, British Airways London Eye, Sea Life, Dungeons, Gardaland and
Alton Towers.
In December 2006, Blackstone acquired Tragus Holdings, one of the largest midmarket restaurant chain operators in the UK, from Legal & General Ventures for
267m. In 2007, Tragus grew by acquisitions, first with the MA Potters sites followed
by the Strada pizza chain in a 140m deal. Despite missing the La Tasca tapas bar
auction, the enlarged Tragus now has over 230 outlets and is the leading player in the
French and Italian restaurant sectors.
In July 2007, six months after selling the Extended Stay Hotels to the Lightstone
Group for $8bn, Blackstone re-entered the hotel sector and took Hilton Hotels private
for $26bn in an all-cash transaction. Hilton Hotels Corporation is the leading global
hospitality company, with 2,896 properties totaling approximately 490,000 rooms in
76 countries and territories.
In Europe, the firm is also active in manufacturing. In December 2006, it paired with
PAI to acquire United Biscuits for 2.3bn. In May 2007, it bought Kloeckner
Pentaplast, the worlds leading manufacturer of rigid plastic films from Cinven for
1.3bn. It also partnered with the other buyout giants KKR, Goldman Sachs and TPG
to acquire Biomet in Poland in September 2007.
Another sector of interest to Blackstone is energy. In 2005, the private equity group
acquired an 80 percent stake in Sithe Global Power. Previous energy investments
include Premcor, Inc., a U.S. refiner of petroleum products (acquired by Valero in
2005); Texas Genco, a Houston-based wholesale electric power generating company;
Foundation Coal, a U.S. coal mining company; and Kosmos Energy, an oil
exploration company.
Going global
While Blackstone's primary market is North America, the New York-based firm has
increased its focus on Europe and Asia in recent years. The group opened an office
in London in August 2000, an outpost in Hamburg in September 2003, an office in
Mumbai in May 2005 and an outpost in Hong Kong in January 2007. To cover
Europe, the group also entered into a strategic alliance with Roland Berger Strategy
Consultants in February 2001. The partnership gave Blackstone access to intellectual
capital and local knowledge of key European markets. The firm is also expanding
into Eastern Europe and in 2007 invested a reported $178 million, as part of a $575
million MBO, for a 51 per cent stake in Lattelecom, the Latvian telecommunications
company majority-owned by the Latvian government.
60
Although Blackstone's private equity group has earned the firm an elite status, its
other divisions should not be discounted. The firm's M&A group, for example, has
had its hands in several high-profile transactions over the years, including two big
financial services deals. In 2000, Blackstone advised PaineWebber on its $10.8 billion
sale to UBS, and Alliance Capital Management on its $3.5 billion purchase of Sanford
C. Bernstein. In 2005, the firm advised Comcast on its $18 billion acquisition of
Adelphia Communications. In 2006, they opened an office in London to expand their
advisory service offerings beyond their U.S. base. And, in July 2007, Blackstone
advised China Development Bank on its plan to invest $14 billion for a stake in
Barclays PLC.
Mostly active in the U.S., Blackstone's restructuring department has advised
companies and creditors in more than 150 situations, involving $350 billion of total
liabilities. In an attempt to cut costs to avoid bankruptcy, Delta Air Lines hired
Blackstone to assist with its restructuring efforts. RCN Corporation switched from
Merrill Lynch to Blackstone for its financial restructuring negotiations with its senior
secured lenders. Blackstone also acted as lead advisor in the restructurings of both
Enron and Global Crossing.
A few years ago, the real estate group, operating out of the New York, London and
Paris offices, boasted that it owned more than 13 million square feet of real estate in
Boston, New York, San Francisco and Washington, D.C. With the recent inclusion of
Hilton, Equity Office and Trizec Properties, this number is now significantly
bolstered and the unit may have the largest real estate portfolio on the Street. The
total enterprise value of the 223 transactions effected by the real estate operations
from 1992 through September 30, 2007, was over $103 billion.
The marketable alternative asset management segment manages more than $40 billion
as of September 30, 2007. It includes funds of hedge funds, mezzanine funds, senior
debt vehicles, proprietary hedge funds and publicly-traded closed-end mutual funds.
Blackstone's corporate debt group is actually two businesses: Blackstone Mezzanine
Advisors and Blackstone Debt Advisors (BDA). These various vehicles have
aggregate capital commitments of over $11 billion. Blackstone's mezzanine funds of
$2.1 billion are among the largest of their kind and have investments in firms such
as Colt Defense LLC. BDA is a relatively new group (created in 2002) and manages
several CDO (Collateralised Debt Obligation) funds for investment predominantly in
senior secured loans. They include seven US CDOs ($4.7 billion) and four European
CDOs ($2.9 billion). And, to capitalise on the recent dislocations in the credit markets,
in December 2007 Blackstone closed a new Credit Liquidity Fund on $1.3 billion to
61
More than just private equity
invest globally in a broad range of debt and debt-related instruments, including

securities issued by CDOs.
Last but definitely not least is the Blackstone Alternative Asset Management unit
(headed by BAAM president and CEO J. Tomilson Hill), which had a staggering $27
billion of assets under management in funds of hedge funds as of November 2007.
In January 2008, Blackstone announced the acquisition of GSO Capital Partners, an
alternative asset manager that will bring its $10 billion under management in
mezzanine, credit, senior debt and CLO funds, as well as 120 professionals, for $1 billion.
GETTING HIRED
Most senior investment professionals had a career before joining Blackstone. While
a third of them went to investment banking, the recruiting is much more diversified,
with a significant proportion coming from industrial sectors. The main difference
with other players is the absence of accountants.
Half of the senior private equity team holds an MBA, predominantly from Harvard
and the other top US universities, as most of the team is still located in the US.
62
Higher Diploma
Masters (5%)
PhD/JD/MD (2%)
MBA (53%)
Source: Candesic

Banks (33%)
Other (60%)
Source: Candesic

15
12
9
Georgetown (3)
Columbia (3)
6
3
0
Stanford (4)
U-Penn (8)
Harvard (13)
Source: Candesic
3.0
2.5
2.0
Goldman Sachs (2)
1.5
JP Morgan Chase (2)
1.0
Citigroup (2)
0.5
0.0
Morgan Stanley (2)

Credit Suisse (3)
Source: Candesic
63
To learn more about job opportunities with Blackstone, check out the careers section
of the company web site. There, the firm provides information on summer
internships and campus recruiting, as well as experienced and international hiring.
The group hires recent undergraduates as analysts and recent MBAs as associates.
Recruiting typically takes place in the fall for full-time programs and in January for
internships.
US schools on Blackstone's campus schedule include Harvard, University of
Michigan, University of Pennsylvania, University of Texas at Austin and University
of Virginia. Students whose schools Blackstone does not visit can apply for these
programs online. The recruiting process typically involves an on-campus interview
followed by one or two rounds at the firm's New York office. Experienced hires can
contact the firm via an online application.
In Europe, recruitment is handled on a case-by-case basis. However, for those who
have relevant experience and local language skills where appropriate, or have
significant experience working in the relevant geographic region, they should contact
the London Human Resources department at recruitingeurope@blackstone.com or
visit the How To Apply section for more information on submitting an application
online. While Blackstone currently has nine offices in six countries, its private equity
group operates in London, New York, Hong Kong and Mumbai.
64
ADVENT
INTERNATIONAL
THE
CARLYLE
GROUP
1001 Pennsylvania Avenue, NW
Washington, D.C. 20004-2505
Tel +1 (202) 729-5626
London office:
Lansdowne House
57 Berkeley Square
London W1J 6ER
United Kingdom
Tel +44 (0)20 7894 1200
Financial stages:
Buyouts, venture capital, real estate, infrastructure
Types of financing:
Majority equity, participation, mezzanine,
leveraged finance
EUROPEAN LOCATIONS
www.thecarlylegroup.com
THE STATS
Chairman: Louis V. Gerstner Jr.
Managing partners: William E. Conway
Jr., David M. Rubenstein, Daniel A.
D'Aniello
Total private equity funds under management: $58bn in 2007 (9bn in Europe)
No. of Employees: 995 (560 investment
professionals)
No. of Offices: 29 in 21 countries
Barcelona Frankfurt London

Luxembourg Milan Munich Paris
Stockholm
REST OF THE WORLD

Washington DC (HQ) Charlotte
Denver Los Angeles New York
Newport Beach San Francisco Mexico City Sao Paolo
Beijing Hong Kong Mumbai Seoul
Shanghai Singapore Sydney Tokyo
Beirut Cairo Dubai Istanbul
COMPANY FOCUS
KEY COMPETITORS IN EUROPE
Sectors:
Aerospace & Defense
Automotive & Transportation
Consumer & Retail
Energy & Power
Healthcare
Industrial
Real Estate
Technology & Business Services
Telecommunications & Media
Bain Capital Blackstone CVC KKR

Permira TPG
EMPLOYMENT CONTACT
Europe: hreurope@carlyle.com
United States: hrusa@carlyle.com
Asia: hrasia@carlyle.com
Japan: hrjapan@carlyle.com
65
THE SCOOP
Carlyle talks baseball
With nearly $58 billion under management before the demise of Carlyle Capital Corp,
the Carlyle Group is one of the world's largest private equity firms. It was founded
in 1987 by David Rubenstein, William Conway, Jr., Daniel D'Aniello, Stephen Norris
and Greg Rosenbaum and named after the New York City hotel. Since then, the
group has invested around $20 billion of equity in more than 600 transactions. But
the Washington D.C. based company is quick to tell you that it doesn't "swing for
the fences"that is, go for home-runs. Instead, the group pursues a conservative
investment approach, preferring to hit more singles (and doubles and triples) with
fewer strikeouts. Indeed, Carlyle points to its caution as a trait that sets it apart from
competitorsthat, and its team of 560 investment professionals, with about 50 per
cent holding an MBA, and 15 per cent a JD, MD or PhD.
VINTAGE YEAR
FUND CAPITAL
Carlyle Partners V
2008
$15bn (target)
Carlyle Infrastructure Partners I
2007
$1.15bn
Carlyle European Partners III
2007
5.35bn
Carlyle Realty Partners V
2007
$3.00bn
Carlyle Partners IV
2005
$7.85bn
Carlyle European Partners II
2005
1.80bn
Carlyle Asia Partners II
2005
$1.80bn
Carlyle/Riverstone Energy III
2005
$3.80bn
Carlyle/Riverstone Renewable Energy I
2005
$0.68bn
Carlyle Mezzanine Partners I
2004
$0.44bn
FUNDS
Well connected
Carlyle has historically been famous for its political connections. Senior advisors have
included former US President George Bush Sr. and former UK Prime Minister John
Major. The controversy around its access to funds and government contracts led
66
Join the club

Although the group considers investments in a wide range of industries, it focuses
on a few key sectors, including telecom and media, real estate, aerospace, information
technology, energy and industrial. The firm dabbles in venture capital, leveraged
finance and real-estate, but the majority of its deals are management-led buyouts. In
the last three years, the group has increased the size of its investments to focus on
jumbo multi-billion dollar club deals with the likes of Blackstone and Kohlberg
Kravis Roberts (KKR). In September 2005, for example, the private equity group
joined forces with Clayton, Dubilier & Rice and Merrill Lynch Global Private Equity
to acquire Hertz, the world's largest vehicle rental group, from Ford Motor Company
for $15 billionbeating out other private equity groups vying for the investment.
Just a month earlier, in August 2005, the firm exited an investment in satellite
operator PanAmSat, which was sold to competitor Intelsat. Back in 2004, the Carlyle
Group, together with KKR and Providence Equity Partners, acquired PanAmSat for
$2.6 billion. The $3.2 billion price tag paid by Intelsat represents a $600 million gain
for the private equity consortium. What's more, the investors had already made
millions off the investment by taking 42 percent of PanAmSat public in an IPO that
raised $2.9 billion.
Recently, club deals have increased in size, as evidenced by the acquisitions in 2006
of energy infrastructure provider Kinder Morgan for $22 billion, with Riverstone
Holdings LLC, and Freescale Semiconductor with TPG, Blackstone and Permira for
$17.6 billion.
Carlyle is currently raising its biggest fund ever with a target of $15 billion for U.S.
buyouts. In 2007, it already raised a new 5 billion fund for European buyouts as
well as its first infrastructure fund. Geographically, the Carlyle Group is a global
company with 29 offices in 21 countries, and its European and Asian investments
already account for a third of its assets. According to Fortune, the buyout activities
boast an average annual return of 34 per cent. While private equity remains its focus,
Carlyle also manages various mezzanine and high yield funds. In 2007 the group
hired a variety of traders from defunct Amaranth Advisors and launched the Multi-
67
The Carlyle Group
Carlyle to review its portfolio and reduce its exposure to companies too dependent
on government contracts. It still boasts renowned advisors like Lou Gerstner, the
former CEO of IBM, and Arthur Levitt, the former Chairman of the SEC. Among its
investors, Carlyle counts CalPERS, which owns about 5.5 per cent since 2001, and,
since 2007, the Abu Dhabi sovereign fund, which took a 7.5 per cent stake that valued
the group at $20 billion.
Strategy Master Fund, its first hedge fund, with an opening value of $700 million.
The timing wasnt ideal and the performance in the second half of 2007 wasnt
impressive. In 2008, Carlyle was more deeply hit by the bankruptcy of Carlyle Capital
Corporation, its $22bn Euronext-listed credit (i.e., mortgage-backed securities) fund.
Carlyles CEO had been one of the first public figures to raise the alarm bell on the
exess levels of leverage, and the news came as a shock.
Eastern outlook
In 2005, the Carlyle Group announced a significant expansion of its pan-Asian
investment activities, with the opening of new offices in Beijing, Mumbai and Sydney.
In total, the Carlyle Asia buyout group has eight offices. In addition, it set up in 2006
the Middle East and North Africa (MENA) group with four offices.
The private equity group first got involved in Asia in 1998 when the firm acquired a
controlling stake in Korea's KorAm Bank for $450 million. In April 2004, KorAm was
sold to Citigroup for $2.7 billion, representing a $650 million profit for Carlyle and a
250 percent return on investment for the group's investors. So what is the group's
recipe for success? Combine a new CEO and management team with streamlined
operations, wait three to five years, then sell.
Old Europe
Carlyle is able to leverage its expertise in the defense & aerospace sector
internationally. In February 2003, it acquired a 30 per cent stake in British defence
research company QinetiQ for 150m, becoming a strategic partner with the U.K.
Ministry of Defence, the main shareholder. In 2006, QinetiQ was successfully floated
on the London Stock Exchange. In 2007 Carlyle sold its remaining 10 per cent stake
for 140m, contributing to a total profit of at least 240m from its four-year
investment in the company.
With 125 investment professionals, fifty of them dedicated to buyouts, the European
team is one of the largest among all private equity firms. While Carlyles European
transactions tend to be smaller than in the US, the group has been involved in several
landmark deals in Europe. In particular, in 2006, Carlyle partnered with Blackstone,
KKR, Thomas H. Lee Partners, Hellman & Friedman and AlpInvest Partners to
acquire Dutch publisher and market research giant VNU Group (Nielsen) for $10bn.
That same year Bayer sold H.C. Starck to Advent International and The Carlyle
Group for 1.2bn.
68
In 2007, Carlyles global portfolio included 200 companies across all activities, which
in turn employ more than 280,000 workers and have $87 billion in sales.
GETTING HIRED
The Carlyle Group offers opportunities for investment professionals, support
professionals, associates and senior associates. Investment professionals are involved
in the analysis, execution, monitoring and exit of private equity investments. Support
professionals are part of the investor services team, which encompasses accounting,
administration, corporate communications, human resources, information
technology, investor relations and legal.
Associates are typically recent
undergraduates with a strong GPA and two years of investment banking or
consulting experience. Associates at the Carlyle Group go through a formal twoyear program. Senior associates generally hold an MBA and have three to four years
of private equity, investment banking or consulting experience. Typical former
employers are McKinsey and BCG in consulting, and JP Morgan and Lazard in
investment banking. Candidates interested in applying for a position at the Carlyle
Group should send a resume and cover letter to the appropriate region (U.S., Europe,
Asia or Japan).
69
The Carlyle Group
In 2007, Carlyle took a participation of 35 per cent in Numericable and Completel,

alongside Cinven. It also acquired Arsys, the Spanish provider of web hosting and
domain registration services, with Mercapital for 160m, and the Spanish
Certification Group Applus+ for an enterprise value of 1.48bn in the second largest
investment undertaken by a Private Equity Fund in Spain to date.
Higher Diploma

Unknown (3%)
PhD/JD/MD (6%)
MBA (23%)
Masters (20%)
Source: Candesic

Banks (36%)
Other (50%)
Source: Candesic

8
7
6
5
ESCP-EAP (4)
HEC (5)
Cambridge (5)
INSEAD (6)
Harvard (7)
Source: Candesic
8
7
6
5
BCG (4)
Lazard (5)
JPMorgan (5)
McKinsey (5)
1
0
LaSalle Bank (7)

Source: Candesic
70
GENERAL ATLANTIC
Head office:
3 Pickwick Plaza
Greenwich, CT 06830
Tel: +1 (203) 629-8600
Types of financing:
Minority to majority equity in private and
public firms
UK office:
83 Pall Mall, Fourth Floor
London SW1Y 5ES, UK
Tel: +44 20 7484-3200
EUROPEAN LOCATIONS
www.generalatlantic.com
OTHER LOCATIONS
THE STATS
Greenwich (HQ) New York Palo

Alto Washington, D.C. (Portfolio support office) Hong Kong Mumbai
Sao Paulo (Portfolio support office)
London Dsseldorf
Chairman: Steve A. Denning

2007 Revenue: $6.9bn
2008 Assets under management: $17bn
No. of Employees: 150
No. of Offices: 9
COMPANY FOCUS
MOST IMPORTANT FUNDS
Sectors:
Financial Services
Media & Consumer
Healthcare
Enterprise Solutions
Communications & Electronics
Energy & Resources
GA operates with an evergreen fund

structure in which its partners make staggered long-term commitments.
Financial stages:
Investments range from $50m to $500m
in equity for growth, expansions, buyouts, consolidations and build-ups
Permira Summit Partners TA Associates TPG
EMPLOYMENT CONTACT
Phone: +1 (203) 629-8600
For additional contact information, check
the company website at www.generalatlantic.com
71
THE SCOOP
The Atlantic and beyond
Connecticut-based General Atlantic is a global private equity group with an exclusive
focus on information technology, process outsourcing and communications
investments. They invest not only in providers of information technology but also in
those companies for which technology is a key competitive differentiator. Founded
in 1980, the firm first began to seek investments outside the U.S. in the 1990s. Since
then, it has established offices in London, Dusseldorf, Hong Kong, Mumbai, Sao
Paulo and Singapore and has invested in more than 160 companies. Today, nearly
half of the firm's portfolio investments are foreign companies. General Atlantic
generally invests in eight to 12 companies per year, for an annual investment target
of $1 billion, and currently boasts over 50 companies in its portfolio. Its portfolio
includes holdings in Hewitt Associates, NYSE Euronext and Lenovo. All in, the tech
private equity group has around $15 billion in capital under management. The firm
distinguishes itself with its evergreen funding structure and its long-term investment
horizon. They only make investments where they believe that they can help the
management team build a market leader over five to 10 years.
Succession plans
In February 2005, co-founder and chairman of the firm's executive committee Steven
A. Denning was named chairman, and William E. Ford, a managing director and
chairman of the firm's investment committee, was named president. The two newlycreated positions reflect the company's succession plansDenning continues to
oversee strategy and capital raising, while Ford assumes responsibility for the group's
operations, continuing to manage its investment activities. Before joining General
Atlantic in 1991, Denning was a consultant with McKinsey & Co and Ford was an
investment banker with Morgan Stanley. They both received their MBAs from
Stanford.In the same month, General Atlantic announced a name change. The
company, previously known as General Atlantic Partners, dropped the "partners" to
reflect the fact that it is a limited liability company, not a partnership.
72
In February 2007, General Atlantic invested a rumored $800 million for Network
Solutions, the original domain name registrar that was part of Verisign before being
spun off in 2003. Since that time, theyve lost significant market share to discount
operations like eNom or GoDaddy. They now have about 6.6 million domain names
under management.
In May 2007, General Atlantic took a minority equity share in GETCO, a leading
electronic liquidity provider and trading firm. Two months later, it acquired Dutch
company GlobalCollect, the worlds premier full-service international e-payment service
provider, from Waterland Private Equity Investments and Prime Technology Ventures.
In Germany, in December 2005, the firm took a minority stake in Navigon, one of
Europe's leading suppliers of mobile navigation systems. It had also invested in
CompuGroup AG, LHS AG and TDS AG. General Atlantic, which had been a strategic
TDS partner since its 1998 IPO, increased its equity holding from 27 per cent to 71 per
cent in 2003 at 2.35 per share. In December 2006, it sold its stake to Fujitsu Services,
the European IT services arm of the Fujitsu Group, for a price of 2.80 per share.
The firm has also been active in the UK; they acquired a third of Torex Retail
Holdings Limited, the worlds leading provider of retail systems solutions with 2,100
staff across 19 countries, from Cerberus in August 2007. Torex provides software,
hardware and services to major UK retailers like Tesco, Selfridges and Argos. While
the terms of the transaction were not disclosed, Cerberus had bought it out of
administration in June for 204.4 million.
In 2006, the media reported that UK-based Northgate Information Solutions had
received several acquisition offers, one of which was believed to be a 600m offer
from General Atlantic, a minority shareholder. Shortly after, Northgate formally
terminated any discussions with a third party that may have led to its acquisition.
In December 2007, GA agreed to sell its stake to KKR, who paid 593m for the whole
of Northgate, a 40 per cent premium to the companys share price even after it
announced it was in bid talks again.
Altogether, in 2007 General Atlantic acquired twelve new companies for total capital
of $2.1 billion.
73
General Atlantic
In the pits
GETTING HIRED
While General Atlantic offers a few internships in the US, the European operations
with only thirteen investment professionals are too small to justify it.
The global team is heavily weighted with former investment bankers, mainly from
Morgan Stanley, and consultants, mainly from McKinsey, these two happening to
be the former employers of the Chairman and of the President.
General Atlantic does not provide information about job opportunities on its web
site. Interested individuals should contact the firm's offices directly.
Higher Diploma
PhD/JD/MD (1%)
Unknown (7%)
MBA (46%)
Masters (12%)
Source: Candesic

Banks (41%)
Other (37%)
Source: Candesic
74
General Atlantic

4.0
3.5
3.0
2.5
2.0
Stanford (2)
1.5
ESCP-EAP (3)
1.0
Oxford (3)
0.5
0.0
Harvard (4)
Source: Candesic
15
12
9
Deloitte (5)
Citigroup (5)
6
3
0
Goldman Sachs (5)

McKinsey (8)
Morgan Stanley (15)
Source: Candesic
75
GOLDMAN
SACHS
PRINCIPAL INVESTMENT
European Locations
AREA
Advent International plc
London SW1W 0SR
10-15
UK Newgate Street, Christchurch
Court
Tel: +44 20 7333 0800
London
EC1A
7HD
United Kingdom
Tel: +44 (0)20 7774 1000
www.goldman-sachs.ro/services/investThe Stats
ing/private-equity
Company
THE
STATS
Total private equity funds under
Co-heads
of PIA
Europe:
Sanjay
Patel
management:
about
11bn
(2008)
and
Hughes
Lepic
Head
of European
Private
Equity Group
of which
65 in Europe
(2008)
Europe:
Mark
Boheim
No. of Offices: 15
Employer Type: Division of publicly listed
Goldman Sachs (NYSE)
Ticker Symbol: GS
Total private equity funds under manageCompany Focus
ment: About $50bn (globally)
Employees:
85 (PIA in 2007)
Sectors:
No.
of Offices:
5 & Financial Services
Business
Services
Retail & Consumer
Healthcare & Life
Sciences
COMPANY
FOCUS
Industrial
Sectors:
All
sectorsstages:
Financial
Financial
stages:investments (up to 500m
growth equity
Bridge,
- development,
Large
equity),Expansion
some venture
capital
buyout ($150m-$300m equity), Mega
buyout
Types of(>$300m
financing:equity), Mid market
buyout
equity), Other
Majority($15m-$150m
equity
early stage, Privatisation, Public to pri-
76
London (HQ)
Amsterdam Bucharest Frankfurt
Kiev Replacement,
Madrid Milan
Paris
Prague
vate,
Seed,
Small buyout
Warsaw equity),
Bratislava
(affiliate)
Oslo
(<$15m
Start-up,
Turnaround
(affiliate)
restructuring,
Infrastructure, Funds of
funds
Types of financing:
Main:
Equity, Minority Equity,
Rest Majority
of the World
Mezzanine
Boston (HQ)
Tokyo Singapore (affiliate) Buenos
Aires Sao Paulo Mexico Further
EUROPEAN
LOCATIONS
affiliates in five other countries
London
Key Competitors
REST
OF THE WORLD
3i Apax
Barclays
Private
Equity Hong
New
York (HQ)
San
Francisco
Cinven
Montagu
Kong
Tokyo
Employment
Contact IN EUROPE
KEY
COMPETITORS
In theCapital
US: info@adventinternational.com
Bain
Blackstone Carlyle
For other
offices,
see "contact us" at
KKR
Permira
TPG
CAREERS CONTACT AND WEBSITE

peg@gs.com (Private Equity Group)
http://www2.goldmansachs.com/careers/
Goldman Sachs, the pre-eminent investment bank, has been an active private equity
investor for more than twenty years. Since 1986, Goldman Sachs' Principal
Investment Area has formed 13 investment vehicles aggregating $56 billion of capital
and investing in over 600 companies. The firms Principal Investment Area has over
125 professionals split across offices in New York, San Francisco, London, Hong Kong
and Tokyo, with separate divisions handling different classes of investments, namely:
VINTAGE YEAR
FUND CAPITAL
GS Capital Partners VI
2007
$20.3bn
GS Mezzanine Partners 2006
2006
$9bn
GS Infrastructure Partners I
2006
$6.5bn
GS Capital Partners V
2005
$8.5bn
GS Mezzanine Partners III
2003
$3.5bn
FUNDS
Goldman Sachs Capital Partners is the private equity arm of Goldman

Sachs, dealing with privately negotiated equity investments
Infrastructure Investment Group manages Goldmans infrastructure fund,

aimed at making direct investments in infrastructure or infrastructure
related assets
Goldman Sachs Mezzanine Partners manages the largest dedicated

mezzanine fund in the world, and looks to provide mezzanine finance to
large complex deals
Real Estate Principal Investment Area, through the Whitehall Funds, has
raised around $24 billion to invest alongside partners in real estate assets
Real Estate Alternatives currently manages a single fund with $650 million
allocated to identifying interesting real estate investments
77
THE SCOOP
Technology Principal Investment Area invests from various funds,

including GS Capital Partners VI, targeting technology companies in all
stages, investing anywhere from $2 million in early stage ventures to $250
million in mature private equity situations
Urban Investment Group is the primary investment vehicle for Goldman

Sachs to invest in companies owned or operated by ethnic minorities, or
real estate developments targeting urban areas
Goldman Sachs Private Equity Group mainly manages funds of private

equity funds, although also makes secondary and direct co-investments
Rise of the traders

Established in 1991, the GS Capital Partners Funds are part of the firm's Principal
Investment Area in the Merchant Banking Division. Goldman Sachs Capital Partners
is the direct private equity arm of Goldman Sachs, having invested $17 billion in the
twenty years from 1986 to 2006.
In 2005, GS Capital Partners closed their fifth fund at $8.5 billion, with 30 per cent
coming from Goldman, in line with their proprietary investment approach. Shortly
after, the fund teamed up with Cinven to acquire Ahlsell AB, the Nordic distribution
business, in a deal that is estimated to have valued the company at 1.4 billion. It
also bought wind generation company Zilkha Renewable Energy and sold it two
years later as Horizon Wind Energy to Portugals largest utility, EDP, for more than
$2.1 billion, with a profit of $900m.
That same year, Richard Sharp, then European head of the principal investment area,
was nominated as one of the 100 most influential people in European capital markets
by The Financial News. In the UK, Sharp and his team had been aggressively targeting
companies such as BAA, ITV, AB Ports, London & Continental Railways and
Mitchells & Butlers pubs, threatening them with takeovers. In the case of ITV,
Goldman, together with Blackstone and Apax, intended to replace the chief executive
with their own candidate. When the ITV board rejected the consortiums offer, they
appealed directly to shareholders. At one point, Goldmans top management realised
the danger of too aggressive a move, especially when competing with and upsetting
its investment banking and private equity clients. In 2006 former CEO Paulson called
off the London dogs and Sharp stood down as chairman for Private Equity.
Members only
Invariably, Goldman's success raises questions about conflicts of interest. Will the
firm be tempted to keep the sexiest deals for itself? The management argues that they
78
Goldman doesnt always hunt in herds. In 2005 for example it snapped up the cable
company Pirelli, now renamed Prysmian Cables & Systems, for 1.3 billion,
outbidding Bain Capital and Texas Pacific. But most of the significant transactions are
club deals. Back in 2002, a consortium made up of Texas Pacific, Bain Capital and
Goldman Sachs bought Burger King from Diageo, the British drinks company, for
$1.5 billion. After bringing in new management and streamlining the operations, the
three firms raised $393 million through an IPO in 2006, retaining a majority stake in
the company.
Other recent club deals include: the 2005 privatisation, along with EQT, of ISS, a
Denmark-based integrated service company, for DKK 22.1 billion (2.97 billion); the
2006 take private of Kinder Morgan, a pipeline company, with the Carlyle Group
and Riverstone Holdings for $22 billion; and that same year, the acquisition of Lindes
forklift division KION Group together with KKR for 4 billion. In 2007, GS Capital
Partners teamed up with TPG Capital in an offer to buy telecommunications giant
ALLTEL for nearly $25 billion in the largest ever leveraged buyout at that time.
Also in 2007, Goldman and KKR agreed to the $8 billion buyout of upscale audio
equipment maker Harman International Industries. In a sign of the changing times
and amid tightening global credit conditions, the two bidders decided later that year
to pull out, invoking a clause regarding "a material adverse change in Harman's
business. In October they agreed with Harman to end their buyout and instead buy
$400 million of the companys bonds.
In 2007, GS Capital Partners closed its sixth fund, GS Capital Partners VI, at a cool $20
billion, $9 billion of which came from within Goldman itself. GS Capital Partners
does not focus on specific sectors, but has traditionally targeted the $1 billion plus
mega-deals. In September of 2007, Goldman announced that the new VI fund would
see a shift in strategy, moving away from the blockbuster deals that the credit crunch
has all but halted and towards smaller investments, ideally Private Investments in
Public Entities (PIPEs). The change in deal size will not slow the pace of investment
though, with the $20 billion pool of money expected to last only two to three years.
Universal soldier
The firm is also a leading player in the mezzanine area. In 2006, GS Mezzanine
Partners closed their fourth fund, GSMP 2006, with a staggering $9 billion of
79
rarely pursue deals on their own but rather in club deals. Moreover, they demonstrate
their commitment to the clients in investing alongside them while helping them raise
the funding for their acquisitions.
committed capital, making it the largest mezzanine fund in the world. The fund will
target the Americas and Europe, making large mezzanine investments from $40
million to $500 million. The firm invests in leading companies with enterprise values
ranging from $500 million to $10 billion, aimed at partnering with sizeable equity
investors to structure complex transactions.
Goldman Sachs Private Equity Group (PEG) is a leading investor in private equity
funds, while also retaining the capacity to act as a co-investor for particular direct
investments. The PEG manages over 16 billion, with over 85 professionals, and
primarily invests in PE funds from the US, Europe, Latin America and Asia, with a
variety of strategies and sector focuses. The PEG is subdivided into three separate
programmes: GS Private Equity Partners is the global primary fund of funds; GS
Vintage funds participate in secondary market transactions and portfolios of direct
investments; GS Distressed Opportunities focuses on distressed debt and equity
investments in private equity partnerships.
GETTING HIRED
The Merchant Bank division offers 10-week summer analyst and associate internships
in its locations worldwide. This represents a couple of positions in the London PIA.
Interns get an opportunity to learn about principal investing activities and increase
their chances to get invited to interview upon graduation.
The division recruits undergraduates as analysts, graduates as associates and some
experienced hires. Their background and previous academic and professional
achievements tend to be stellar. Analysts go through a two- to three-year program
while associates start with a five-week trainee program to refresh the theory and
familiarise them with the tools and the working environment. Analysts and
associates are assigned a mentor to assist in their professional development.
Goldman Sachs is universally famous for the quality of its recruiting services. Its no
different in merchant banking. They hire the best of the best, after a long process
where candidates meet a number of employees proportional to their prior experience.
Strong achievers from any background have their chance but somehow, they tend to
be Oxbridge or Harvard graduates with a stint at Bain or McKinsey. Candidates
interested in joining the private equity area will find all information at
www.goldman-sachs.ro/careers/our-firm/divisions/mbd/index.html
80
KOHLBERG
KRAVIS ROBERTS
& CO. (KKR)
Head office:
9 West 57th Street
Suite 4200
New York, NY 10019
Phone: +1 (212) 750-8300
Fax: +1 (212) 750-0003
London office:
Stirling Square
7 Carlton Gardens
London SW1Y 5AD
+44 (0)20 7839 9800
Paris office:
24 rue Jean Goujon
75008 Paris
+33 (0)1 53 53 96 00
www.kkr.com
Consumer Products
Energy & Natural Resources
Financial Services
Health Care
Industrial
Media & Communications
Retail
Technology.
Financial stages:
Leveraged buyouts
Types of financing:
Majority equity, co-investment in majority equity, debt
EUROPEAN LOCATIONS
London Paris
THE STATS
Founding Partners: Henry Kravis &
George Roberts (Jerome Kohlberg left in
1987 and founded Kohlberg & Co.)
Chief executive: Johannes Huth
Total equity assets: 86bn (As of October 2007)
No. of Employees: 400
No. of Offices: 6
REST OF THE WORLD
COMPANY FOCUS
EMPLOYMENT CONTACT
Sectors:
(Organised into nine primary industry
groups globally)
Chemicals
London: +44 207 839 9800

New York: +1 212 750 8300
Menlo Park: +1 650 233 6560
New York Menlo Park Hong Kong

Tokyo

Bain Capital Blackstone Goldman
Sachs Permira TPG
81
THE SCOOP
Head honcho
Kohlberg Kravis Roberts & Co., commonly known as KKR, is a recognised leader in
the private equity world. Founded in 1976, the firm quickly built a reputation for
itself as both innovator and head honcho. Its achievements include the first billiondollar buyout transaction, the largest buyout transaction over two decades and still
the largest ever in real dollars (RJR Nabisco for $31.4 billion in 1987), the largest
buyout in Europe and two of the largest Canadian buyouts. All in, KKR has
completed more than 160 transactions worth $410bn. The private equity guru
employs 100 professionals based in New York, Menlo Park, London, Paris, Hong
Kong and Tokyo. Of these, 26 are what the firm calls "members," who have an
average of 16 years with the firm. In 2007, the firm owned 40 companies that
generated more then $100 billion revenue with 560,000 employees. The firm is very
strong in Europe where it controls or owns stakes in 18 companies with about $50
billion in total revenue.
VINTAGE YEAR
FUND CAPITAL
KKR European fund III
2008
8 (target)bn
KKR Millennium II
2007
$16.6bn
KKR PE Investors (Euronext Amst.: KPE)
2006
$5.3 (NAV)bn
KKR European Fund II
2005
4.5bn
KKR Financial (NYSE: KFN)
2004
$18 (NAV)bn
FUNDS
The KKR way

So what's the secret behind KKR's success? For one, the firm has a long-standing
reputation that works to its advantage when going after deals. KKR also boasts a
network of key relationships in "Main Street" industries, as well as throughout Wall
Street. Diversification is another key factor for the private equity group, which has
invested in both fledgling start-ups and established corporations, traditional
industries and less conventional sectors. The firm's industry experience includes
chemicals, communications, consumer products, energy, financial services, health
care, homebuilding, hospitality and leisure, industrial and manufacturing, media
82
The next frontier

The private equity firm's European division has been busy in recent years. The
London-based team led by Johannes Huth added a new record with the biggest
private equity transaction ever in Europe, an 11 bn ($22bn) acquisition of AllianceBoots in 2007, the leading pharmacy network in the UK. However, the majority of
KKRs eighteen European acquisitions have been outside of the UK, with current
portfolio companies in several countries: Legrand, an electrical device manufacturer,
Tarkett, a flooring products company, and PagesJaunes, the French directory
provider, were all acquired through the Paris office, which was only established in
2005; in the Netherlands, KKR owns five companies including NXP, Maxeda and
Nielsen; in Germany, KKR owns another five companies including Kion Group and
the ProSeibenSat1 media company; in addition, the firm owns TDC, the Danish
telecom operator.
One of the group's earliest acquisitions, banking information systems specialist Wincor
Nixdorf, has staged a remarkable turnaround. Wincor more than doubled its worker
force after KKR took over in 1999, and the company recently ranked No. 8 in German
job creation between 2000 and 2005. Since going public in 2004, Wincor posted an
annualised return above 50 per cent. Still, KKR would do well to proceed with caution
in Germany, as the current attitude toward foreign buyout firms is none too friendly.
Franz Muntefering, chairman of the Social Democrats, likened private equity firms
such as KKR to "swarms of locusts sucking the substance" from German companies.
Asia is one arena in which KKR is not a top dog. While competitors like the Carlyle
Group have been in Asia since the late 1990s, KKR has been late to get into the mix.
That has changed in the last two years with the opening of offices in Hong Kong and
Tokyo, and several recent investments in Asia.
83
and retail. KKR dealmakers are divided into these 11 industry groups, which focus
on 100-day plans. Yet another reason for KKR's success is its long-term view: the
firm's average investment period is seven years, although the firm has held a handful
of companies for more than 10 years. Finally, KKR brings a certain level of expertise
to the table in terms of managing its portfolio companies. This know-how includes
the ability to attract strong management, "incentivise" management and employees,
pursue acquisitions and divestitures, arrange financings, provide effective oversight
and maximise value when exiting investments. Most importantly, the firm boasts an
annual rate of return of roughly 27 per cent according to Fortune. In 2000, KKR
launched Capstone, a consulting firm that works exclusively for them and helps with
improving operations and measuring company performance.
On the selling block

Specialty publishing and targeted media company Primedia is one of KKR's longest
running investments. The private equity group has made a number of investments,
dating back to 1989 when Primedia was first getting its feet on the ground. In fact,
the media company was originally known as K-III Communications, reflecting the
start-up's financial backers (KKR). As of late, Primedia has been engaged in a fair
amount of buying and selling, beefing up its portfolio of magazines while selling off
key assets. A major sale came in 2005, when Primedia sold its About.com web site
to The New York Times Company. Other transactions that year include the sale of
Bankers Training & Consulting Company to BAI, the acquisition of the Auto Interiors
Exposition & Conference from VNU, and the purchase of NHU Publishing. The next
year, it sold Gems Group to Aspire Media's Interweave Press. It also announced the
discontinuation of its Education Segment and retained Goldman Sachs and Lehman
Brothers to explore the sale of its Enthusiast Media segment (PEM), the No. 1 special
interest magazine publisher in the U.S. In 2007, it had already sold its hunting,
shooting and fishing titles to InterMedia Partners and Films Media Group (FMG) to
Infobase Publishing Co. In August, PEM was finally sold to Source Interlink
Companies for close to $1.2bn.
Toy story
KKR may not have competitors. Lately, it has been partnering with the other buyout
giants, for example the joint acquisition with Blackstone, Goldman Sachs and TPG of
Biomet in Poland in September 2007, or with Permira in December 2006 to acquire
ProSiebenSat1 in Germany. KKR is not new to partnering: in 2005 for example, the
private equity group teamed up with Silver Lake Partners to acquire Agilent's
semiconductor business for $2.65 billion and with Permira to buy SBS Broadcasting
S.A. for approximately $2.55 billion. That year also marked the completion of the $6.6
billion acquisition of Toys R Us. Originally, KKR had planned to go it alone,
targeting the retailers toy business by itself, but later joined forces with Bain Capital
Partners and Vornado Realty Trust to buy the whole company (including its babyproducts stores). Experts say part of the retailer's appeal was its real estate, which
includes 1,500 stores around the world, with 681 in the U.S.
While stockholders clearly had faith that the takeover was a good thing for the
company (the stock increased dramatically prior to the completion of the deal), others
remain skeptical about the investors' ability to turn things around. For one, Toys R
Us faces increasing competition from the likes of Wal-Mart and Target. Furthermore,
the bricks and mortar retailer has yet to find an online strategy that works. A new
issue came in 2007 as the company, as well as the rest of the U.S. toy industry, faced
84
The year of the mega deals

In 2007, KKR partnered with Clayton, Dubilier & Rice to complete the acquisition of
U.S. Foodservice from Ahold in a $7.1bn transaction, and with Goldman Sachs and
Citigroup to acquire Dollar General for $7.3bn. It also partnered with TPG for a new
record with the acquisition of Dallas-based energy company TXU Corp. in a
transaction valued at $45bn. The company, previously listed on the New York Stock
Exchange and the Chicago Stock Exchange, was renamed Energy Future Holdings
Corp., a holding company with three separate and distinct business units with
separate boards, management teams and headquarters: TXU Energy, a competitive
electricity retailer; Luminant, a competitive power generation business; and Oncor,
a regulated electric distribution and transmission business. With this operation, KKR
regained the crown for the largest buyout from arch-rival Blackstone before losing it
again a few months later following the announcement of the $51.7 billion acquisition
of Canadian Telco BCE by Teachers (the Ontario Teachers' Pension Plan).
Gate closed
After the credit crunch of 2007, business had to slow down. The difficulty to finance
or refinance the debt led to the sudden death of multi-billion dollar LBOs. No one
knows how long it may last, but firms like KKR are forced to pursue smaller targets
or focus on their existing portfolio. The day before Christmas, KKR announced the
acquisition of Northgate Information Solutions, a provider of specialist software,
outsourcing and information technology services, and a market leader in human
resource and payroll processing, for approximately 593 million. This ends a long
saga that commenced a year earlier with the termination of takeover discussions with
its largest shareholder, General Atlantic, for a rumoured 600 million. Northgate
works on one in three UK workers' salaries and fields most 999 calls made to the
police; its long-term contracts, recurring revenue and high levels of cash flow were
particularly attractive to private equity companies.
Defectors at the gate

KKR prides itself on a low turnover rate among its employees, which is why the firm
was not very happy to lose many of its original partners, including Saul Fox, Ted
Ammon, Ned Gilhuly, Mike Tokarz and Scott Stuart who were instrumental in
establishing KKR's reputation and track record in the 1980s. Scott Stuart and Edward
Gilhuly left the firm in September 2005 in order to start their own investment fund.
85
intense scrutiny after global recalls of millions of toys made in China over excessive
lead paint levels that sparked safety concerns.
Insiders suspect that the move may have been triggered by the founding generation's
reluctance to give up the reins. KKR is run by Henry Kravis and George Roberts,
both 63 with no plans to retire, and is considered one of the most closely controlled
private equity firms in the business. Stuart and Gilhuly, roommates at Stanford
Business School, told The Wall Street Journal that their departure had nothing to do
with the founding partners, describing Kravis and Roberts as "fully engaged and the
right guys to run KKR". Two years later, some people still wonder if KKR has spent
sufficient time dealing directly with succession.
What next? Over the years, KKR has expanded beyond equity financing for buyouts
and has launched several credit vehicles, including KKR Financial, listed on the
NYSE. In 2006, it successfully raised more than 4 billion with the public listing of a
fund on Euronext Amsterdam. In June 2007, KKR filed a registration statement with
the SEC for a proposed $1.25bn IPO of its common units representing limited
partner interests in its partnership. The firm intended to apply to list its common
units on the NYSE under the symbol KKR. While the firm filed an amended
prospectus six months later in November, following the bad performance of
Blackstones IPO, the credit crunch and the losses in the mortgage holdings of KKR
Financial, KKR's publicly traded affiliate, it is still yet to happen.
GETTING HIRED
KKR does not provide employment information on its web site. Its staff in Europe are
typically former employees from the likes of Goldman Sachs and McKinsey (the latter
at Capstone in particular), most with an INSEAD or Harvard MBA. Candidates
interested in working for the private equity firm in Europe should contact the firm
directly at its offices in London and Paris.
86
TPG
301 Commerce Street, Suite 3300
Fort Worth, TX 76102
United States
Tel +1 (817) 871-4000
London office:
2nd Floor, Stirling Square
5-7 Carlton Gardens
London, SW1Y 5AD
United Kingdom
Tel +44 (0) 20 7544 6500
Growth and TPG Biotechnology add

value to companies in their early and
growth stages.
Types of financing:
Private equity, venture capital, public equity and debt investing
EUROPEAN LOCATIONS
www.tpg.com
London Luxembourg Paris

Moscow
THE STATS
REST OF THE WORLD
Managing Partners: David Bonderman,

Jim Coulter & Bill Price
Private equity assets under management:
$50bn
No. of Employees: 150+ investment professionals
No. of Offices: 17
Fort Worth (HQ) Menlo Park Minneapolis New York San Francisco
Washington, D.C. Beijing Hong
Kong Mumbai Shanghai Singapore
Tokyo Melbourne
COMPANY FOCUS
Sectors:
Industries undergoing change created by
industry trends, economic cycles or specific company circumstances

Bain Capital Blackstone Goldman
Sachs KKR Permira Apax
EMPLOYMENT CONTACT
Phone: +44 (0) 20 7544 6500
Financial stages:
Through TPG Capital, global public and
private investments executed through
leveraged buyouts, recapitalizations, spinouts, joint ventures and restructurings.
The firms growth platforms, TPG
87
THE SCOOP
On a roll
Founded in 1993, TPG is a leading private equity firm with some $50 billion in assets
under management and more than 120 transactions under its belt. The companies in
its portfolio represent a total of about 500,000 employees. These days, say insiders, the
firm is bigger and busier than ever. Of late, TPG has partnered with other firms to
buy luxury retailer Neiman Marcus; a stake in Lenovo Group, Chinas largest
computer maker; SunGard Data Systems and, together with KKR, TXU, which was
shortly the largest LBO since the RJR Nabisco buyout in 1989. The firm also invested
in Washington Mutual, purchased Midwest Airlines and Canadian pharmaceutical
company Axcan. In 2006, the company closed its fifth fund at $15 billion of capital
commitments, a significant landmark for TPG considering it launched its first fund
in 1993 with $720 million. It was also the most active private equity player in 2006
as it struck deals worth about $101 billion.
Buyout funds
VINTAGE YEAR
FUND CAPITAL
TPG Partners V
2006
$15bn
TPG Partners IV
2003
$5.8bn
FUNDS
In the past, TPG has pursued distressed companies, the ones other investors wouldn't
get anywhere nearthink Burger King. These days TPG is also focusing on
distressed investing now that take private transactions are very difficult in the current
credit environment. Up until recently, more than half of the group's capital had gone
toward high-quality, low-risk investments such as SunGard, Neiman Marcus and
Petco Animal Supplies. Investments have included technology (Seagate Technology),
consumer products (Ducati), retail (J. Crew), airlines (Continental), media
(Univision), entertainment (Harrahs) and energy (Energy Future Holdings
formerly TXU, Texas Genco Holdings). Its previous experience in the utility sector
was less fortunate as it failed to buy Portland General Electric in 2005 because of a
pushback from the Oregon Public Utility Commission.
88
From the very beginning, TPG showed a distinctive ability to identify lucrative
investment opportunities, which started with Continental Airlines in 1993. With a
new management team focusing on lucrative business and a better aircraft utilization,
TPG generated an 81 per cent gross IRR. TPG's total return on its $64 million
investment was nearly $700 million. TPGs interest in airlines has been a constant
feature over the last 15 years. The firm also invested in America West Airlines and
Singapore airline Tiger Airways Pte and, in 2007, TPG acquired Midwest Air Group
in a $451 million transaction backed financially by Northwest Airlines.
Outside of the US, airlines have been more difficult to acquire. In 2007, TPG was
unable to get the necessary shareholder approval and failed to acquire Australian
airline Qantas. In May 2007, it was said to be bidding for at least 39.9 per cent of
Italys state-controlled airline Alitalia along with MatlinPatterson and Mediobanca
for a reported 5bn. It has finally thrown in the towel in November, after failing to
put together a consortium with a majority of Italian investors. In 2007, TPG led
another consortium including British Airways to acquire Spanish airline Iberia for a
reported 3.4bn, but officially withdrew in December.
Go Europe
TPG is based in the Lone Star State, although the private equity group is no ingnue
when it comes to the rest of the world. Out of its 17 offices, four are in Europe and
seven in Australasia, most of them opened in the last three years. In fact, TPG was
one of the first major U.S. private equity firms to establish a European business; past
transactions include Ducati Motor, Punch Taverns, Scottish & Newcastle Retail and
Findexa. In 2003 and 2005, TPG won Thomson's European buyout deal of the year
for its acquisitions of UK retailer Debenhams for 1.7 billion, and the first buyout in
Greece with the acquisition of 81 per cent of TIM Hellas for 1.1 billion. Debenhams
was floated on the London Stock Exchange in June 2006 and TPG remains the
companys largest shareholder. TPG realised strong gains on its investment in TIM
Hellas when the company was sold to Weather Investments in February 2007. Finally,
in October 2006, TPG took a 42 per cent stake in French television firm TDF.
And that was it. According to FinancialNews, TPG has failed to win the 40bn worth
of European deals it bid for in 2007. Still, 2007 was a good year for TPG. In spite of
all the turmoil in the market, the company managed to close the largest buyout ever
at the timeTXU (now called Energy Future Holdings). It also finalised several
billion plus in other deals: the acquisition of Sabre Holdings with Silver Lake for $5.4
billion; the acquisition of Harrah's Entertainment with Apollo for $31 billion; the
89
TPG
Evolution
acquisition of business communications specialist Avaya, again with Silver Lake, for
about $8.3 billion; and finally, the privatization of Alltel for $27 billion, together with
GS Capital Partners.
More hits than misses

When you take a gamble on down-and-out companies, you're bound to have some
misses from time to time. Some of TPGs lower-returning investments include Gate
Gourmet Group, Bally and Ducati Motor, but these have still proven to be quite
profitable for the firm. In 2004, TPG and another private equity group sold off Petco
for a gain of nearly six times their initial investment of $190 million just four years
earlier. And Burger King, bought in 2002, looks like a success story. By mid-2005, the
franchise had already earned more money than it had in all of 2004. In May 2006, the
IPO was a success and in February 2007 TPG recovered its initial investment by
selling some shares. TPGs third fund is one of its most successful.
Rumor has it that, like other major private equity firms, TPG has been scrutinizing
the Blackstone $4bn IPO and is exploring the sale of a minority stake in the firm or
even a public offering. In a December 2007 interview with Reuters, managing partner
David Bonderman stated that, while he has no immediate plans to take his firm
public, he expects that most major private equity firms will probably be public
companies within five years. "Being public is not my favorite thing," Bonderman said,
and I hope that TPG will be one of the last ones. In the meantime, as of April 2008,
TPG is nearing a deal to buy a $5 billion stake in a public company: troubled
mortgage lender Washington Mutual.
GETTING HIRED
TPG doesnt disclose the profiles of its team. Insiders tell us that the London team is
diverse, with a majority of investment managers hired from other private equity
firms or from investment banks.
Candidates interested in learning more about job opportunities with TPG should
contact the office of their choice at www.tpg.com/contact.
90
3I
ADVENT
GROUPINTERNATIONAL
16 Palace Street
London SW1E 5JD
United Kingdom
Tel: +44 (0)20 79 28 3131
Types of financing:
Main: Majority Equity
Other: Minority Equity, Debt, Investment
in third party fund, Mezzanine, Shareholders loans
www.3i.com
EUROPEAN LOCATIONS
THE STATS
CEO: Philip Yea
Employer Type: Public listed company
(LSE)
Ticker Symbol: III
Total private equity funds under management: 10.7bn (As of March 2007)
2006 Revenue: 4.15bn
2005 Revenue: 4.18bn
Employees: 750 investment professionals
in 2008
No. of Offices: 24 in 14 countries
Amsterdam Barcelona Copenhagen

Frankfurt Helsinki London Lyon
Madrid Milan Munich Paris Stockholm Stuttgart Zurich
REST OF THE WORLD

New York Menlo Park Beijing
Hong Kong Mumbai Shanghai Singapore
KEY COMPETITORS
COMPANY FOCUS
Sectors:
All sectors, with specialist global teams in
Oil
Gas & Power
Technology
Media
Business Services
Financial Services
Healthcare and Consumer.
Advent International Apax Barclays

Private Equity Bridgepoint Montagu
EMPLOYMENT CONTACT
www.3i.com/careers/current-opportunities.html
Financial stages:
Mid-market buyout up to 1 bn equity),
Growth Capital, Infrastructure and
Quoted Private Equity.
91
THE SCOOP
With 750 professionals, 3i is one of the largest European private equity companies by
assets under management and the largest by number of transactions. In 2006, the
company had 10.7 billion under management and in the last five years has
completed 400 trade sales and 46 public offerings. The firm is a true generalist and
along with being one of the oldest British firms, it is probably the most diversified.

VINTAGE YEAR
FUND CAPITAL
3i eurofund V
2006
5bn
3i eurofund IV
2004
3.3bn
3i eurofund II
1999
2bn
FUNDS
A brief look into the past

In 1945 the demand for risk capital for growing independent businesses in the United
Kingdom was quite high. Back then, William Piercy was the first to lead the 3i Group
in England.
In 1967, the firm made its first venture capital investment by buying a share of Oxford
Industries for 90,000, which it went on to sell for 4.7 million. In the following years,
3i invested mainly in Europe, the US and Japan and was listed on the London Stock
Exchange in 1991 with a market capitalisation of 1.5 billion. Shortly after, the
company was listed on the New York Stock Exchange, and at its current value of 6.5
billion is the only private equity firm included in the FTSE 100.
In 1999 the company raised 2 billion for its second European fund. 3i was badly hit
by the technology bubble burst of 2000 and in 2001 restructured its organisation
towards a three sector strategy, in order to efficiently develop each business unit:
Buyouts, Growth Capital and Venture Capital. In 2005, 3i sold the worlds largest
foreign exchange specialist Travelex for 1 billion to Apax, generating a 10 times
return on investment. It had bought the company on 30 December 1998just days
from the formal introduction of the Euro that many thought would destroy the
business. Recently, 3i launched its fifth and largest European fund, with 5 billion of
committed capital.
92
The venture capital unit operates in Europe and the United States, investing between
1 million and 75 million per transaction. Its main focus is on start-up and earlystage operations.
Today, the rest of the private equity business is divided into Growth Capital and
Buyouts, with the newly formed Infrastructure and QPE groups completing the picture.
Growth Capital focuses on minority holdings in emerging markets such as

Asia. The team normally invests between 10 million and 150 million per
transaction and is currently the fastest growing division of 3i.
Buyouts is the largest team with 90 professionals. It takes controlling

positions in European mid-market companies and has achieved an
impressive 40 per cent yearly IRR since 2001.
The Infrastructure team invests amounts of 70 to 400 millions in

infrastructure assets, defined as asset-intensive businesses that provide
essential services over the long term, often regulated or with significant
long-term contracts
The newly formed QPE team or quoted private equity unit will invest in
majority holdings of mid sized companies with enterprise value of 100
million to 2 billion. The infrastructure unit is truly global whereas the QPE
team operates in Europe only.
93
3i Group
Presence in all stages of private equity
While growing in size and reach, the company remains committed to the mid-markets
and won the Private Equity News mid-market firm of the year award in 2006.
There is also an SMI team of 17 professionals that manages minority holdings, with
a combined market value of 600m, in more than 250 British and German small
companies.
Thanks to its long existence and to the diversity of its geographic, sector and
financing experience, 3i offers a rare access to the widest range of local business
communities, entrepreneurs, experts and multinationals.
Expansion plans
3i expanded early throughout Europe, and for the last 10 years, the focus has been on
developing their presence in Asian and Nordic markets. The company expanded its
target acquisition regions to Finland, Sweden and Denmark as well as Greater China.
In addition, 3i opened a new office for its Growth Capital unit in New York.
In 2007, 3i sold its shares in Nordic Modular to Kungsleden AB, a Stockholm-listed
real estate company, for about 100 million, making ten times its initial investment
of 2005. Eastern Europe is another area that private equity firms, 3i in particular, are
trying to break into. In 2007, 3i formed a CEE team and acquired EDS, the leading
web-offset printer in the Czech Republic, Poland and Hungary. A few months later,
the team was reinforced with a first appointment in Warsaw.
In 2007, 3i has conducted business in 20 regions and various growth sectors. Since
its creation in the United Kingdom in 1945, it has expanded to 14 countries across
the world. 3i understands the potential of growing markets around the world but
still remains strong in its traditional European regions.
94
In 2007, 3i established an infrastructure fund which made its first public investment
of 305 million, when it bought three oil tanking businesses, one being Oil Tanking,
a German business in which 3i acquired a 45 per cent stake. The 3i Infrastructure
fund has been listed on the London Stock Exchange since March 2007, and has so far
raised 1 billion.
GETTING HIRED
3i wants to attract people with an international mindset, people who thrive in a
multidisciplinary and challenging environment and people with a highly focused
and ambitious mindset. Candidates are expected to demonstrate an ability to work
together across business lines and national boundaries. 3i has a varied European
culture which makes flexibility and cultural openness particularly important.
Compared to other global players, its employees tended to study predominantly in
Europe rather than in the US.
Due to the strong UK presence, over 10 per cent of all employees studied at
Cambridge or Oxford. In France most employees studied business at HEC, and in the
Nordic region, at the Helsinki University and the Stockholm School of Economics.
3is percentage of graduate degrees is relatively high compared to other private
equity companies. INSEAD and London Business School account for more than 25
per cent of all MBAs at the firm.
95
3i Group
Infrastructure fund
Higher Diploma
Bachelors only 32%

Unknown 7%
PhD/JD/MD 6%
MBA 28%
Masters 27%
Source: Candesic
Strategy consulting 11%
Audit & transaction services 17%

Banks 21%
Other 51%
Source: Candesic

20
15
HEC (9)
10
LBS (10)
Cambridge (16)
Oxford (17)
INSEAD (18)
Source: Candesic
20
15
JPMorgan (6)
10
Deloitte (9)
McKinsey (11)
Anderson (16)
PWC (17)
Source: Candesic
96
3i Group
3i is composed of a diverse group of 250 professionals. Only half of them had their
previous jobs in professional services (mostly consulting and transactions services)
or investment banking. Almost a quarter come from the industry. The main previous
employers are the Big Five and McKinsey.
The largest team is based in London, where it recently moved to new premises next
to Buckingham Palace, closer to the traditional private equity establishment in St
James. The new office is designed to favour the interaction between managers and
entrepreneurs and has achieved the desired mix of startup and professional
environment.
Candidates will find that 3i provides plenty of information on recruitment and
careers on their website.
97
ALLIANZ
CAPITAL
PARTNERS/
ADVENT
INTERNATIONAL
ALLIANZ PRIVATE EQUITY PARTNERS/
ALLIANZ AGF PRIVATE EQUITY
Kniginstrae 19
80539 Munich
Germany
Tel: +49 (0)89 38 00 19900
Types of financing:
Majority equity, co-investment, mezzanine
EUROPEAN LOCATIONS
www.acp.allianz.com
www.apep.allianz.com
www.agfpe.com
Munich (HQ) Paris (Allianz AGF Private Equity) London
THE STATS
REST OF THE WORLD
Managing directors: Mr. Stefan Sanne

(ACP), Mr. Jonny Maxwell (APEP)
Employer Type: Subsidaries of Allianz
AG
Total private equity funds under management: 2bn (direct), 7bn (funds of
funds) and 2bn (AGF PE)
Employees: 200 in 2004 (Allianz Private
Equity Holding)
No. of Offices: 4
New York Singapore
COMPANY FOCUS
Sectors:
Automotive
Specialty Chemicals
Renewable Energy
Healthcare
Financial stages:
ACP: Private Equity direct investments
(MBO, expansion, financial restructuring)
APEP: Funds of funds
AGF PE: Funds of funds and VC
98
KEY COMPETITORS
3i Apax AXA Private Equity
EMPLOYMENT CONTACT
Tel: +49 (0)89 38 00 70 10
In 2002, Allianz Private Equity Holding was formed to integrate the various private
equity activities of the Allianz Group and of its banking arm Dresdner. It included
Allianz Capital Partners (ACP) for direct investments, Allianz Private Equity Partners
(APEP), the funds of funds and some venture capital activities.
Allianz Capital Partners

ACP manages only its parents own funds, with 2bn spread across 20 investments
in the last 10 years. ACP has an edge over independent PE firms in that it can tap the
full resources of the Allianz Group to enhance their portfolio companies value where
other firms may have struggled.
ACP was established in 1998 and has since grown to include 40 professionals based
in Munich, who occasionally partner with colleagues in London on select
investments. The team invests in European assets in the realm of 30 million-350
million, but only in certain asset classes. While it presents itself as generalist, the team
typically does not make direct equity investments in real estate, insurance, banking
or content media.
They will consider conglomerate restructuring, developing German middle-market
companies, privatizations and public-to-private MBOs relying on equity or
mezzanine financing; however, they shy away from start-up financing and
operational restructuring.
Thomas Pueter
As Germanys most senior private equity investor, Thomas Pueter is seen as a
charming and eloquent spokesman of the industry. Along with running ACP he is
also head of Allianz Alernative Asset Holding, a business unit created in 2005 to tie
together the groups alternative assets ranging from private equity to real estate to
alternative energy. In the debate that is currenlty shaping the German economic
outlook, he is seen as a calm voice that carries a measure of influence.
99
Allianz Capital Partners/ Allianz Private Equity Partners/ Allianz AGF Private Equity
THE SCOOP
Team power
ACP conducts only a few key transactions every year. In 2004, together with Lufthansa
and Apax, ACP sold Tank and Rast, the German motorway service operator that had
been privatised in 1998, to Terra Firma. In 2006, it sold Four Seasons Healthcare, a
leading UK nursing homes operator, for 1.4bn to Three Delta, representing 14 times
EBITDA, having bought it for 1.15bn from Alchemy in 2004. In May 2007, ACP bought
Selecta, the European vending business of Compass Group, for a consideration of
772.5m. Selecta operates as many as 150,000 vending machines.
Like most other major buyout players, ACP is increasingly teaming up to win
transactions; in 2007, it partnered with ABN AMRO Capital to acquire Sdu, a leading
publishing and security identification group, from the Dutch State for 415m, and with
3i and a strategic investor, Deutsche Seereederei, to purchase ferryshipping company
Scandlines Group. To convince the previous state owners, the consortium has agreed
not to lay-off any employees for operational reasons until December 31, 2010.
Allianz Private Equity Partners

Allianz Group investors who wish to invest indirectly into the private equity sector
are channelled through Allianz Private Equity Partners. As a fund of funds their
main responsibility is to efficiently invest a pool of funds in various PE firms; this
involves conducting due diligence of PE partnerships, valuations of unrealised PE
portfolios, research on the private equity market and presenting their ideas to an
investment committee.
A little bit of history

APEP was formed in 1996 when Allianz started its private equity program, with the
expansion of a New York office and an acquisition of Dresdners private equity funds
portfolio following in 2002 and 2003, respectively. With 48 professionals spread
across offices in Munich, New York, Singapore and AGF Private Equity in Paris, the
team has a truly global investor base.
In July 2007 Allianz announced that they were forming an indirect PE investment
business group in London, headed by the controversial former head of Standard Life
PE Jonny Maxwell. The then CEO Wanching Ang was appointed to the management
team, and subsequently resigned from Allianz in November to pursue personal
interests, leaving Mr. Maxwell to take over her duties.
100
The current assets under management are in the region of c. 7 billion with an annual
commitment rate around c. 1.3 billion, which is spread across 10-20 investments per
year. In February 2007 APEP announced it was closing its first fund of funds to
investors at 823 million, making it the most successful German fund of funds to
date. Allianz Group companies invested about 200 million, with the remainder
coming from institutional and private investors.
Allianz AGF Private Equity

Since Allianz bought French Insurance company AGF, French operations had kept
their name while being slowly integrated. In 2008, AGF Private Equity becomes
officially Allianz AGF Private Equity and brings its private equity activities in funds
of funds, secondaries, co-investments and venture capital to the group.
GETTING IN
Allianz Capital Partners investment team consists of specialists from seven countries
who provide extensive knowledge of local markets. The firm doesnt disclose the
profiles of the team. However, out of 40 ACP employees in Munich, there are five
INSEAD graduates (with another five in the other PE divisions of the group).
APEP is divided into four teams: Management Team, Investment Team, Clients and
Products team, and Business Operations team. They are located in Munich, New York
and Singapore, with a diversified sector experience in private equity, industrial
corporations, investment banking, and professional services. There is a large
proportion of employees who joined with prior private equity experience. The same
applies to the smaller French team of eight in the funds of funds and secondary
investments of AGF Private Equity.
Allianzs top graduate university is Munich University, which is to be expected since
their only true office in Europe so far is in Munich. The team is becoming more
international as both ACP and APEP pursue more European investments. With the
opening of the London office and the integration of AGF Private Equity, Allianz could
soon become a true pan-European player and catch up with its dynamic archrival Axa
Private Equity.
101
Allianz Capital Partners/ Allianz Private Equity Partners/ Allianz AGF Private Equity
Top of the Deutsche league
ADVENT
APAX
PARTNERS
INTERNATIONAL
33 Jermyn
UK
Regional
Street
Headquarters
London
SW1Y 6DN plc
111 Buckingham
United
Kingdom Palace Road
London
Tel:
+44SW1W
(0)20 780SR
72 6300
UK
Tel: +44 20 7333 0800
www.apax.com
European Locations
EUROPEAN
LOCATIONS
REST OF THE WORLD
THE STATS
New York Hong Kong Mumbai Tel

Aviv
CEO: Dr. Martin Halusa

Employee Type: Independent Private
The
Stats
Company
Chairman:
Peter
A. Brooke
Total
private
equity
funds under manageEmployer
Type:
Independent Private
ment:
$35bn
in 2008
Company 132 investment professionals
Employees:
Total
private equity funds under
in
2008
management:
No.
of Offices:about
10 11bn (2008)
of which 65 in Europe (2008)
No. of Offices:FOCUS
15
COMPANY
Sectors:
Tech & Telecom
Media
Company
Focus
Retail & Consumer
Sectors:
Healthcare
Business Services
& Financial
Financial
& Business
Services Services
Retail & Consumer
Technology,
Media & Telecoms
Financial
stages:
Healthcare
& (>300m
Life Sciences
Mega
buyout
equity), Large
Industrial(150m-300m equity), Mid
buyout
market buyout (15m-150m), PrivatisaFinancial
stages:
tion,
Public
to private, Small buyout
International
buyouts, recapitalization and
(<15m
equity)
equity),ofsome
venture capital
Types
financing:
Types ofMinority
financing:
Others:
Equity, Shareholders loans
Majority equity
London (HQ) Madrid Milan MuAmsterdam

nich
Stockholm
Bucharest
ParisFrankfurt
(Apax Partners
Kiev Madrid Milan Paris Prague

France)
Warsaw Bratislava (affiliate) Oslo
(affiliate)
Rest of the World

Boston (HQ)
TokyoCOMPETITORS
Singapore (affiliate) Buenos
KEY
Warburg
Carlyle
TPG Provaffiliates inPincus
five other
countries
idence KKR Blackstone Advent International BC Partners Cinven
CVC Permira
Key Competitors
3i Apax Barclays
Private Equity
EMPLOYMENT
CONTACT
Cinven Montagu
Email: careers@apax.com
Employment Contact
103
THE SCOOP
Apax Partners is one of the few European private equity firms that has global
ambitions. Based in the UK with European offices in Munich, Milan, Stockholm and
Madrid, the firm also has a large presence in the U.S. as well as offices in Hong Kong
and Mumbai. The firm was co-founded in 1972 by Sir Ronald Cohen, the father of
British venture capital and high profile Labour supporter, Maurice Tchenio,
currently the French office Chairman and CEO, and Alan Patricof, an early investor
in Apple and AOL.

VINTAGE YEAR
FUND CAPITAL
Apax Europe VII
2007
11.2bn
Apax US VII
2007
$0.8bn
Apax Europe VI
2005
4.3bn
Apax Europe V
2002
4.4bn
FUNDS
Over the last three decades the firm has raised in excess of $35bn and has invested
in almost 400 companies, 275 of which are currently in their portfolio, including well
known names like Tommy Hilfiger, Somerfield and Travelex. After closing the most
recent Europe VII fund at 11.2bn Apax overtook Permira as the largest European PE
firm, leaving CVC in third. Until the acquisition of Alliance Boots by KKR in 2007,
Apax also had the distinction of leading the consortium that pulled off the largest
LBO in Europe: a $15.3 billion deal in 2006 for Denmarks incumbent telecom
operator TDC. In the last twelve years Apax has listed over 65 companies on global
stock markets, with a total value of $35bn at initial offering.
Still kicking
Apax Partners is a veteran in the private equity biz, tracing its roots back to 1969
when the investment firm was known as Alan Patricof Associates. In 1977 the
French/British venture known as Multinational Management Group merged with
Alan Patricofs American Investment Company, forming the basis of Apax Partners
104
French exception
Under the leadership of Maurice Tchenio the French office has always had a large
degree of independence, and, in its current form of Apax Partners SA, is fully owned
by its 10 French partners and 28 investment professionals. The decision making is
completely centralised in Paris, and their focus is shifted towards growth companies
and mid-market buyouts. Funds managed by the French office exceed 2bn, with
over 40 companies currently under management. The firm has always been one of
Frances pioneering private equity firms, creating the first Fonds Commun de
Placement a Risque (FCPR) and co-founding the French Private Equity Association
(AFIC). In 2007 it merged two of its investment vehicles, Altamir & Cie and Amboise
Investissement, to create a Euronext-listed vehicle with a market capitalisation of
about 250m. The French office can invest alongside the other funds of the firm, but
insiders claim that the lack of integration can be an issue when competing on panEuropean transactions against more thoroughly integrated competitors.
Global powerhouse
If you ask John Megrue, co-CEO of Apax Partners' U.S. operations, the private equity
industry is undergoing a polarization of sorts. On the one hand, there are firms that
want to become global leaders; on the other, there are those that want to become
niche specialists. Apax Partners, says Megrue, wants to be in the first group. With
10 offices spread across the U.S., Europe and Asia and a strong history to build on,
the private equity group is well-positioned. Funds advised by Apax Partners invest
globally in large businesses with an enterprise value of between $1 billion and $5
billion. As a whole, Apax targets deals in five sectors: tech and telecom, consumer
and retail, media, healthcare and financial services.
The times they are a-changin'

Although many private equity firms have struggled with the transition from one
generation to the next, Apax Partners is an exception. Sir Ronald and other partners
were already discussing succession back in the late 1990s, ultimately agreeing to a
retirement age ceiling of 60. So in January 2004, less than two years from his 60th
105
Apax Partners
as we know it. As with many international mergers the offices initially operated as
relatively separate entities until the late 1990s. In 2002 the global assimilation was
made official when the firm changed its name to Apax Partners Worldwide LLP. In
2005 the company looked to enhance its expertise in fast buyouts, and acquired the
specialist firm Saunders, Karp & Megrue.
birthday, co-founder Sir Ronald Cohen stepped down as chief executive, naming
Martin Halusa as his successor. Sir Ronald stayed on as chairman, maintaining a
leadership position but giving Halusa significant breathing room, and retired from
that office in August 2005. While some wondered how the firm would fare with Sir
Ronald gone, Halusa wasn't exactly a newbie; he had been with Apax Partners for 15
years and described the management changes at Apax as "organic, rather than
revolutionary.
The private equity group's merger with SKM in the US is another sign of changing
times. In the past, the firm's US division has been focused on smaller venture-capital
style investingthink first/second-stage and mezzanine financing to high-tech, retail
and communications companies such as America Online, Apple Computers and
Office Depot. The combination with Connecticut-based SKM allows Apax to handle
bigger buyout deals in the U.S. In June 2005, Halusa told Real Deals, "You have to
be at the venture capital stages to be able to do a large deal because that is where a
lot of the industry knowledge comes from. In 2007 however, after raising its new
fund, Halusa shut Apax's Silicon Valley office in California, resigned from the
National Venture Capital Association and announced, as reported by Bloomberg,
Our next fund will be 100 per cent buyouts. Our venture results have been very
volatile, and our focus is on the more stable end of the business''. Now the company
employs the same investment strategy across its global platform: investing in large
stable businesses with the capacity to expand.
Apax keeps an interest in VC though. In 2005, it set up the Apax Foundation to
support entrepreneurial, social investment and educational initiatives that work
towards the alleviation of poverty in deprived communities worldwide. One of the
foundations key investments is in Bridges Community Ventures, a venture capital
company with a social mission co-founded by Apax Partners in 2002 and chaired by
Sir Ronald Cohen.
Killer deals
Apax history has its count of killer deals. Alan Patricof was involved in the very early
financing of Apple Computers and extracted significant value when the company
expanded. In 1998, Apax turned a $3 million investment in Autonomy Corporation
into a $900 million payout, one of the largest returns in European Venture Capital
history.
In 2007, the firm made 40 times its investment on the sale of UK Healthcare at Home
to mezzanine provider Hutton Collins. In the same year it also realised a profit on
Swedish medical product company Mlnlycke Health Care Group, when it was sold
106
Compulsive shopper
Apax is organised along five sector areas and closes 12-15 acquisitions a year, many
of them being take-privates. Its main sector of activity is technology and telecom with
more than 70 companies in the portfolio. Lately it has been particularly busy in the
media and healthcare sectors.
In August 2006 Apax joined the private equity consortium headed by KKR to acquire
an 80.1 per cent stake in the Semiconductor Division of Royal Philips Electronics,
now known as NXP Semiconductors. It was also a co-investor in Greek mobile
telecom group TIM Hellas, which sold to Weather Investments for 3.4bn.
Apax has recently increased its focus on media assets in Europe. It took UK toy and
media firm HIT Entertainment private in June 2006. In December 2006 it completed
the de-listing of British specialist business information provider Incisive Media
alongside management. In March 2007 it acquired a 49.9 per cent stake in Trader
Media Group from Guardian Media Group and, in December, partnered with
Guardian Media Group to acquire publisher Emap for 2bn.
After acquiring Swedish healthcare operator Capio in 2006 and delisting it from the
Stockholm Stock Exchange, it took control of Unilabs of Switzerland and intends to
delist it from the SWX Swiss Exchange. The combined group is a European leader in
medical diagnostic and several other areas of healthcare services. Because it already
owned GHG, the largest private hospitals operator in the UK, Apax had to divest the
Capio hospitals in the UK. In November 2007 it completed the acquisition of Qualitest
and Vintage Pharmaceuticals, a leading distributor and manufacturer of generic
pharmaceuticals in the US.
Looking East
Surprisingly for a firm this size, Apax doesnt have a strong track record in Eastern
Europe. Part of the explanation may be in the Private Equity in the Public Eye
report it published with the Economist Intelligence Unit in July 2007. The report
reviews the private equity operating environment for 33 countries and underlines
the difficulty of operating in the region.
In 2006, though, Apax invested $190m to acquire an interest in CME, a TV
broadcasting company traded on the NASDAQ and the Prague Stock Exchange with
107
Apax Partners
to Investor AB and Morgan Stanley Principal Investments for 2.85bn, raising about
ten times the initial investment.
leading television stations located in Croatia, Czech Republic, Romania, Slovakia,

Slovenia and Ukraine and reaching an estimated 82 million people Eastern and
Central Europe.
In 2005, the company opened an office in Hong Kong, headed up by senior partner
Max Burger-Calderon. The next year, it opened its second Asian office in Mumbai,
headed by Neeraj Bharadwaj. In 2007, it teamed up with Prathap Reddy, one of
India's most prominent entrepreneurs, to give it a stake in Indias fast-growing
healthcare industry. Newspaper reports also announced a plan to take a stake in
India's Patni Computer Systems, together with TPG.
GETTING HIRED
Apax staff is organised in in-house knowledge centres and fund managers organised
in sector teams. Unlike many competitors, managers dont get to work across
industries. This organisation shows Apaxs focus on knowledge-based business, and
allows the private equity firm access to exclusive information.
Apax investment professionals were educated at the very best universities, mostly in
the US, the UK and France. MBAs from Harvard Business School alone represent a
striking 22 per cent of this workforce. In Paris, HEC is the most frequent graduate
diploma, often complemented with an MBA. However they tend to join Apax after
several years of experience, mostly in investment banking, strategy consulting or
both. Strategy consulting has an unusually high presence, with McKinsey the largest
previous employer (15 per cent of the professionals) and pretty much every top 10
strategy consultancy represented.
108
Apax Partners
Higher Diploma

Unknown (2%)
PhD/JD/MD (8%)
MBA (54%)
Masters (23%)
Source: Candesic

Banks (32%)
Other (28%)
Source: Candesic

30
25
20
Oxford (9)
15
Wharton (13)
10
Cambridge (13)
5
0
INSEAD (14)
Harvard (29)
Source: Candesic
20
15
Deutsche Bank (5)

10
Morgan Stanley (5)

Goldman Sachs (8)
BCG (8)
McKinsey (29)
Source: Candesic
109
Candidates can contact the Apax human resource department to read their HR inside
report on the private equity industry. Apax warns however that due to volumes of
emails [they] are only able to respond to those invited for interview.
110
ADVENT
AXA
PRIVATE
INTERNATIONAL
EQUITY
20 Place
UK
Regional
Vendome
Headquarters
AdventParis
75001
International plc
France
London
Tel:
+33SW1W
1 44 450SR
9200
UK
Tel: +44 20 7333 0800
www.AXAprivateequity.fr
European Locations
EUROPEAN
LOCATIONS
New York Singapore
THE STATS
Chairman & CEO: Dominique Senequier
Employer Type: Subsidiary of AXA
The
Stats
Total private equity funds under manageChairman:
Peter(2008)
A. Brooke
ment:
15.7bn
of which 5bn is
Employer
Type: Independent Private
in
direct funds
Company almost 200
Employees:
Totalofprivate
No.
Offices:equity
6 funds under
management: about 11bn (2008)
of which 65 in FOCUS
Europe (2008)
COMPANY
No. of Offices: 15
Sectors:
All
Financial stages:
Company
Focus
Mega buyout (>300m equity), large

Sectors:(150m-300m equity), mid
buyout
Businessbuyout
market
Services
(15m-150m
& Financial Services
equity),
Retail &toConsumer
public
private, infrastructure. ExpanTechnology,
sion
capital, small
Mediabuyout
& Telecoms
(<15m eqHealthcare
uity),
seed and
& Life
other
Sciences
early stage. Primary,
Industrial
early
secondary and secondary funds of
funds.
Financial stages:
International
Types
of financing:
buyouts, recapitalization and
growth
(up mezzanine
to 500m
Majorityequity
equity,investments
co-investments,
Paris (HQ)
London
(HQ)
Frankfurt Milan London
Amsterdam Bucharest
(infrastructure,
fund of funds)
Frankfurt
(affiliate)
REST
OF THE WORLD
Rest of the World

KEY COMPETITORS
Boston (HQ)
3i
Advent
Barclays
Private Equity
Tokyo
Singapore
(affiliate)
Buenos
Montagu
PAI
Sagard
CONTACT FOR RECRUITMENT

Anne Marion-Delpont, Head of Human
Key
Competitors
Resources
rh-AXApe@AXA-im.com
Tel.
+33 (1)
44 45 93 10
Cinven
Montagu
Employment Contact
Types of financing:
Majority equity
111
THE SCOOP
AXA Private Equity is a subsidiary of AXA, one of the major global insurance
companies. It was founded in 1996 after Claude Bebear, then powerful CEO of AXA,
handpicked Dominique Senequier to build a private equity arm. She had started her
career in the civil service and quickly rose to become one of the most powerful
women in the industry. She grew the business into one of the major buyout firms in
continental Europe. In 2007, the firm raised $7 billion in all its business activities, up
45 per cent since December 2006. The bulk of it is for direct investments and the firm
now manages $22 billion out of its main office, a magnificent hotel particulier on
the Place Vendome in the centre of Paris.

VINTAGE YEAR
FUND CAPITAL
AXA LBO Fund IV
2007
~1.60 (estimate)bn
AXA Co-Investment Fund III
2007
~1.50 (estimate)bn
AXA Expansion Fund II
2007
0.35bn
AXA Secondary Fund IV
2007
2.10 ($2.9)bn
AXA Mezzanine Fund I
2006
0.72bn
AXA Secondary Fund IV
2007
2.10 ($2.9)bn
AXA Mezzanine Fund I
2006
0.72bn
AXA Co-Investment Fund II
2006
0.55bn
AXA LBO Fund III
2005
0.50bn
FUNDS
The strategy and goals are clearly set

Today, AXA PE has six relatively independent offices across the globe. The majority
of the business is conducted through the French office in Paris, but the firm is trying
hard to expand internationally and break into the top ten buyout firms globally. Over
the last ten years, AXA has been one of the most active continental European players,
with 40 buyout transactions mostly in France; however, 30 per cent of the previous
fund was allocated to Germany, where the firm opened an office in 2001. The firm is
now building up its Italian team to allow for a more pan-European approach to
112
In 2004, AXA PE decided to enhance its global reach by opening an office in

Singapore. The Asian office has three functions: providing a platform for the Funds
of Funds activity in Asia, growing the Venture activity in Asia by backing innovative
companies already in the firms portfolio, and supporting some Euro zone companies
in the Buyout funds which are either involved in joint ventures in China or are
delocalising their activities there. The internationalisation of the business is on the
right track with 42 per cent of direct investments in 2007 coming from outside France.
AXA PEs funds span all financial stages, from VC to relatively large buyouts (upper
middle), through mezzanine and funds of funds. The firm also focuses on large
secondary fund transactions and has become one of the major players in that
segment.
AXA PE is committed to achieving an excellent return on investment for all investors.
According to internal AXA information, the funds achieve top quartile performance,
with a net IRR ranging from 30 per cent to 35 per cent in the first three generations
of LBO funds and from 30 per cent to 85 per cent in the first three generations of
secondary funds of funds.
Its strategy, which consistently produces sustainable returns and a confidential
loyalty towards the investors, has won AXA PE some of the worlds most important
investors for its various funds. It is said to have successfully developed a fine tuned
valuation measurement system based on its pool of experts and its experience, in
order to allocate and evaluate the right investments. AXA was one of the five
nominated firms for the 2007 Financial News award of French Private Equity Firm of
the Year, but lost to PAI Partners.
Strong firm values

Much of the success of the firm may be traced to Senequiers forthrightness that is
said to often make men uncomfortable. She is a tough and no-nonsense manager,
afraid of no-one and nothing, and she doesnt hesitate to refuse to sign off on
investments when in doubt. She traces part of her success to her previous experience,
saying: whoever understands the balance sheet of an insurance company can
quickly understand the balance sheet of any company.
113
AXA Private Equity
opportunities on the basis that private equity has an important role to play in making
European business more competitive.
She has also championed the four company values: performance, expertise,
international experience and transparency. These values are part of the internal
structures, but are also reflected in the way the firm relates to investors, portfolio
companies and funds. The firm benefits from its diversified activities; the small caps
team may have historical knowledge of a target analysed by the mid cap team, the
large cap team can leverage the infrastructure one, fund of funds and co-investments
may pass leads to each other.
All in the family

The relationship between AXA PE and its parent company, AXA Group, has always
been very strong; AXA Group insurance companies are the lead investors in AXA
PEs funds, with an average stake between 20 per cent and 33 per cent of each fund.
AXA PE benefits from this strong relationship, gaining access to a wider range of
deals and improved fundraising opportunities. This link means that AXA Group is
exposed to the reputational risks associated with large private equity firms, which
means a particular emphasis is placed on transparency at AXA PE. In their public
presentations, they emphasise that they differentiate themselves via a policy of
ethical and responsible investments.
AXA PE gained recognition for this transparent approach, being the first French
capital investment company to conform to the Global Investment Performance
Standards (GIPS). The standards represent international ethical norms for an
objective presentation of performances, with a particular focus placed on
transparency within the investment industry.
Playing with the big guys

The firm is now an established player and doesnt hesitate to partner with the major
international private equity firms, taking part in the biggest auctions. In 2006, AXA
PE initially teamed up with KKR, who later joined the rival consortium formed by
Eurazeo and Goldman Sachs, in an effort to acquire a 52 per cent stake in France
Telecom directories subsidiary PagesJaunes. It subsequently withdrew from the deal.
However, in the autumn of 2006 the firm made the headlines with its 4.9 billion
acquisition, together with TPG, of TDF (formerly Tldiffusion de France), the largest
owner of broadcast and telecoms infrastructure in continental Europe.
Recently, the firm has been particularly active in the chemical and related industries.
The final acquisition of CABB GmbH, one of the world's leading suppliers of
chemical building blocks and specialty intermediates, kicked off 2007. Later in the
year, CABB acquired the Swiss specialty chemicals firm SF-Chem AG. Since 2006,
114
Construction is another industry of particular expertise with recent transactions

including Champeau/Gau (divested in 2004, reinvestment in 2006), Gerflor (bought
in 2006) and Larivieres (sold for 300m in 2007).
Today, AXA PE offers its international expertise to help European companies
develop realistic expansion strategies to Asian or American markets, bringing
international market knowledge into management board decisions to create stability
and security in portfolio companies.
GETTING HIRED
AXA PE has about 200 employees with a diverse range of backgrounds and regional
expertise. Support functions account for half of the headcount of the company.
The recruitment seems to be more diverse than at most competitors. Among the
employees, one can find a medical doctor and a jetfighter pilot and there is no strong
majority of investment bankers, strategy consultants or transaction services advisors.
Insiders confirm that all profiles are likely to be considered as long as they can
demonstrate strong achievements. Women represent almost half of the workforce, a
much higher proportion than the industry average.
115
AXA Private Equity
AXA PE has owned Eliokem, a specialty chemical company it bought for 130m.
Eliokem followed through the next year with the acquisition of the Polymer Division
of Indian-based Apar Industries. The same year, AXA PE completed the acquisitions
of Diana Ingredients, a major natural ingredients producer for 710m, and Synerlab,
one of the leading French pharmaceutical sub-contractors.
Higher Diploma
Bachelors only (2%)

Unknown (3%)
PhD/JD/MD (10%)
MBA (15%)
Masters (70%)
Source: Candesic
Insurance (8%)
Banks (33%)
Other (54%)
Source: Candesic

8
7
6
5
Bocconi (4)
ESCP-EAP (4)
Dauphine (6)
HEC (6)
ESSEC (8)
Source: Candesic
6
5
4
ABN Amro (2)
HSBC (2)
Axa Group (3)
1
0
Credit Agricole (4)

BNP Paribas (6)
Source: Candesic
116
The international factor is rated highly within AXA PEs application measurements.
Because of their various foreign offices and the international strategy, the company
focuses on employees that are able to build on specific geographical market
knowledge from the very beginning.
Because AXA PE has many separate activities, it is possible for a candidate to end up
being interviewed by a completely different product team depending on the current
recruiting needs.
117
AXA Private Equity
AXA PE regularly employs interns for periods of up to one year. They tend to be
masters students from the top business schools in Paris, with a preference for
international backgrounds, and are often recruited after their internship. In 2007,
interns represented over 13 per cent of the total workforce.
BARCLAYS
PRIVATE EQUITY
ADVENT
INTERNATIONAL
5 North
Colonnade,
8th Floor
UK
Regional
Headquarters
London International
E14 4BB
Advent
plc
United
Kingdom Palace Road
111
Buckingham
Tel: +44SW1W
(0)20 750SR
12 9900
London
UK
www.barclays-private-equity.com
Tel:
+44 20 7333 0800
EUROPEAN
LOCATIONS
European
Locations
KEY COMPETITORS
THE STATS
3i Advent International Apax Axa

PE Bridgepoint European Capital
Rest
of the World
HgCapital Montagu Sagard
Boston (HQ)
Aires
Sao Paulo CONTACT
Mexico Further
EMPLOYMENT
Tel: +44 (0)20 75 12 9900
Co-Heads: Tom Lamb, Gonzague De

Blignires and Peter Hammermann
The
Stats
Employer Type: Subsidiary of Barclays
Bank
Chairman:
Peter A. Brooke
Total private
equity
funds under
manageEmployer
Type:
Independent
Private
ment: about 5bn (2008)
Company
Employees:
investment
professionals
Total
private59equity
funds under
in 2008 (including
1211bn
in infrastructure)
management:
about
(2008)
No. of Offices:
Employees:
130 8investment professionals,
No. of Offices: 15
COMPANY FOCUS
Sectors:
All sectors
London (HQ) Birmingham Manchester Milan Munich

Paris
Reading
Amsterdam
Bucharest
Frankfurt

Zurich
Kiev
Madrid Milan Paris Prague
(affiliate)
Key Competitors
Cinven Montagu
Company Focus
Employment Contact
Financial stages:
Sectors:
Mid market
buyout
eqBusiness
Services
& (15m-150m
Financial Services
uity), expansion
capital, privatisation, reRetail
& Consumer
placement, infrastructure
Technology,
Media & Telecoms
Types of financing:
Industrial
Majority equity, equity co-investment
Financial stages:

Types of financing:
Majority equity
118
Barclays Private Equity, a subsidiary of Barclays bank, is a leading pan-European

firm that focuses on lower mid-market transactions. With offices spread throughout
the UK, France, Germany, Italy and Switzerland, investments are typically from these
local markets. The firm is headquartered in the UK but has a strong presence in
France and is technically run by co-heads from the UK, French and German offices.
VINTAGE YEAR
FUND CAPITAL
BPE European Fund III + Barclays PLC
2007
2.4bn
Barclays European Infrastructure Fund II
2006
$0.417bn
BPE European Fund II + Barclays PLC
2005
1.65bn
BPE European Fund I + Barclays PLC
2002
1.25bn
FUNDS
The investment strategy is mid-market (under 500 million). Since their first
investment in 1982 the firms 45 professionals have invested in over 350 transactions,
with an average of 10-15 per year. The firm also has an Infrastructure team of 12
investment professionals based in London and, in addition to its own UK and
European infrastructure funds, has established a 450 million Infrastructure Investors
(I2) Fund in partnership with Societe Generale and 3i.
Third time lucky

BPEs most recent fund, the Europe III fund, raised its target 2.4bn (of which 1.7
billion comes from blue chip investors) earlier than anticipated, possibly reflecting
the shift towards mid-market deals in the ongoing credit crisis. But insiders reckon
that BPEs excellent track record made it very easy to reach its target. The fund is
structured in a semi-captive way, meaning the remaining 650 million investment
came from the parent company, Barclays plc.
In line with previous funds, Barclays PE will invest Europe III predominantly in the
UK, France, Germany, Italy and Switzerland. The UK investments focus on core
strengths that have been developed in the Financial Services, Healthcare, Support
Services and Consumer & Travel; whereas the continental offices take a more
generalist approach when evaluating potential investments.
119
THE SCOOP
Nottingham leads the way

In a pioneering move back in 1986 Barclays, along with Deloitte, set up the first
European MBO think-tank at Nottingham University. The Centre for Management
Buy-Out Research, or CMBOR for short, is a data collection and analysis pool to track
the proliferation of Management Buy-Outs throughout Europe, with records covering
over 25,000 companies. The centre is a leading commentator on private equity activity
throughout Europe, and recently released statistics highlighting the detrimental effect
of the credit crisis on private equity deal flow.
The rise and rise of buy-and-build

Barclays Private Equity has a long and successful track record of pursuing rapid buyand-build strategies across Europe:
In France, since 2005, it has owned Mdi-Partenaires, the third largest player in the
French private hospital market with 18 clinics and 2,370 beds. Four clinics were
already acquired in 2005/2006, and four in the first half of 2007.
In September 2006, the firm acquired a majority stake of Euro Fiditalia, a market
leader in the provision of secured personal loans in Italy. Since then the company
has made six acquisitions in the same sector.
In February 2007, it acquired Belgo-Italian company Desmet Ballestra, the world
leader in the fields of engineering and supply of plant and machinery to the edible
oil, chemical and biodiesel industries, with a turnover of 430m. A first post-deal
acquisition was completed in France in June 2007 and a second one is expected
abroad in the coming months.
In Germany, it sold HR services firm TUJA Group to Adecco in June 2007 for 800
million after only 15 months. It had acquired 90 per cent of TUJA in March 2006 from
Berlin-based Odewald & Compagnie and supported the company through an
aggressive buy-and-build strategy in which headcount increased by 12,000 in 12
months. At the time of the sale, TUJA was one of Germany's leading temporary
employment agencies and operated a network of 127 branches in Germany,
Switzerland and Austria.
A smaller but typical transaction is the sale in December 2007 of UK retailer The
Original Factory Shop via a 68.5 million secondary MBO led by Duke Street Capital.
Barclays Private Equity had invested 18.42 million in the BIMBO of the business in
120
In October 2007, BPE announced an acquisition in Switzerland, its fourth country of

operation. PREMIUM communications is a provider of multilingual services for
technical support, user helpdesks & services for SMEs. BPE sees the investment as a
base on which to build significant growth through acquisitions in Switzerland and
other German speaking countries.
Other highlights include the buyout of Converteam from ALSTOM in November
2005Converteam is a world leader in power conversion engineering, developing
systems and equipment which convert electrical energy into mechanical energy,
including drives, controls, motors and generators. The acquisition was performed in a
post recovery situation and has been followed by a successful phase of both organic and
external growth. Another landmark deal is the successful listing of LSL Property
Services plc (UK) on the London Stock Exchange in November 2006. The market
capitalisation at listing was 211 million. LSL is one of the UKs leading estate
agency/surveying companies. Barclays Private Equity arranged the 60 million MBO
in July 2004, and its managed funds retained a 29 per cent stake at the time of listing.
Awards
One of Barclays Private Equity's most publicised exits is that of Admiralthe direct
motor insurer. The company went public on the LSE in a 1 billion flotation in
September 2004. Barclays Private Equity achieved a total return of 15 times its original
investment and an IRR of 87 per cent over nearly five years. In recognition of this and
other divestments, such as Hobbs, Salter Houswares, Edotech and GLS Educational
Supplies, the firm was named UK Private Equity Firm of the Year, and European
Private Equity Firm of the Year at the Financial News Awards for Excellence in Private
Equity, Europe 2005 where it also claimed a third awardEuropean Disposal of the
Yearfor Admiral. Barclays Private Equity was also awarded Private Equity House
of the Year by Real Deals/BVCA in 2005 and Exit of the Year for Admiral by
Acquisitions Monthly, the M&A and buyouts publication. In 2006 Barclays Private
Equity was voted Fund of the Year by the Real Deals/BVCA Private Equity Awards.
121
November 2004 and doubled the warehousing capacity of the retailer in three years.
GETTING HIRED
While Barclays PE managers were educated at top schools in Europe (Cambridge
and ESSEC are the most represented, with the MBA as rather an exception), they
generally join the firm with significant experience. There is some diversity in the
team, with four PhDs and one lawyer in a buyout team of 47 professionals.
In line with other private equity firms Barclays recruits primarily from Investment
Banking and Big 4 accountancies (PWC, the late Arthur Andersen and KPMG are the
most prominent former employers). The team is very stable, which limits
opportunities for experienced hires. However there are opportunities for analysts:
in Paris for example, there is a rolling 6-month intern position that allows business
students to get a serious introduction to the sector at a renowned firm, and may lead
to a full time position.
Higher Diploma

PhD/JD/MD (10%)
Unknown (23%)
MBA (8%)
Masters (34%)
Source: Candesic
Audit and transaction services (21%)

Other (26%)
Banks (42%)
Source: Candesic
122

3.0
2.5
2.0
Oxford (2)
1.5
EM Lyon (2)
1.0
St.Gallen (2)
0.5
ESSEC (3)
0.0
Cambridge (3)
Source: Candesic
4.0
3.5
3.0
2.5
BNP Paribas (2)
2.0
Barclays (3)
1.5
KPMG (3)
1.0
Arthur Anderson (3)
0.5
0.0
PWC (4)
Source: Candesic
Being a subsidiary of a UK firm, Barclays PE obviously has more staff in the UK, with
growing teams in continental Europe. The Paris and Munich offices have their own
websites with contact details for potential candidates.
123
ADVENT
BC
PARTNERS
INTERNATIONAL
43-45
UK
Regional
Portman
Headquarters
Square
London
W1H 6DA plc
111 Buckingham
United
Kingdom Palace Road
London
Tel:
+44SW1W
(0)20 7009
0SR 4800
UK
Tel: +44 20 7333 0800
www.bcpartners.com
THE STATS
Managing partner: 9 managing partners
The
Stats
Peter
A. Brooke
ment:
11bn
in 2008
Employer Type:
Independent
Private
Employees:
45 investment
professionals
Company
in
2008
Totalofprivate
No.
Offices:equity
6 funds under
of which 65 in FOCUS
Europe (2008)
COMPANY
No. of Offices: 15
Sectors:
All sectors
Financial stages:
Company
Focus
Large buy-out, Secondary purchase/reSectors: capital, MBO, MBI, Instituplacement

Business
& Financial
Services
tional
BO,Services
Leveraged
build up,
Public to
Retail & Purchase
Consumer
private,
of quoted shares
Healthcare
& Life Sciences
Types
of financing:
Industrial
Main:
Majority equity
Financial stages:
International buyouts,
recapitalization and
EUROPEAN
LOCATIONS
London
(HQ) venture
Geneva
Hamburg
equity), some
capital
Milan Paris Milan
Types of financing:
Majority equity
124
European
REST
OF THE
Locations
WORLD
New York
London
(HQ)
Warsaw
Bratislava (affiliate) Oslo
KEY COMPETITORS
(affiliate)
Apax Permira Cinven CVC KKR
Bain Capital Blackstone
Rest of the World

EMPLOYMENT CONTACT
Boston (HQ)
london@bcpartners.com
Key Competitors
Cinven Montagu
Employment Contact
BC Partners
THE SCOOP
The firm was founded as Baring Capital Investors in 1986. In 1995, at about the time
of the collapse of Barings Bank that was famously documented in the movie Rogue
Trader, it became independent through its own MBO and renamed itself BC
Partners. It is worth noting that BC Partners has no link with Baring Private Equity
Partners (BPEP), which finalised its MBO from parent company and Barings owner
ING Group in 2004 and invests via four regional fund groups in Russia, Asia, India
and Spain.
Funds
VINTAGE YEAR
FUND CAPITAL
BC European Capital VIII
2005
5.9bn
BC European Capital VII
2000
4.3bn
FUNDS
Since 1986, BC Partners has invested in 66 companies with a total enterprise value of
over 54bn. While they target only two or three acquisitions every year, they can
commit over 2bn of equity to any given one and are ready to contribute significant
additional capital to grow it. Over the next five years, they plan to acquire fifteen to
twenty businesses, with enterprise values typically in the range of 300m to 4bn.
NHS gold
In 2000, BC Partners recognised the opportunity for the private sector to become
more involved in the treatment of NHS patients in the UK. Attractive changes in
healthcare policy further underlined potential growth prospects. To take advantage
of this opportunity, it bought General Healthcare Group from Cinven for 2.2 billion.
GHG was the largest acute care hospital provider and leading independent provider
of specialist psychiatric care services in the UK. Over the next six years, the new
owner supported considerable organic growth and made two significant hospital
acquisitions to optimise national coverage.
In 2005, it sold separately the health screening and occupational health operation
BMI Healthcare services to The Capita Group Plc, and the Partnerships in Care
psychiatric operation back to Cinven for about 560m, allowing management to focus
125
on its core business. In 2006, it sold the acute care hospitals for 2.35 billion to a
consortium led by Netcare, a leading South African hospitals group. At that time,
the transaction was the largest ever deal in the European healthcare services sector.
Contrarian outlook
In 2007, BC Partners acquired two corporate companies: Bureau van Dijk Electronic
Publishing from Candover for a rumoured 700m, and a combination of leading
London estate agency Foxtons, also comprising mortgage broker Alexander Hall, for
an estimated 390m. Amid fears of a slowdown in the UK real estate market, the
decision to acquire the business may show BC Partners bet that the long-term
fundamentals of the market remain good. It may also be a sign that there will be
opportunities to streamline and consolidate a sector built on a 15 year growth wave.
One thing is for certain though, everyone will be scrutinising how the new owner
will adapt to a fast changing environment.
Well established on the continent

BC Partners has a strong foothold in Germany, where they are invested in Brenntag,
which at 3bn was the second largest LBO in Germany to date. They also hold a 38
per cent stake in Unity Media, which acquired exclusive pay-TV broadcasting rights
for Bundesliga football.
Another landmark transaction was the joint acquisition with Cinven of Amadeus in
2005 for 4.3bn, the largest LBO in Spain to date. Amadeus is a leading global
distribution system and technology provider for the travel and tourism industries.
In France, the firm operates Medica, the third largest operator of nursing homes and
rehabilitation clinics, and Picard, the leading frozen food distributor and a former
success story in the French PE landscape, bought from Candover in 2004 for 1.3bn.
In Greece, it owns Regency Entertainment, the leading casino operator in
Southeastern Europewhich was the largest public to private LBO in Greece. In
Turkey, it recently announced the acquisition of a majority interest in Migros, the
countrys largest food retailer.
In 2008, funds advised by BC Partners completed the acquisition of Intelsat, a world
leader in fixed satellite services, for US$16.5bn despite the turmoil in the credit markets.
126
BC Partners
GETTING HIRED
BC Partners investment managers work as one team across its six country offices.
Teamwork skills, international exposure and the ability to operate in several
languages are therefore highly valued. Investment managers are not recruited
straight from school. They must accumulate significant experience before joining,
mostly in strategy consulting and investment banking.
BC Partners doesnt advertise for recruiting.
Higher Diploma

PhD/JD/MD (2%)
MBA (40%)
Masters (9%)
Source: Candesic

Banks (32%)
Other (26%)
Source: Candesic
127

6
5
4
Bocconi (4)
HEC (4)
Cambridge (5)
INSEAD (5)
Harvard (6)
Source: Candesic
8
7
6
5
Merrill Lynch (3)
McKinsey (3)
Morgan Stanley (4)
BCG (4)
Bain (8)
Source: Candesic
128
BRIDGEPOINT
CAPITAL LTD.
ADVENT
INTERNATIONAL
30 Warwick
Street
UK
Regional Headquarters
London International
WC1B 5AL plc
Advent
United
Kingdom Palace Road
111
Buckingham
Tel: +44SW1W
(0)20 740SR
32 3500
London
UK
www.bridgepoint.eu
Tel:
+44 20 7333 0800
EUROPEAN
LOCATIONS
European
Locations
KEY COMPETITORS
THE STATS

Cinven CVC EQT Industri Kapital
Chairman: David Shaw

The
Stats
Total private equity funds under management: 8bnPeter
in 2007
Chairman:
A. Brooke
Employees:Type:
60 professionals
2007
Employer
IndependentinPrivate
No. of Offices: 8
Company
Employees:
130FOCUS
investment professionals,
COMPANY
Sectors:
No.
of Offices: 15
Consumer
Financial services
Healthcare
Media
Company
Focus
Support Services
Transport
Sectors:
Financial
stages:
Retail
& Consumer
Expansion Media
development,
Large buy-out
Technology,
& Telecoms
(150m-300m
Mid-market buyHealthcare
& Lifeequity),
Sciences
out (15m-150m equity), Replacement
Industrial
Types of stages:
financing:
Financial
International
Main: Majoritybuyouts,
Equity recapitalization and
Types of financing:
Majority equity
130
London (HQ) Frankfurt Luxembourg

Madrid Milan
Paris Frankfurt
Stockholm
Amsterdam
Bucharest

Warsaw
Kiev
Madrid Milan Paris Prague
(affiliate)
Rest of the World
Boston (HQ)
Tokyo
SingaporeCONTACT
(affiliate) Buenos
EMPLOYMENT
info@bridgepoint.eu
affiliates
in five other countries
Key Competitors
Cinven Montagu
Employment Contact
Bridgepoint is a UK-based mid-market specialist headquartered in London, with

offices spread throughout seven other major European cities. The firm has a strong
25-year track record of investing mainly in Western and Northern European markets,
having invested over 8bn in 150 transactions. Bridgepoint is seen as a premium
brand with consistently solid returns, and has handed back over 5 billion to its
investors in the last five years. The 2001 vintage fund alone is said to have returned
over two times investors money at a 37 per cent annual return rate, as of June 2007.
VINTAGE YEAR
FUND CAPITAL
Bridgepoint Europe IV
2008
4 (target)bn
Bridgepoint Europe III
2005
2.5bn
Bridgepoint Europe II
2002
2bn
FUNDS
Outside looking in
One of Bridgepoints unique selling points is their reliance on impartial external
advice; they have an advisory committee made up of external industry experts who
are present at every investment evaluation. The firm tends to emphasise this
transparency and accountability between investors and management, and is said to
encourage an open minded outlook amongst employees. The advisory committee,
who recently recruited the dean of INSEAD among their ranks, acts as an overarching
advisory panel to the local teams who do the work on the ground.
In the land of the blind

Although global credit conditions have all but put the brakes on large-cap private
equity deals, triggering predictions of a PE market crash, Bridgepoint has announced
the closure of its fourth fund ahead of even the most optimistic expectations. The
fund is set to close in early 2008, having over-subscribed the 5bn hard cap, even
though it has yet to make any exits from its 2005 vintage fund.
131
THE SCOOP
A proper European mid-market firm

A few years ago, Bridgepoint was already recognised as the exemplar European midmarket firm: it was named European Mid-Market Firm of the Year in Private Equity
Internationals Global Private Equity Awards for 2004, as well as European MidMarket Buyout Firm of the Year in Financial News' annual awards for excellence in
private equity in 2003 and 2004. It also won the award for Best Middle Market
Buyout at the 2003 European Private Equity Summit & Awards in Paris.
Lately, Bridgepoint has lived up to its reputation. In 2006, the firm invested 885
million and returned 2 billion to investors. Acquisitions include German lens-maker
Rodenstock (660m enterprise value), Italian perfumery chain Limoni for 480
million, French optical Alain Afflelou for 470 million and UK clothing retailer Fat
Face for 540 million.
That year, Bridgepoint tripled their investment in the UK storage group Safestore
and made 4.5 times their money on Swedish care services provider Attendo.
Furthermore Bridgepoint made a 760 per cent return on the sale of Nordic car park
operator CarPark. It also sold French nursing home operator Medica to BC Partners
for 750 million. Less than three years earlier Bridgepoint had acquired the company
together with Alpinvest for 330 million.
In 2007, Bridgepoint did even better with a record number of acquisitions, including
Dutch educational publisher Infinitas Learning (formerly Wolters Kluwer Education)
for 774 million, Leeds Bradford International Airport in the UK for 214 million and
Global Design Technologies, a Franco-American Aerospace component supplier for
254 million. In May, it acquired Gambro Healthcare, Europe's No. 2 dialysis care
services group from Swedish firm Gambro, pre-empting other bidders in an
accelerated process.
Another major event of 2007 was the sale of UK-based diagnostic imaging services
provider Alliance Medical to Dubai International Capital for 600m. Bridgepoint
bought the company in an 86m buy-out transaction in January and has made a four
times return on the sale.
The widening of Europe

In March 2007 Bridgepoint announced the opening of an office in Warsaw to address
the market in Central and Eastern Europe. In November it acquired Polish CTL
Logistics from its founder. CTL is Central Europe's leading private rail logistics
company and one of the largest private rail operators in Europe with 2,500 employees
and 2006 revenues of 249 million.
132
Bridgepoint consists of small investment teams with experience in local markets.

They have a strong investment background and the top former employer is the
former Natwest Bank, now part of RBS. Bridgepoint also supplements their teams
with a few strategy consultants and transaction service professionals, predominantly
from Ernst & Young and PWC.
Higher Diploma

Unknown (17%)
Masters (24%)
MBA (32%)
Source: Candesic

Banks (35%)
Other (38%)
Source: Candesic
133
GETTING HIRED
Higher Diploma

8
7
6
Harvard (3)
5
4
3
2
INSEAD (3)
Bocconi (4)
Manchester (4)
1
0
Cambridge (7)
Source: Candesic

5
GE (3)
3
PWC (3)
2
Ernst and Young (4)
UBS (4)
RBS (Natwest) (5)

Source: Candesic
Cambridge and Manchester dominate in the pedigree of the UK team, while Bocconi
no surprise is the most frequent alma mater in the Italian team. MBAs now
account for a third of the managers, with INSEAD and Harvard leading the pack.
If you are interested in joining the firm, Bridgepoint invites you to contact their
human resources team at gill.neaster@bridgepoint.eu.
134
CANDOVER
20 Old Bailey
London EC4M 7LN
United Kingdom
Tel: +44 (0)20 74 89 9848
Types of financing:
Other: Debt, Mezzanine, Shareholders
loans
www.candover.com
EUROPEAN LOCATIONS
THE STATS
Managing Director: Colin Buffin
(LSE) unique structure with plc owning
ltd
Ticker Symbol: CDI
Total private equity funds under management: 3.5bn (of which 2.9bn from
third parties)
Employees: 39 professionals in 2007
No. of Offices: 5
London (HQ) Madrid Milan Paris

Dusseldorf (may be relocated)
KEY COMPETITORS
Apax BC Partners Bridgepoint Cinven CVC EQT Industri Kapital PAI
EMPLOYMENT CONTACT
info@candover.com
COMPANY FOCUS
Sectors:
Media
Financial Services
Support Services
Leisure
Healthcare
Technology
Industrial
Other sectors
Financial stages:
Large buy-out (150m-300m equity),
Mid market buyout (15m-150m equity)
135
THE SCOOP
Candover is a London based firm specialising in large-cap, and often high profile,
buyouts. In 1980 Roger Brooke, a former diplomat turned CEO, met Henry Kravis,
co-founder of KKR, to learn about a new kind of transaction that was gaining
popularity in the US: leveraged buyouts. A few months later, he got together 100,000
from Electra, 3i and various UK pension funds to set up Candover, the first buyout
firm in Europe. In one of its earliest transactions, the confectionary unit Famous
Names, it made a return of ten times its investment, making people take notice.

VINTAGE YEAR
FUND CAPITAL
The Candover 2005 Fund
2005
3.5bn
2002
2.7bn
1998
1.4bn
FUNDS
While Candover began life as a niche investment firm focusing on UK deals, it has
since grown to be a truly Western European player. The expansion outside of the UK
was slightly behind other firms, although each new office was established with a key
partner in charge. In 2002, Candover hired Cyrille Chevrillon, its longstanding French
partner who had contributed to the successful buyout of Picard, to head the Paris
office. That same year, the firm appointed Kurt Kinzuis to head up the German team.
But Germany would prove to be more difficult, and shortly after, Candover
appointed Jens Tonn to the role. After nine years, in November 2007, following his
decision to leave the company and head Vestars new German office, Candover
appointed Boris Hentze as Head of Germany. Currently, the firm doesnt have a
German office anymore and the German team works out of London. Also in 2002,
Alejandro von der Pahlen joined the firm as an adviser to originate deals in Spain
and Portugal. Candover formally opened an office in Madrid shortly after, and in
2006 relocated Aldo Maccari from London to Milan to open the Italian office. The
firm also named Humphrey Cobbold, a former McKinsey partner, in the newly
created position of Origination Director with responsibility for coordinating
Candover's deal sourcing activities across Europe.
136
Over the last 27 years Candover has closed nine funds with almost 9bn worth of
investor money raised; the firm has taken these funds and completed 134 buyouts to
date, valued at 40bn, creating an average rate of return of 34 per cent.
Candovers managing directors, Colin Buffin and Marek Gumienny, have been with
the firm for close to 20 years. They are unique in that the structure of the company,
Candover Investments plc and wholly owned subsidiary Candover Partners Limited,
allows for a very transparent investment process. Some initial conclusions about the PE
slow down were actually founded on publicly available Candover investment research,
which Gumienny has referred to as a healthy correction of the market. For many
years, Candover has been publishing a quarterly barometer of private equity in Europe.
The latest Candover 2005 Fund focused on investments in the European markets,
with eight transactions made before 2008. Candover particularly looks for companies
in Benelux and the UK with solid management, good growth opportunities and
company values between 150 million and 1 billion. For example, the investment in
Capital Safety Group, a UK based designer and manufacturer of height safety and fall
protection equipment, was evaluated in May 2007. The deal value was set at 415
million and funded by debt, mezzanine and private equity funding, where Candover
provided the private equity and partnered with other firms to enlarge the equity
commitment. Capital Safety Group has a high quality management team, a strong
market position and real growth potential. The transaction has an estimated IRR
(Internal Return Rate) of 23 per cent over the next 9 years.
An excellent and consistent track record

Candover generally acquires three to five companies in a year. They tend to have
pan-European activities. While the amounts are often undisclosed, its typical
investment has an enterprise value of around 500 million.
In 2007, Candover acquired Capital Safety Group from Electra Private Equity, PLC;
Alma Consulting Group, the European leader in cost reduction and tax recovery
services, from Apax Partners; and Parques Reunidos, a European operator of
attraction parks, from Advent International. It is currently awaiting the result of its
public offer for Stork N.V. which represents a total value of 1.5 billion.
In 2007, the firm was particularly active with several key exits taking place, which
they expect to continue into 2008. Candover realised the majority of its investment in
Wellstream, a leading global manufacturer of flexible pipeline, through an IPO on the
137
Candover
Evaluating investments
London Stock Exchange, with a return of four times its original investment. It also
sold Bureau van Dijk Electronic Publishing to BC Partners with a return of 2.3 times
its original investment, and sold Get, the Norwegian cable TV operator, to
Quadrangle and GS Capital Partners for 745m, realising an IRR of 50 per cent.
In July 2004, Candover, 3i and JP Morgan Partners acquired Vetco International from
ABB Oil & Gas for $925 million. In 2007 the consortium sold it in two parts: Vetco
Gray to GE Oil and Gas for $1.9 billion and Aibel to Ferd Private Equity (now
Herkules Capital) for $0.9 billion.
In December 2004, Candover led the 465m management buyout of the Thule Group,
a Swedish company and the world leader in sports utility transportation. It sold it in
2007 to Nordic Capital, realising an IRR of more than 40 per cent.
GETTING HIRED
Candover has built a team of 35 to 40 professionals hired from various industries.
Cambridge and Oxford feature prominently among employees degrees and 40 per
cent of them hold an MBA from a prestigious university, mostly Harvard, INSEAD
or LBS. But as usual investment managers join with significant previous experience
in banking, accounting, consulting or the industry.
Candidates interested to apply should contact the office of their choice on Candovers
website under Contact us.
138
Candover
Higher Diploma
Masters (54%)
Unknown (3%)
MBA (40%)
Source: Candesic

Banks (26%)
Other (37%)
Source: Candesic

8
7
6
5
LBS (3)
Oxford (3)
Harvard (4)
INSEAD (4)
1
0
Cambridge (7)
Source: Candesic

3.0
2.5
2.0
BCG (2)
1.5
McKinsey (2)
1.0
Arthur Andersen (3)
0.5
3i (3)
0.0
PWC (3)
Source: Candesic
139
CINVEN
Warwick Court, Paternoster Square
City, Country
London EC4M 7AG
United Kingdom
Tel: +44 (0)20 76 61 3333
EUROPEAN LOCATIONS
www.cinven.com
New York Hong Kong
THE STATS
KEY COMPETITORS
Managing Director: Robin Hall

Total private equity funds under management: 9bn
No. of Offices: 4
Apax Bridgepoint Candover BC

Partners CVC PAI Permira
COMPANY FOCUS
Sectors:
Business & Financial Services
Healthcare
Industrials
TMT
Retail
Leisure
Consumer
Financial stages:
Large MBO/MBI (EV>500m with at
least 100m equity), Public to private
Types of financing:
Majority Equity
140
London (HQ) Frankfurt Milan Paris
OFFICES IN PLANNING
EMPLOYMENT CONTACT
None. Cinven does not recruit graduates
nor does it offer internship programmes.
It is currently not recruiting at any level.
Cinven
THE SCOOP
Since 1977 Cinven has been one of the largest private investment funds dedicated
solely to the European market, and lays claim to having executed more large,
complex European buyouts than any other firm. In July 2006 they announced the
closure of the Fourth Cinven Fund, which exceeded its target of 5 billion; at 6.5
billion it is one of the largest funds dedicated solely to European buyouts, enabling
the firm to build on the 60 billion worth of transactions it has led so far. Each year,
Cinven invests in only a handful of companies of significant size, sometimes with an
entreprise value of several billion, and seeks to bring a pan-European dimension to
the businesses future opportunities. Since their founding, Cinven has invested in 23
transactions with more than 1 billion total consideration.

VINTAGE YEAR
FUND CAPITAL
Fourth Cinven Fund
2006
6.5bn
Third Cinven Fund
2002
4.4bn
FUNDS
Its all in the name

Cinven originated as the in-house private investment arm of the British Coal Pension
Funds (Coal INvestments VENture), which was one of the largest pension schemes
in the late 70s. Due to early success the private equity activities of the Railways
Pension Scheme and Barclays Bank Pension Funds were absorbed by Cinven in 1988
and 1990 respectively. The management then decided to buy themselves out from
the pension fund owners, and gained their independence in 1995 following the
Thatcher legislation that privatised British Coal.
Cinven has a prescence in the major European financial centres, with offices in
London, Paris, Frankfurt and Milan. France and Germany opened in 1999, while the
Italian office was opened in 2006. The next European opening could be in Spain or
in the Netherlands, with two investments having been executed in each country.
However, in early 2008, Cinven announced that it was going to open offices in New
York and Hong Kong ahead of its next fundraising.
141
A diversified portfolio of companies

After an initial focus on TMT and Healthcare, Cinven diversified their portfolio by
investing in the Industrial and Leisure sectors from 1999. In addition to those sectors,
they own companies who operate in financial services as well as in retail and
consumer industries. In 2006 Cinven gained their largest acquisition, a TMT company
called Dutch Cable, at 5.4 billion. Dutch Cable became the second European cable
operator in their portfolio, behind Numricable, which they acquired in 2005. The
second largest deal was in 2006, with the acquisition of the Amadeus travel
distribution services for 4.4 billion.
Recent focus on healthcare

2007 was the year of healthcare, with three out of five acquisitions in the sector. At
the beginning of the year, Cinven acquired Phadia, the global leader in in-vitro
allergy diagnostics and the European leader in autoimmunity diagnostics, for close
to 1.3 billion. In the summer of 2007, Cinven acquired BUPAs 25 hospitals in the UK
for a total consideration of 1.44 billion as well as Spanish hospitals USP Hospitales
for a total consideration of 675 million, with a view to consolidate the fragmented
Iberian healthcare market. Altogether, this represents a significant strategic exposure
to the healthcare sector.
The other two investments of 2007 were both in retail. Camaeu is a leading womens
fashion retail chain with 557 stores, 421 of which are in France. Cinven acquired a 67
per cent stake with the strategy to support and accelerate the roll out of new stores
across its core markets.
Cinven also took private Gondola Holdings in a 1,335m transaction. With about
400m in revenue, Gondola is the largest group in the UK casual dining sector and
operates the 525 of famous brands like PizzaExpress, ASK and Zizzi. Cinven will
support further growth through the roll-out of existing formats, the acquisition of
additional brands with growth potential and the pursuit of other consolidation
opportunities through selective acquisitions.
Although Cinven recently lost against BC Partners in the auction on data provider
Bureau van Dijk, it is likely that Cinven will be back in the fundraising market in the
next two years.
142
Cinven
GETTING HIRED
There are 51 professionals working at Cinven. While Bain & Company tops the list
of their previous employers, investment banks account for 40 per cent of them.
Cinven has a diverse European team but the core group is definitely English,
educated at Cambridge, Oxford, LSE and Edinburgh.
Higher Diploma

Unknown (2%)
PhD/JD/MD (2%)
MBA (15%)
Masters (44%)
Source: Candesic

Banks (40%)
Other (31%)
Source: Candesic
143

10
8
6
ESCP-EAP (3)
LSE (3)
4
2
0
HEC (4)
Oxford (4)
Cambridge (10)
Source: Candesic
6
5
4
JP Morgan (3)
Morgan Stanley (3)
Goldman Sachs (3)
1
0
BCG (4)
Bain (6)
Source: Candesic
Cinven has one of the most stable teams in the private equity industry. Their strategy
is to retain employees for as long as possible in order to preserve their knowledge and
expertise. Many of their partners have been involved since the very beginning in
1988. Maybe for that reason, it is clearly not the policy of the firm to advertise
positions. Candidates will have to rely on their personal networks and their good
fortune to fill a potential vacancy.
144
CVC CAPITAL PARTNERS LTD

111 Strand
London WC2R 0AG
United Kingdom
Tel: +44 (0)20 74 20 4200
EUROPEAN LOCATIONS
www.cvc.com
Luxembourg (HQ) Amsterdam Brussels Copenhagen Frankfurt London

Madrid Milan Paris St. Helier
Stockholm Zurich
THE STATS
REST OF THE WORLD
CEO: Fred Watts

Total private equity funds under management: 20.9bn in 2007
Employees: 135 (of which 100 investment professionals) in 2007
No. of Offices: 18
New York Hong Kong Seoul Singapore Tokyo Sydney
KEY COMPETITORS
Apax BC Partners Bridgepoint
Candover Cinven EQT Industri
Kapital PAI
COMPANY FOCUS
Sectors:
Distribution
Food/Beverages
IT/Media
Manufacturing
Retail
Services
EMPLOYMENT CONTACT
humanresources@cvc.com
Financial stages:
Mega buyout (>300m equity), Large
buy-out (150m-300m equity), Public
to private
Types of financing:
Main: Majority equity
Other: Debt, CLOs (second lien and
mezzanine instruments), Infrastructure
145
THE SCOOP
CVC Capital Partners was founded in 1981 as Citicorps European private equity
arm, and was subsequently bought out by the firms partners in 1993. CVC boasts 135
employees with 16 nationalities. They operate a network of 18 offices on four
continents, one of the largest and most extensive in the private equity industry.
Although still focused on European assets, they have aggressively expanded into
Australasia and recently opened their first office in the US.

VINTAGE YEAR
FUND CAPITAL
CVC European Equity Partners V
2008
11(target)bn
CVC European Equity Partners Tandem Fund
2007
4bn
CVC European Equity Partners IV
2005
6bn
CVC Capital Partners Asia Pacific II
2005
$2bn
CVC European Equity Partners III
2001
$4bn
FUNDS
Since inception, the firm has made around 260 investments with a total value of
65bn, and currently holds a portfolio of 53 firms mainly in the retail, manufacturing
and service sectors. Together these companies have combined annual sales of 55.3
billion and employ approximately 431,000 people. Their third European fund
achieved annual returns of over 40 per cent after fees, making it one of the most
successful pan-European houses.
The virtue of patience

CVC has a slightly longer than average investment horizon, looking to hold
companies for more than 5 years. This helps keep partners around longer; currently,
the average partner tenure is 12 years.
In 2005, CVC was awarded the title of Best European LBO Firm by the Private
Equity International Awards as well as Most Impressive LBO Sponsor by EuroWeek.
CVC are major players on the European scene, with high profile takeovers such as
Formula One, the motorsport management company, and the AA roadside assistance
146
Global coverage
CVC Asia Pacific has been one of the most active private equity investors in the Asia
Pacific region and has completed 25 MBOs there in the last seven years. They opened
their fifth office in the region in Singapore in 2007. The same year, they faced their
first major conflict in Asia as unions at Coca-Cola Korea Bottling Company plants
opposed their acquisition of the business. In 2007 too, CVC appointed Christopher
Stadler, previously head of InvestCorp's private equity business in North America,
to open and run their first American office in New York.
CVCs portfolio covers a wide variety of industries, geographies and economic
environments. In 2006, their nine investments were already regionally diversified
four in Europe, four in Asia and one in Australia. In 2007, they have had 12 deals, of
which eight were in Europe, two in the U.S., one in Asia and one in Australia. The list
includes a diverse group of companies such as Belgium specialty chemicals firm
Taminco for 0.8bn; CementBouw and Koninklijke Volker Wessels Stevin in the
Netherlands; Danish retailer Matas; German firms Ista and DYWIDAG-Systems
International; AA, the UK roadside and insurance business, now merged with Saga;
Samsonite, the luggage company, for $1.7bn; global chemical distributor Univar for
1.5bn; Amtek Engineering from Singapore; and 75 per cent of PBL Media in Australia.
In December 2007, CVC announced the appointment of Stephen Vineburg as Chief
Executive of a newly established infrastructure investment business. A new $2 billion
fund will be launched in 2008, to make investments globally.
147
CVC Capital Partners Ltd
firm. Their latest fundraising effort is rumoured to be targeting 11bn, although in

current market conditions this looks ambitious, and the growing infrastructure team
is thinking about doing the rounds for 2bn of their own. The trend towards lower
risk infrastructure funds is driven by worsening market conditions, as the relatively
steady cash flows are less reliant on things like consumer spending.
GETTING HIRED
CVC Partners boasts a true pan-European team with professionals educated at a wide
range of top universities across Europe, like Stockholm, WHU or ESCP-EAP.
Higher Diploma

Unknown (5%)
PhD/JD/MD (2%)
MBA (30%)
Masters (51%)
Source: Candesic

Banks (45%)
Other (36%)
Source: Candesic
148
CVC Capital Partners Ltd

6
5
4
ESCP-EAP (4)
Stockholm (4)
INSEAD (4)
WHU Koblenz (5)

Cambridge (6)
Source: Candesic
10
8
6
PWC (4)
Goldman Sachs (4)
4
2
0
JPMorgan (5)
McKinsey (7)
Citigroup (10)
Source: Candesic
An insider mentions that CVC has a very competitive environment with a culture of
strong collegiate rivalry. The investment professionals have an average of eight years
service within the firm. Their previous backgrounds include investment banking
primarily, with a range of experiences in consulting, accounting, private equity and
other areas of asset management, law, property development and general
management in various industries.
To learn more about employment opportunities at CVC you can email
humanresources@cvc.com.
149
DOUGHTY HANSON
45 Pall Mall
London SW1Y 5JG
United Kingdom
Tel: +44 (0)20 76 63 9300
EUROPEAN LOCATIONS
London (HQ) Frankfurt Luxembourg
Madrid Milan Munich Paris
Stockholm
www.doughtyhanson.com
KEY COMPETITORS
THE STATS
Executive Director: Nigel E. Doughty
Total private equity funds under management: 5bn (estimate)
Employees: 123 staff (56 professionals),
15 nationalities in 2008
No. of Offices: 8
Apax Bridgepoint Candover
EMPLOYMENT CONTACT
info@doughtyhanson.com
COMPANY FOCUS
Sectors:
All sectors
Financial stages:
Expansion development, Mega buyout
(>300m equity), Large buy-out
(150m-300m equity), Mid market buyout (15m-150m equity), Technology
venture, Real estate
Types of financing:
Other: Minority Equity, Shareholders
loans
151
THE SCOOP
Founded in 1985, Doughty Hanson is a leading UK private equity company that splits
its efforts between three investment activities; early stage technology investments,
real estate investments and mid to large cap leveraged buyouts. The company as a
whole has an aggregate acquisition value of 23 billion in over 100 transactions, with
a strictly European portfolio. Although the majority of Doughty Hansons investment
professionals are based in London, they have regional offices in Frankfurt,
Luxembourg, Madrid, Milan, Munich, Paris and Stockholm.
VINTAGE YEAR
FUND CAPITAL
Doughty Hanson & Co. Fund V
2007
3bn
Doughty Hanson & Co. Fund IV
2005
1.5bn
FUNDS
The firm is not particularly sector focused; their current portfolio includes companies
from sectors as diverse as luxury goods, media, retail, mobile phones, engineering,
manufacturing and building materials. The firm invests in market leading companies
with enterprise values between 250 million and 1 billion and prefers to be the sole
investor with a majority stake in the company. The technology venture capital
investments can be as little as 0.1 million for seed investments and 10 million for
later stage investments.
Show me the money

In May of 2007, Doughty Hanson closed their fifth fund, aptly named Fund V, with
3 billion of investors money earmarked for European leveraged buyouts. The firm
had already announced two acquisitions using Fund V: Norit, a Dutch purification
technology company, and Avanza, the largest independent bus operator in Spain. In
December, CTSA, the third largest bus operator in Spain, was added to the portfolio
for an enterprise value of around 90 million.
Cashing out
In early 2008, the firm is closing its sale of the Moeller Group, a global manufacturer
of systems for building applications, to the Eaton Corporation for 1.55 billion,
152
The crystal ball of valuations

In 2007, PricewaterhouseCoopers was recruited to value the business, enabling Nigel
Doughty and Richard Hanson to buy out the other remaining co-founder, Bruce Roe,
who had retired the previous summer. PwC came up with a figure of 9.4 million for
Mr. Roes 12,440 shares; since valuing companies is Mr. Roes profession he put
together his own model, and came up with a value of 104 million, or 11 times the
PwC valuation, for the same shares. The impending lawsuit will undoubtedly
scrutinise the underlying assumptions, but when it comes to valuing businesses one
thing is certain there is always room for interpretation.
GETTING HIRED
In April 2008, Doughty Hanson increased tremendously their transparency when
they unveiled their 2007 annual report. Still they remain one of the few established
private equity firms that do not disclose any information about their team members.
While investment professionals are expected to bring significant industrial experience
to the team, the firm occasionally hires juniors from Stockholm School of Economics,
London School of Economics, Oxford, Cambridge or HEC. INSEAD graduates
represent more than 10 per cent of the investment team.
153
Doughty Hanson
representing a three times return on equity and a gross IRR of 54 per cent. The firm
was acquired by the Munich team using the 1.5bn Fund IV, which closed in early
2005, with a price tag of 1.1bn including pension liabilities. The sale is the second exit
from Fund IV, the first being Saft, a French high-end battery maker, meaning a total
of 1 billion has been returned to investors with nine Fund IV investments yet to be
realised. Companies still in the portfolio include Tumi, the luxury luggage maker,
Hellermann Tyton, a cable company, and TV3, the Irish TV company.
DUKE STREET CAPITAL

Almack House, 28 King Street,
London SW1Y 6XA
United Kingdom
Tel: +44 (0)20 74 51 6600
Types of financing:
Other: Shareholders loans
www.dukestreetcapital.com
EUROPEAN LOCATIONS
London (HQ) Paris
THE STATS
Managing Director: Peter Taylor
Employees: 34 in 2007 (18 investment
professionals)
No. of Offices: 2
KEY COMPETITORS
Apax European Capital Montagu
Quilvest
EMPLOYMENT CONTACT
mail@dukestreetcapital.com
COMPANY FOCUS
Sectors:
Business Services & Outsourcing
Retail & Consumer
Healthcare
Leisure
Financial Services
Financial stages:
Expansion/development, Refinancing
bank debt, Secondary purchase/replacement capital, Rescue/turnaround, MBO,
MBI, Institutional BO, Leveraged Build
Up, Public to private
Large buy-out (150m-300m equity),
154
Since 1980, Duke Street Capital has been involved in mid-market private equity
investments in the UK and France, from their offices in London and Paris. Duke Street
uses an operational improvement strategy to add value, and retains the services of
industry experts as operational partners. The firm specialises in management buy-ins
and actively advertises for experienced managers to approach them with potential
investment opportunities.
FUNDS
VINTAGE YEAR
FUND CAPITAL
DSC VI
2006
0.85bn
In 2004, the firm sold its 1.5bn leveraged loan CDO management business to Babson,
a subsidiary of MassMutual, to concentrate on its private equity business.
By the end of 2007, Duke Street had closed 49 transactions in the business services,
retail and consumer, healthcare, leisure and financial services sectors. The firm points
out that they will consider any opportunity, but their expertise and experience is
currently focused around these sectors. The firm is currently in the process of
investing its sixth fund, DSC VI, with approximately 2 billion under management.
In 2007, the DSC V fund went through the build stage of a buy and build
strategy, with acquisitions and organic growth bulking up the portfolio companies.
In April, Food Partners, the leading supplier of pre-packaged sandwiches in the UK,
acquired a major competitor, Brambles Food, for an estimated 210 million.
In June of 2007, Duke Street acquired Oasis Healthcare, a leading corporate dentist,
for 76.9 million plus debt, adding to the flurry of activity in the preceding year;
Hutton Collins had recently bought into James Hull Associates and Legal & General
Ventures had acquired a controlling stake in Integrated Dental Holdings. The sector
is very fragmentedcorporate dentists account for less than 5 per centand many
industry observers are predicting further consolidation.
In December of 2007, the firm acquired The Original Factory Shop, a value retailer
headquartered in Burnley, UK. The deal, valued at 68.5 million, will see a
nationwide growth strategy roll out new shops throughout the UK, adding to the 84
outlets currently owned by OFS.
155
Duke Street Capital
THE SCOOP
GETTING HIRED
Staffing
The firms 21 investment professionals are split between London and Paris, with
about three quarters of them in the UK. Although it is hard to draw conclusions from
such a small number of professionals, the majority came from top investment banks
and from other private equity firms. Management consultants are absent and only
one Big Four accounting firm, PricewaterhouseCoopers, is represented.
Recruiting
The educational background of Duke Street professionals is very diverse, with
Durham, Cambridge, Dauphine and ESCP-EAP being the most popular
undergraduate universities. While two thirds of the investment professionals have a
Masters degree, the MBA is the exception. Insiders point out that there is no specific
recruiting policy; the team is relatively small and hiring needs are filled ad hoc.
156
ADVENT
INTERNATIONAL
EQT
PARTNERS
PO Box 16409, Linngatan 6
103 27 Stockholm
Sweden
Tel: +46 8 50 655 300
www.eqt.se
THE STATS
Managing Partner: Conni Jonsson
Employees: 80 professionals in 2008 (67
investment professionals)
No. of Offices: 9
EUROPEAN LOCATIONS
Stockholm (HQ) Copenhagen Frankfurt Helsinki Munich Oslo
REST OF THE WORLD

New York Hong Kong Shanghai
KEY COMPETITORS
3i Apax Carlyle Industri Kapital
Nordic Capital
CAREER CONTACTS
+46 8 (0)50 655 300
COMPANY FOCUS
Sectors:
All sectors
Financial stages:
Expansion development, Mega buyout
(>300m equity), Large buy-out (150m300m equity), Mid market buyout
(15m-150m equity), Other early stage,
Privatisation, Public to private, Replacement, Seed, Small buyout (<15m equity), Start-up, Turnaroundrestructuring
Types of financing:
Other: Mezzanine
157
THE SCOOP
Founded in 1994 by Investor AB, EQT Partners (an abbreviation of equity) is a
leading private equity house, based in Sweden. The firm has over 11 billion under
management, and has invested 5 billion in 60 companies, with a particular focus on
Northern Europe and China. In particular, the firm is active in Scandinavia, Benelux,
Finland, Austria, Switzerland and Germany. The firm targets leading medium-sized
companies, specializing in buyouts, mezzanine financing and special situation
investments. The opportunity fund invests in turnarounds, insolvencies,
restructurings and special situations where revenues exceed 50 million. Currently,
the European portfolio is invested mostly in Sweden, Denmark and Germany, and
to a lesser extent in Finland. The rest of the portfolio companies are in Greater China.

VINTAGE YEAR
FUND CAPITAL
EQT V
2007
4.2bn
EQT Expansion Capital II (mezzanine)
2007
0.5bn
EQT Opportunity (distressed)
2005
0.4bn
EQT IV
2004
2.5bn
FUNDS
Growing older, leaving the nest

In 2007, the firms partners agreed to buy an additional 36 per cent of EQT Partners
for 31.2 million from Investor AB, taking their total ownership to 69 per cent. This
separation away from Investor AB is also noted in the fundraising; in the European
based funds, Investor ABs contributions have fallen from a high of 32 per cent in EQT
III to 12 per cent of the latest EQT V. This drop could be somewhat explained by the
increasing total value of the funds, as the EQT V fund is more than twice as large as
EQT III, although this still represents a reduced investment by Investor AB in real
terms. The remaining investment comes from the Nordic area (30 per cent), Europe (30
per cent), North America (25 per cent) and other parts of the world (15 per cent).
158
EQT has a little more clout than their fund size would suggest, as they are backed by
the Wallenberg family, who own a controlling stake in Investor AB and are one of
Swedens wealthiest families. The Wallenbergs were famously nicknamed the
Royal family of Swedish business for their heritage and success as bankers and
industrialists. The family currently owns the majority of the preferred stock in
Investor AB, which holds superior voting rights over regular shares, meaning that
they have ultimate control over the company even though it is publicly listed.
Recently, activist investors have tried to initiate a break-up of the group, which has
been trading below the value of its assets for years, to no avail.
EQT prefers to list their portfolio companies when exiting investments, having been
involved in several successful public offerings in the past. In 2006, EQT listed
Symrise, the German flavours and fragrances firm, at the top end of its price range,
making it the biggest German IPO that year at 1.4 billion. Tognum, a diesel engine
manufacturer, was listed on the German mid-cap index in 2007, with a significant
oversubscription resulting in a total offering volume of around 2 billion. Since
listing, Tognum has outperformed the German mid-cap index by around 3 per cent,
with EQT still owning around a fifth of the shares.
In 2008, EQT plans to partner with Goldman Sachs Capital Partners to list ISS, the
Danish cleaning company, which they took private in 2005 for 4 billion. EQTs other
future ambitions include opening an office in Hong Kong, and further investments
in Eastern Europe.
GETTING HIRED
EQT Partners has 67 investment professionals with a broad range of industrial and
financial backgrounds. The majority are based in Europe, the Nordic countries and
Germany. Teams are staffed based on their regional and industrial experience. EQT
focuses primarily on professionals with investment banking experience (half of the
professionals), while former strategy consultants represent a distant second. The local
industry is also well represented with former employees from Volvo, ABB, Radisson SAS,
Bertelsmann or VIAG. The most represented universities among staff are Stockholm,
Copenhagen and Helsinki, a further sign of EQTs strong Nordic roots.
Candidates can register their application and CV on EQTs website. The firm is currently
looking for outstanding candidates with relevant experience to join its Greater China team
159
EQT Partners
Royal connections
Higher Diploma
Bachelors only (9%)

Unknown (4%)
MBA (21%)
Masters (66%)
Source: Candesic

Banks (45%)
Other (40%)
Source: Candesic

12
10
8
NYU (3)
INSEAD (3)
Helsinki (7)
2
0
Copenhagen (7)
Stockholm (12)
Source: Candesic
4.0
3.5
3.0
2.5
UBS (3)
2.0
JPMorgan (3)
1.5
Morgan Stanley (4)
1.0
Goldman Sachs (4)
0.5
0.0
McKinsey (4)
Source: Candesic
160
EURAZEO
32 rue de Monceau
75008 Paris
France
Tel: +33 1 44 15 0111
EUROPEAN LOCATIONS
www.eurazeo.com
KEY COMPETITORS
Paris (HQ) Milan (Euraleo)
Bridgepoint PAI
THE STATS
Chairman of Executive Board: Patrick
Sayer
Employer Type: Public listed Company
(Euronext Paris)
Ticker Symbol: RF
Total private equity funds under management: 2.7bn (value of PE portfolio on
31/12/07)
Employees: about 20 investment professionals
No. of Offices: 2
CAREERS CONTACT
+33 1 44 15 0111
COMPANY FOCUS
Sectors:
All sectors
Financial stages:
Mid market buyout (15m-150m equity), public equity, real estate
Types of financing:
Main: Majority Equity; Minority Equity
161
THE SCOOP
In April 2001, Eurazeo was formed through the merger of two renowned French
investment companies, Eurafrance and Azeo, formerly known as Gaz et Eaux, the
gas and water distributor dating back to 1881. The firm currently has an enterprise
portfolio value of 6 billion, almost half of it in private equity, with a heavy focus on
French companies requiring an investment of over 200 million. From 2003 to 2006,
the 3 billion invested boasted an annual IRR of 53 per cent, well above the market
average. Though listed on the Euronext, Eurazeo is effectively owned by institutional
investors, with the public owning only 12 per cent of the shares.
Since 2002, Eurazeo has balanced its private equity investments by allocating 10-15
per cent of its portfolio to real estate assets, while maintaining its significant positions
in major listed corporations. In 2006, the firm sold off its portfolio of funds and
liquidated its Asian assets, shedding any non-strategic investments.
Not too fussy

Eurazeo is not sector focused and prefers to invest in a range of industries to hedge
its exposure to any given sector. It has invested in a wide range of industries, from
satellite operations to vehicle rentals, although each investment must adhere to the
four underlying principles refined over the firms 150 year history: quality of
management, high barriers to entry, profitability and recurring cash flow.
Keeping busy
In 2003, Eurazeo was ranked as the number one French PE firm, having made several
substantial investments that year; Friklin, a European rental truck company with
over 52,000 vehicles, Eutelsat, a division of France Telecom, and Terreal, a French
brick producer, were all acquired that year. The following year, Rexel was acquired
in the largest European LBO at the time, only to be released the following year
through a public offering. In 2005, Eurazeo kept the deal flow going strong by
recapitalizing Eutelsat, acquiring B&B, a hotel chain, and exiting Terreal, which
reached an astonishing IRR of 105 per cent.
In 2006, Eurazeo sold more than 2.1 billion worth of French companies, while
moving away from their home market by launching an Italian office, and acquiring
Eurocar. In 2007, Eutelsat and Fraikin were sold, realising IRRs of 59 per cent and
162
In 2007, Eurazeo launched Euraleo in Italy, in a 50/50 joint venture with Banca
Leonardo. The sister company is managed by Alessandro Foti and concentrates on
the Italian private equity market.
GETTING HIRED
Eurazeos investment team currently consists of about 20 professionals, half of whom
previously worked for an investment bank. They typically graduated from the French
elite schools Ecole Polytechnique and HEC and at least two of them started their
careers within the French government, a significant advantage when trying to get
access to deals in France. Eurazeo is a very French company but its European
ambitions may create opportunities for strong candidates from other European
countries. Candidates can upload their CV and submit their application on the
company website at www.eurazeo.fr/uk/emploi/form.php.
163
Eurazeo
37.5 per cent respectively. The same year, they acquired Apcoa, the German car park
operator, for 885 million, and Vanguard, the US car rental group. To further develop
the non-French European business, Eurazeo invested in Gruppo Banca Leonardo in
Italy and APCOA in Germany.
EUROPEAN
CAPITAL
25 Bedford Street
London WC2E 9ES
United Kingdom
Tel: +44 (0)20 7539 7000
EUROPEAN LOCATIONS
www.europeancapital.com
KEY COMPETITORS
London (HQ) Frankfurt Paris
3i Barclays Private Equity Montagu
THE STATS
Managing Director: Nathalie Faure
Beaulieu
(LSE)
Total private equity funds under management: 2.3bn
Employees: 19 in 2007
No. of Offices: 3
COMPANY FOCUS
Sectors of focus:
All sectors
Financial stages:
Buyouts (50 - 500 million), Mezzanine
(up to 250 million)
Types of financing:
Other: Minority Equity
164
CAREERS WEBSITE
info@EuropeanCapital.com
American Capital, parent company of European Capital, is the largest publicly traded
private equity company in the world and the only alternative asset management firm
in the S&P 500. With over $20 billion under management, the firm allows
shareholders the opportunity to invest in mid-market private companies in all sectors
throughout North America and Europe.
European Capital manages 1.6 billion of funds, targeting middle-market European
firms worth between 5 million and 500 million. The first European offices, in Paris
and London, were only established in 2005, with the further two offices in Madrid
and Frankfurt opening in 2007.
Being an affiliate firm to American Capital has several advantagesthe fund uses
American Capitals back office functions, including the operations, legal and
compliance teams, and benefits from the same access to cheap and available credit.
The European Capital team alone were extended a 900 million credit facility in 2006,
a significant advantage to a relatively new private equity house which would never
have happened if they had been a standalone firm.
The group is also in the process of developing a new fund, European Capital Equity I.
The majority of the firms investments have come from the French and British offices,
with the Frankfurt office making its first investment in July 2007; 10 million was
invested in Euro-Druckservice, a leading commercial printer in Central and Eastern
Europe.
In 2007, the Paris office made several investments in the manufacturing sector and
related industries; 22 million was invested in Global Design Technologies, a
provider of specialised fittings for the aerospace industry; 29 million was invested
in Soflog Telis, a provider of logistics to major industrial consumers; 12.5 million
was invested in Tiama, a manufacturer of in-line inspection devices; and finally,
undisclosed investments were made in Groupe Sud Robinetterie, a valve
manufacturer, and DEVGLASS, a window pane manufacturer and distributor.
That same year, the London office made key investments in the retail sector; 30
million was invested in Camaieu, a womens clothing retailer; 18.5 million was
invested in Fat Face, an active lifestyle clothing brand; and 8 million was invested
165
European Capital
THE SCOOP
in Vivarte, a French retailer of footwear and clothing. Other well known acquisitions
around that time include Gondola Holdings, the food group that owns casual
dinning chains such as Pizza Express and ASK, iglo Birds Eye, the well known frozen
food group, and Selecta, the largest vending services company in Europe.
GETTING HIRED
The investment professionals at European Capital studied at a mixture of American
and European undergraduate universities, representing locally hired staff and
professionals hired from within American Capital to European locations. The
universities are varied, but include top universities such as Dauphine University,
MIT and Durham University. Six out of the 21 professionals have an MBA, from
institutions such as HEC, ENPC and Wisconsin University. Around 40 per cent of
the professionals come from other private equity companies and 30 per cent from
banks. Two of the 21 professionals came from Credit Suisse and two came from
Socit Gnrale, making them the most popular former employers. European
Capital does not run a formal recruitment process, although potential candidates can
contact the firm at info@europeancapital.com to discuss potential opportunities.
166
ADVENT
INTERNATIONAL
GILDE
INVESTMENT
MANAGEMENT
Newtonlaan 91
BP Utrecht
3584
Netherlands
Tel: +31 (0)30 21 92 535
EUROPEAN LOCATIONS
www.gilde.nl
www.gildepartners.com
3i AAC Capital Partners Advent International Barclays Private Equity
THE STATS
CAREERS CONTACT
General Partner: Mr. Boudewijn T. Molenaar

Total private equity funds under management: 2bn (1.3bn Buyout Partners)
No. of Offices: 3
Utrecht (HQ) Paris Zurich
KEY COMPETITORS
info@gilde.nl
COMPANY FOCUS
Sectors:
General Industries, Consumer Goods,
Basic Industries, Services, Other
Financial stages:
Mid market buyout (15m-150m)
Types of financing:
Other: Minority Equity, Shareholders
loans
167
THE SCOOP
Founded in 1982, Gilde Investment Management is a Dutch private equity and venture
capital firm, currently boasting around 2 billion under management. In 1996, the firm
became an independent subsidiary of Rabobank, the Dutch cooperative bank, only to
be released through a management buyout in 2005. Rabobank still has close ties to
Gilde and continues to act as a key investor in their funds, although the management
team thought independence would help attract new institutional investors.

VINTAGE YEAR
FUND CAPITAL
Gilde Buy Out Fund III
2006
0.6bn
Gilde IT Fund (Fund I and II)
1996
0.43bn
FUNDS
Gilde Investment Management is divided into three business units: Gilde Equity
Management (GEM) Benelux Partners invests in Benelux headquartered mid-market
firms, with a transaction size of 15-75 million; Gilde Buy Out Partners focuses on
mid-market companies based in continental Western Europe, with a transaction size
of 75-600 million; Gilde Healthcare Partners is a venture capital company that
invests in European or US emerging healthcare companies in the therapeutic,
diagnostic and medical device sectors.
Gilde Equity Management

Based in The Netherlands, Gilde Equity Management (GEM) is one of the few private
equity houses focusing exclusively on small to mid-market Benelux companies. In
2006, they closed their new institutional fund at its 150 million hard cap, drawing
on institutional investors outside of Rabobank for the first time.
Gerhard Nordemann, co-managing partner, commented on the fundraising, saying
that it closed ahead of schedule with high quality blue chip investors. Rabobank
continued to support the fund, contributing 20 per cent of the total, with thirteen
other institutional investors including Allianz Private Equity Partners, the European
Investment Fund, Rho and Proventure.
168
Gilde Buyout Partners

Gilde Buyout Partners is the most substantial of the three divisions, focusing on the
upper end of the mid-market, meaning they are able to contribute up to 120 million
in a single transaction. In September 2006, Gilde Buy Out Partners closed its most
recent Buy Out Fund III, which at 600 million is one of the larger funds targeting
mid-cap companies in the region. The firms 1.3 billion under management
exclusively targets companies in Benelux, France, Germany, Switzerland and Austria.
In January 2008, the firm made its most recent exit, selling Dutch coffee roasting
company Drie Mollen International to CapVest Equity Partners. Boudewijn
Molenaar, a managing director at Gilde, commented on how successful the
investment had been, allowing the company to go through a buy and build growth
strategy to become a pan-European player; while under Gilde ownership, the firm
acquired Ginger, the Swiss coffee roaster, Merkur, another Swiss coffee roaster, and
First Choice Coffee, a UK-based rival.
The firm is not sector specific and has seen recent transactions come from a variety
of industries. In 2007, Glide acquired Nedschroef, a Dutch manufacturing firm,
Novagraff, a Dutch IP services provider, Novasep, a French chemicals company, and
Royal Swets & Zeitlinger, a Dutch subscription service.
And the other one

Since 2000, Gilde Healthcare Partners has been investing in emerging healthcare
companies mainly from Europe and in some cases the US. Gilde has been providing
seed money to entrepreneurs since its inception in 1982, although the first healthcare
fund wasnt initiated until 2000, with the second fund closing in 2007 at 150 million.
The firm has made four exits from its first fund, mostly through Euronext, and made
the first exit from the second healthcare fund in 2007, listing AMT, a gene therapy
company, on Euronext in Amsterdam.
169
Gilde Investment Management
The firm received the regional 2007 M&A award for Best Private Equity House Mid
Market, and is regarded as one of the key players focusing on the Benelux region. GEM
is not sector focused, but has been particularly successful in the food and manufacturing
industries; investments such as All Crump, Ad van Geloven, Bakker Bart, Hamal
Signature and Royal Peijnenburg in the food industry and Axxicon, Codi, CurTec,
Hevea/Dunlop and De Oliebron/Kroon-Oil in manufacturing being examples.
GETTING HIRED
With offices in The Netherlands, Switzerland and France, Gildes staff of 40
professionals is highly multinational. Their employees have previous backgrounds
in finance, investment banking, consulting, industry and private equity, with a large
variety of former employers.
Since Gilde is a Dutch firm, many of the professionals were educated in Dutch
Universities, including the State University of Groningen, University of Rotterdam,
Free University of Amsterdam, Groningen Rijks University and Leiden University.
Only six out of the 33 professionals have an MBA, which they obtained at top
institutions including INSEAD and Wharton.
170
ADVENT
INTERNATIONAL
HG
CAPITAL
Regional
Headquarters
2UKMore
London
Riverside
plc
London
SE1 2AP
111 Buckingham
United
Kingdom Palace Road
London
Tel:
+44SW1W
(0)20 700SR
89 7888
UK
Tel: +44 20 7333 0800
www.hgcapital.com
THE STATS
Managing Director: Ian Armitage
Employer
The StatsType: Private Company, Investment Trust
Chairman:
PeterLSE:
A. Brooke
Ticket
Symbol:
HGT.L
Employer
Type:
Independent
Private
Total
private
equity
funds under
manageCompany
ment:
2.5bn
Total private70equity
funds under
Employees:
in 2007
management:
11bn (2008)
No.
of Offices:about
3
15
COMPANY
Sectors:
Consumer & Leisure
Healthcare
Company Focus
Industrials
Sectors:
Services
TMT
Retail & Consumer
Technology,
Media & Telecoms
Financial
stages:
Healthcare&development,
Life Sciences Large buyout
Expansion
Industrial
(150m-300m
equity), Mid market buyout (15m-150m), Privatisation, Public
Financial
to
private,stages:
Replacement, Turnaround
restructuring
equity),ofsome
venture capital
Types
financing:
Types of financing:
Majority equity
European Locations
EUROPEAN
LOCATIONS
London (HQ) Amsterdam Munich
Warsaw
KEY
COMPETITORS
(affiliate)
3i Advent International Apax Barclays PE European Capital Montagu
Rest of the World

CAREERS CONTACT
Boston (HQ)
info@hgcapital.com
Key Competitors
Cinven Montagu
Employment Contact
171
THE SCOOP
Founded in 1985, Mercury Private Equity was one of the original private equity
players in the European mid-cap market. In 1997, the firm was acquired by Merrill
Lynch and integrated into the ML Investment Management division of the bulgebracket bank. Three years later, the firm was spun off as an independent unit, rebranding itself HgCapital the chemical symbol for mercury and also an acronym for
High Growth.
The firm currently has around 2.5 billion under management, and typically invests
in mid-market companies with enterprise values between 75 million and 500
million. The firm has worked with a broad range of companies, requiring different
investment types such as leveraged buyouts, management buy-ins, turnarounds,
operational improvement initiatives, public-to-private and scaling up for fast growth.
The firms offices in London, Amsterdam and Frankfurt represent their focus on
Western Europe, and past investments have focused on the UK, Ireland, Germany
and Benelux. HgCapital is sector specific, acting as a general private equity investor
in the following sectors: consumer & leisure, healthcare, industrials, services &
technology, media and telecommunication (TMT).
Blowin in the wind

In addition, the firm manages the largest European fund for renewable power
projects, with approximately 1.3 billion of committed capital. The firm invests in a
range of technologies including wind farms, biomass, geothermal, solar, waste and
hydro energy, with capital provided at various stages of the businesses. Current
investments include wind farm projects in Germany, Italy, France, Ireland and the
UK, with investments in a biomass fuel company and a wind turbine manufacturer
completing their portfolio.
In 2007, the Hg Renewable Power Partners fund completed its most recent
acquisition, an Oxford-based wind energy developer called Ridgewind. The
company is developing over 200MW of UK wind project across 12 sites, bringing
HgCapitals European wind portfolio to over 120MW in operation or construction
and 700MW in development, meaning they are one of the leading investors in the
European renewable energy sector.
172
The firm also manages an investment trust, known as HgCapital Investment Trust,
which takes a minority interest in all of HgCapitals private equity investments,
allowing investors the chance to invest in a diversified range of private equity
activities with some liquidity. In 2007, the firm won the Private Equity Investment
Trust of the Year award at the Investment Week Awards for the third year running,
making them the only company to have ever completed the hat-trick. The award was
given in recognition of consistent returns and sector-leading performance; in the
decade spanning 1997 to 2007, the Trust delivered a share price total return of 19 per
cent per annum against 7.3 per cent for the FTSE index, and a share price growth of
21.8 per cent over the final year.
In early 2008, the firm sold The Sanctuary, a UK spa and beauty products business,
to PZ Cussons for 75 million, which was their seventh transaction in the preceding
five months. All in all it was a very successful period for HgCapitalthe joint
disposal of CS Group and IRIS Software, combined with the sale of Hirschmann
Electronics, cummulated in an annual rate of return above 75 per cent. In addition,
the sale of Schenck realised proceeds of 34 million, at an impressive 85 per cent
annual rate of return.
In the same period, the firm invested in several new opportunities; Schleich, the
plastic toy manufacturer, Americana, the clothing brand responsible for Bench and
Hooch brands, SLV, a lighting systems company, Mondo, the talc mining group, and
Fabory, the industrial fastener distributor, were all acquired by HgCapital. The 2007
acquisition of Fabory represents the firms fifth investment in the Benelux region
since opening an office in Amsterdam two years earlier. In late 2007, the firm added
to its healthcare portfolio by acquiring Casa Reha, the German care homes business.
Handing over the reins

In 2007, Leonard Licht retired as Chairman, after seven years in charge, leaving Ian
Armitage to move from Chief Executive to Chairman. Several other promotions
signify a change in leadership, with a new cast ready to leave their mark on the firm;
Nic Humphries will be taking over day to day running as Chief Exec, with eleven
other partners helping him run the fund and its investments.
173
Hg Capital
Trust yourself
GETTING HIRED
HgCapitals investment team studied at the typical elite universities including
Oxbridge, Harvard, INSEAD and London Business School. Almost a third of the
professionals hold an MBA. In terms of employment, HgCapitals professionals have
a variety of backgrounds; top previous employers are leading consulting firms, Big
Four accounting firms and top tier investment banks. Interestingly, almost a fifth of
HgCapitals professionals have a background in strategy consulting, which is roughly
the same as the number of professionals who came from investment banks.
HgCapital does not run a formal recruitment process, but can be contacted at
info@hgcapital.com to discuss potential employment opportunities.
174
Hg Capital
Higher Diploma
PhD/JD/MD (2%)
Unknown (7%)
MBA (30%)
Masters (23%)
Source: Candesic

Banks (19%)
Other (48%)
Source: Candesic

8
7
6
5
LBS (2)
INSEAD (2)
Harvard (5)
Oxford (5)
Cambridge (7)
Source: Candesic
3.0
2.5
2.0
Merrill Lynch (2)
1.5
Goldman Sachs (2)
1.0
KPMG (2)
0.5
Deloitte (3)
0.0
Bain (3)
Source: Candesic
175
INDUSTRI
KAPITAL
Brettenham
UK
Regional House,
Headquarters
5 Lancaster Place
London
WC2E 7EN plc
111 Buckingham
United
Kingdom Palace Road
London
Tel:
+44SW1W
(0)20 730SR
04 4300
UK
Tel: +44 20 7333 0800
www.industrikapital.com
European Locations
EUROPEAN
LOCATIONS

EQT Nordic Capital
THE STATS
Chairman and Chief Executive: Bjrn
Savn
The
Stats
Chairman:
Peter
A. Brooke
Total
private
equity
funds under manageEmployer
Type: Independent Private
ment:
5.7bn
Company 70 staff (30 professionals) in
Employees:
2008
management:
11bn (2008)
No.
of Offices:about
5
15
COMPANY
Sectors:
Manufacturing (31 per cent)
Service (24 per cent)
Company
Focus
Retailing
Sectors: & Distribution (18 per cent)
Wholesale
Business
Services(8
& per
Financial
Food
processing
cent)Services
Retail & materials
Consumer(8 per cent)
Building
Technology,process
Media &
Specialised
(8Telecoms
per cent)
Healthcare
& cent)
Life Sciences
Media
(3 per
Industrial
Financial stages:
Financial stages:
Mid-market
buyout (15m-150m equity)
growthofequity
investments (up to 500m
Types
financing:
equity),
some venture
Main: Majority
Equity capital
Types of financing:
Majority equity
176
London (HQ) Hamburg Oslo Paris

Amsterdam
Stockholm Bucharest Frankfurt
(affiliate)
KEY COMPETITORS
Rest of the World

Boston
(HQ)CONTACT
CAREERS
+44
04 4300
Aires(0)20
Sao73
Paulo
Mexico Further
Key Competitors
Cinven Montagu
Employment Contact
In 1989, Enskilda Ventures Ltd, a subsidiary of Skandinaviska Enskilda Banken,

sponsored Bjrn Savn in raising the Scandinavian Acquisition Capital Fund. The
firm set up shop with an office in London and closed its fund at 108 million, mainly
from Scandinavian investors. Over the next four years, the fund made eight
investments, five in Sweden, two in Denmark and one in Norway. In 1993, the fund
sought independence and went through a buyout from its parent bank, renaming
itself Industri Kapital 1989 Fund in the process.

VINTAGE YEAR
FUND CAPITAL
The Industri Kapital 2007 Fund
2007
1.7bn
2004
0.825bn
2000
2.1bn
FUNDS
In 1993, after gaining independence, the firm branched out from its London base and
opened regional offices in Stockholm and Oslo. By 1995, the firm had closed its
second fund, with 250 million of capital from investors in Europe and North
America. Two years later, the firm closed its third fund at 750 million while also
opening an office in Hamburg, indicating their ambitions to begin investing in
Germany. The firms further fundraising ambitions peaked in 2000, when their fourth
fund closed at 2.1 billion, after which their fifth and sixth funds closed at 825
million and 1.7 billion, respectively. The Paris office was a late addition, opening in
2006, after the firm had already purchased several French companies.
As of early 2008, Industri Kapital was managing four active funds, with 5.7 billion
under management targeting Scandinavia, Benelux, France and Germany. Their
current portfolio has 20 European companies, with a total combined turnover of over
7 billion. Overall, the firm has acquired 64 companies from a range of industries; the
largest transaction was the acquisition of Magotteaux, a global grinding media and
casting supplier, which had a final price tag of 373 million.
177
Industri Kapital
THE SCOOP
GETTING HIRED
Industri Kapital has investments teams in Sweden, Norway, Denmark, Finland,
Germany, Switzerland, Austria, France and the Benelux. Their regional investment
teams enable the private equity company to establish local networks and knowledge
bases, a key driver of successful transactions. Together the teams speak twelve
languages. About half of Industri Kapital employees have a previous experience in
investment banking. Top former employers are Morgan Stanley, JP Morgan, ABN
Amro and of course Enskilda, the former mother company. Several were trained at
strategy consultancies like Bain & Company. The team is European but with a
majority of Scandinavians, and a significant proportion graduated from the well
reputed Stockholm School of Economics. Candidates should contact directly the
office they would like to apply to.
For Industri Kapital it is very important to recruit professionals who fit into their
regional teams. Their decisions are mainly dependent on the language skills and local
experience of applicants, so be sure to point out any regional knowledge.
178
Industri Kapital
Higher Diploma
PhD/JD/MD (3%)
Unknown (3%)
MBA (17%)
Masters (54%)
Source: Candesic

Banks (38%)
Other (34%)
Source: Candesic

8
7
6
5
IEP Paris (2)
INSEAD (2)
HEC (3)
Harvard (3)
Stockholm SE (8)
Source: Candesic
4.0
3.5
3.0
2.5
2.0
PWC (2)
JPMorgan (2)
1.5
Bain (2)
1.0
Enskilda (2)
0.5
0.0
Morgan Stanley (4)
Source: Candesic
179
MONTAGU PRIVATE
EQUITY
2 More London Riverside
London SE1 2AP
United Kingdom
Tel: +44 (0)20 73 36 9955
Types of financing:
EUROPEAN LOCATIONS
www.montagu.com
London (HQ) Dsseldorf Manchester Paris Stockholm
THE STATS
Chief Executive: Chris Masterson
No. of Offices: 5
KEY COMPETITORS
Advent International 3i Apax
Barclays Private Equity HgCapital
CAREERS CONTACT
COMPANY FOCUS
enquiries@montagu.com
Sectors:
Aerospace & Defence
Engineering
Chemicals
Electronics
Food & Beverage
General Financial
General Industrial
Healthcare
Media
Pharmaceuticals
Retailers
Support Services
Transportation
Financial stages:
Large buyout (150m-300m equity),
Mega buyout (>300m equity)
181
THE SCOOP
In 2003, HSBC spun off its European private equity unit in a management buyout, in
a deal that valued the business somewhere in the region of 60 million. The firm was
re-branded as Montagu Private Equity, which is derived from the well known 19th
century London stockbroker Montagu & Samuel. HSBC retained a 19.9 per cent stake
in the business and still uses the firm as their primary vehicle for private equity
investments in Europe. Montagu got to keep the network of European offices in
London, Manchester, Stockholm, Dsseldorf and Paris, retaining Chris Masterson,
the former MD of HSBC Private Equity, to head the firm as CEO.
VINTAGE YEAR
FUND CAPITAL
Montagu III
2005
2.26bn
HSBC Private Equity Partnership

& HSBC Private Equity European LP
2002
1bn
FUNDS
Since 1968, the firm has invested in over 400 companies, with an impressive historic
rate of return and a current total of 3 billion under management. The firm typically
invests between 100 million to 1 billion in a given deal, but pursues larger deals
through co-investments with other firms. Unlike at most other private equity firms,
investment professionals at Montagu do not have a sector specialisation.The firm is
not sector oriented, and instead prefers to believe that a strong investment
opportunity, even in a weak market, can still succeed. The firm looks as a priority for
niches that are easy to defend.
Montagus investment philosophy can be described as no-nonsense; they have an
underlying principle that capital providers often have too much belief in their own
ability to add value, and instead emphasise how important it is to back the right
management team. Chris Masterson, Chief Exec of Montagu, points out that Montagus
strategy doesnt include Management Buy-Ins (MBI), so its crucial they are happy with
the target companys current CEO and management team. In fact, Montagu boasts that
they have fired less than 10 per cent of the CEOs of companies they have acquired
defying a practice that is very common amongst private equity firms.
182
The two most notable, and most expensive, Montagu acquisitions were BSN Medical,
the German pharmaceuticals group, acquired for 1.03 billion in 2005 and Linpac,
the UK industrial company, which they bought for 860 million in 2003. In 2007, the
firm made one of their more successful realisations by selling Cory Environmental,
the waste management group, for five times their original investment after only two
years. The firm also made a tidy return on the 2006 management buyout of Misys
General Insurance, which they subsequently named Open International Limited,
buying it for 182 million and selling it for 276 million a year and a half later.
GETTING HIRED
Sixty per cent of the Montagu professionals are based in the UK, with a fifth in Paris,
twelve per cent in Germany and a handful in Sweden. The undergraduate
qualifications of Montagus professionals are unusually mixed; Oxford, Cambridge
and ESSEC all have three alumni at Montagu, and universities like Reading,
Birmingham, Sheffield Hallam, Heriot-Watt, Bristol, Newcastle and HEC all make
an appearance as well.
Around a third of Montagu professionals came from an investment banking
background, with almost a fifth coming from transaction services firms such as
PricewaterhouseCoopers. Only two of the 43 professionals came from strategy
consulting, one from Booz Allen and one from McKinsey.
183
Montagu Private Equity
In 2007, the firm only made two acquisitions: UK-based Jamella Group, the hair
styling group trading under GHD, was bought for 160 million, and Unifeeder, the
Danish transport and logistics company, was acquired. In 2006, the firm made
another four acquisitions in a variety of sectors, continuing the trend of pursuing an
opportunity as opposed to an industry; British Car Auctions, the British vehicle
auction business, Sebia, the French pharmaceuticals business, Logstor, the Danish
pipe manufacturer, and Open International, the British software business, were all
acquired by Montagu in 2006.
PAI PARTNERS
43 avenue de l'Opra
75002 Paris
France
Tel: +33 (0)1 55 77 9101
www.paipartners.com
THE STATS
Chief Executive: Dominique Mgret
Employer Type: Independent private
company since 2002 buyout from BNP
Paribas
No. of Offices: 5
COMPANY FOCUS
Sectors:
Consumer Goods (including Healthcare
Services
Capital Goods
Financial stages:
Mid market buyout (15m-150m equity), Public to private
Types of financing:
Majority equity and shareholders loans
184
LOCATIONS
Paris (HQ) London Madrid Milan
Munich
KEY COMPETITORS
BC Partners Blackstone Cinven
CVC Eurazeo LBO France Wendel
EMPLOYMENT CONTACT
www.paipartners.com
PAI Partners
THE SCOOP
PAI is a rapidly growing European private equity firm that has fast become the
largest French player and one of the largest investment houses in Europe. With 49
professionals split across five European offices in Paris, London, Madrid, Milan and
Munich, the company is exclusively European; the last decade has seen investment
activity in ten countries, all of them in Western Europe.

VINTAGE YEAR
FUND CAPITAL
PAI Europe V
2008
5.4bn
PAI Europe IV
2005
2.7bn
PAI Europe III
2001
0.21bn
FUNDS
The firm has around 7bn under management and typically invests in medium to
large size public or private companies, with investments in the range of 500m
3bn. PAI operates in three sectors that are just being redefined:
The Consumer Goods group covers the food industry, other consumer
goods and healthcare
The Services group includes the consumer retail industry, distribution,

building, infrastructure and media
The Capital Goods group focuses on the packaging, automotive,

aeronautics, electrical appliance industries and chemicals sectors
PAI has a long history of financing large companies that goes back to its roots as a
division of Paribas bank. In 1931, it had been a founding shareholder of RTL Group
and had supported the successful development of the group in Europe until it sold
its stake to the Group Frre years ago.
185
Expensive taste
During the summer of 2007, PAI built an 80 per cent stake in the public company
Kaufman & Broad, one of Frances leading developers and builders of homes with a
turnover of about 1.3bn. Earlier that year, PAI led the 2.4bn acquisition of Lafarge
Roofing, a 12,000 employee company headquartered in Luxembourg and the
worldwide leader in tiles for pitched roofs, roofing components and chimney
systems.
The year 2005 was key, with 9 acquisitions including: Danish company Chr. Hansen,
the worldwide leader in natural ingredients to the food industry (1.1bn); Cortefiel,
the market leading apparel retailer in Spain (1.5bn); Kwik-Fit, Europes largest
automotive fast-fit services provider (800m); and Saur, a leader in the water
distribution, sanitation and waste management in France (1bn, exited).
Previous important acquisitions have included many other leading European
companies; UK-based United Biscuits, a leading European manufacturer of biscuits
and snacks with 9,000 employees and a turnover of 1.3bn; Elis, the European leader
in the textile rental and well-being services industry (1.5bn, exited); Italian firm
Saeco, the leading European coffee machine manufacturer (825m); Vivarte, the
leading specialist retailer of footwear and clothing in France (1.5bn, exited); and
Yoplait, the No. 2 worldwide producer of fresh dairy products, were all significant
acquisitions for PAI.
Historical legacy
PAI partners is one of the most experienced private equity firms in Europe, with
historical links tracing back to Paribas Affaires Industrielles in 1872, the merchant
bank now part of BNP Paribas. The firm was spun off from BNP Paribas in 2002, into
its current form PAI Partners. The scale of its ambitious fundraising has taken the
industry by surprise, and they have emerged as one of the key players in the
European market. Although they have been around for centuries, Dominique Megret,
current Chief Exec, points out that they have only been truly independent for a few
years and have the capacity and desire to grow.
Playing in the major league

After two years of rumours, PAI recently announced the closing of their Europe V
acquisition fund at 5.4 billion, shrugging off concerns about the state of the global
credit markets. This brings it within reach of the largest fund in the region, Permiras
11.1 billion pool, meaning we can expect to see PAI bidding in the largest European
186
The continental approach

As one of the few large funds based in continental Europe, PAI have benefited from
a surge in takeover activity there, although they admittedly adopt an Anglo-Saxon
mindset to investing. Dominique Mgret qualifies that mindset and investment
philosophy regularly in interviews, describing PAIs investment strategy as
professional and organised, [trying] to add from time to time the flavour of genius.
PAI will only invest in companies that are number one or two in the sector, can be
sold to trade buyers, and are found in sectors where they have experience and an
extensive network of contacts.
GETTING HIRED
The Europe-wide team is composed of 49 professionals from several European
countries who have considerable combined sector experience and in-depth
knowledge of the European markets. Many PAI employees formerly worked for
investment bank Paribas before it merged with BNP in 1999. That underscores the
strong Investment Banking background of PAI employees.
Because of its French roots, PAIs recruiting is significantly biased toward French
Grandes Ecoles, with about half its investment professionals being graduates from
Polytechnique, HEC, ESSEC, ESCP-EAP or Sciences Po. Only 15 per cent of them
hold an MBA.
PAI generally employs five or six graduate trainees for a gap year during their
studies. A couple of them receive an offer once they graduate from school. Insiders
tell us that there is no real opportunity for summer internships as it takes at least
three months to train interns.
187
PAI Partners
auctions. The funds predecessor, Europe IV, was also one of the largest continental
European funds when it stopped raising new money in 2005.
ADVENT ADVISERS
PERMIRA
INTERNATIONAL
20 Southampton Street
London WC2E 7QH
United Kingdom
Tel: +44 (0)20 7632 1000
EUROPEAN LOCATIONS
London (HQ) Frankfurt Guernsey
Luxembourg Madrid Milan Paris
Stockholm
www.permira.com
REST OF THE WORLD

THE STATS
Managing Director: Tom Lister and Kurt
Bjorklund (co-managing partners)
Employees: 200 (130 professionals) in
2008
No. of Offices: 12 (from second half 2008)
New York San Francisco Hong Kong

Tokyo
KEY COMPETITORS
Apax Bain Capital Blackstone Carlyle CVC KKR TPG
CAREERS WEBSITE
COMPANY FOCUS
Sectors:
Chemicals
Consumer
Financial Services
Healthcare
Industrial Products & Services
TMT
Financial stages:
Mega buyout (>300m equity), Public to
private
Types of financing:
188
http://www.permira.com/en/contacts/con
tacts.html
Since 1985, Permira has been an active private equity investor and currently boasts
22 billion in its 19 funds under management. Permira has roots in Schroders Plc,
the British investment manager, which created a series of provincial private equity
firms in the 1980s, tasked with managing country specific funds sponsored by
Schroders. In the mid-1990s, the business units in France, Germany, Italy and the UK
joined together to form Schroder Ventures Europe, which then began to act with
increasing independence from its parent company.
FUNDS
VINTAGE YEAR
FUND CAPITAL
Permira IV
2006
11bn
Permira Europe III
2003
5.1bn
Permira Europe II
2000
3.5bn
Biggest of the best

In 1997, the firm launched the Permira Europe I fund, which closed at 890 million.
In 2000, the second Permira fund, Permira Europe II, closed at a healthy 3.3 billion,
allocated for pan-European investments. Eventually in 2001, the firm was bought out
from Schroders by the partners, renaming itself Permira, Latin for very surprising,
very different, to mark the separation.
In 2003, the firm raised its first fund independently from Schroders, closing Permira
Europe III at over 5 billion. Most recently, the firm closed its fourth Permira fund at
a staggering 11 billion in 2006, making it the largest European buyout fund at the
time. In early 2008, Permira was ranked as the second largest private equity fund in
Europe.
Doesnt just grow on trees

Permiras largest investor is a UK-based investment trust called SVG Capital, which
explains why some 41 per cent of the firms most recent fund was from the UK, with
a further 14 per cent coming from other European countries, 35 per cent from North
America and the remainder from the Middle East and Asia. Like many other large
189
Permia Advisers
THE SCOOP
private equity firms, Permira raised a significant amount from blue chip investors; 45
per cent came from investment managers, with a further 31 per cent from pension
funds. The remaining funds came from government agencies, insurance companies,
charities and banks.
Geographically, the firm does not have a headquarters and is managed by its board
and executive committee members located across the various offices. In 2002, the
firm expanded outside of Europe for the first time, opening its New York office. In
2003, the firm opened in Stockholm to manage its Nordic region investments, and in
2004, opened in Madrid to cover Iberian investments. An office in Hong Kong is due
to open in the first half of 2008 and in California in the second half.
Further afield
As one of the major international firms, Permira participates in the largest
transactions, targeting companies valued above 500 million. The firm invests in a
variety of transaction types, specializing in divestitures of non-core assets,
developing family businesses, and acquisition-driven sector consolidation. Besides
the multiple office structure, the firms investment professionals are also organised
along sector lines. The core sector teams have historically been Chemicals, Consumer,
Industrial Products and TMT, but the firm is currently developing new teams with
specialisations in Financial Services and Healthcare.
Permiras board is comprised of a group of senior partners and chaired by Damon
Buffini. The executive committee, which is responsible for managing the private
equity business, is chaired by the co-managing partners Kurt Bjorklund and Tom
Lister and comprised of five other senior partners from across the business.
Give a king his crown

Mr Buffini has received a lot of media attention in the wake of several political attacks
on the private equity sector, against which he has defended the industry and its
practices. In particular, he has tried to work in co-operation with Sir David Walkers
guidelines for disclosure and transparency, which were published in 2007 in response
to the media attention. He has made significant efforts to increase transparency
throughout Permira, and some see the creation of his chairman position as part of that
process.
190
Although Mr Buffini is seen as the face of the British private equity industry, and
one of its most outspoken defenders, he is also seen as unusually media shy, and not
a lot is known about his personal life. What is known about his past paints the picture
of someone who has worked hard to achieve his level of success; he was raised on a
council estate in Leicester by a single mother, attending the local grammar school,
and although he did not stand out as academically exceptional, he was referred to as
very hard working.
This work ethic saw him secure a place at Cambridge to study law, after which he
joined LEK Consulting and took advantage of their scholarship program to enroll
for an MBA at Harvard. Upon returning to the UK he joined Imperial Group as a
consultant, where he was recruited by Jon Moulton, head of rival private equity firm
Alchemy, to join Schroders Ventures.
Plenty of eggs in the basket

Permira is a sector focused business, operating in four industries: chemicals,
consumers, industrial products & services and TMT, and recently financial services
and healthcare.
Notable chemical sector acquisitions include Borsodchem, the Hungarian MDI and
PVC producer, Cognis, the German natural chemical products supplier, TFL, the
German leather chemicals firm, and Azelis, the Italian chemicals distributor.
In the consumer sector, Permira acquired a controlling stake of Valentino, the fashion
house that owns Hugo Boss, from the Marzotto family, paying 782.6 million for 29.6
per cent of the business in 2007. This valued the company at 2.6 billion, meaning if
Permira secures the remainder of the shares from investors, it would be the largest
luxury goods sector buyout to date. Permira has made several other acquisitions in
the fashion industry; Cortefiel, the Spanish clothing retailer, New Look, the British
womens fashion retailer, TakkoModeMarkt, the German discount clothing retailer,
and Vgele Group, the Swiss clothing retailer, were all acquired by various Permira
funds.
Trends in the industrial sector are less prevalent, although a notable recent deal was
the rollup of seven luxury boat companies globally into what is now known as the
Ferretti Group, which Permira sold a large part of in 2006, valuing the group at 1.685
billion. The TMT group has made several large investments, in sectors ranging from
semiconductors to mobile phone operators. Notable deals include the turnaround
and subsequent IPO of Premiere, Germanys leading pay-TV operator, and the
191
Permira Advisers
The most important person youve never heard of
acquisition and $1.5 billion capex program, as part of a club deal, of Intelsat, the
American satellite operator.
The firms ambitions to move further east could possibly have been behind the 2007
investment in Galaxy Entertainment, the company behind one of only a handful of
licensed casino operators in Macau, Permira acquired 20 per cent of the company,
and announced that the investment would go towards building Galaxys second
Chinese casino resort.
GETTING HIRED
Contact:
Angelika Sonnenschein
Director, Human Resources
Permira Beteiligungsberatung GmbH
Falkstrasse 5
60489 Frankfurt
Angelika.sonnenschein@permira.com
Permira usually hires professionals with at least four to five years prior business
experience in either investment banking, management consulting, accounting/audit
or in industry. Most staff have a secondary degree, such as an MBA. The number of
MBA graduates recruited every year is extremely small, and only two per cent of
investment professionals have been hired with just an undergraduate degree.
Stats 2008 Backgrounds:
Investment banking: 30 per cent
Consulting: 23 per cent
PE: 22 per cent
Finance: 14 per cent
Industry: 6 per cent
Legal: 3 per cent
Undergraduate: 2 per cent
192
193
Permira Advisers
The interviews are conducted by the local offices and usually consist of a series of
four to six interviews with different Permira professionals. The interviews will cover
the professional background of the applicant but also include case studies and
potentially a modelling exercise. If a candidate is to be hired into a specific industry
sector, international members of that sector may participate in the recruiting process.
Higher Diploma
PhD/JD/MD (5%)
Unknown (5%)
MBA (40%)
Masters (8%)
Source: Candesic

Banks (30%)
Other (44%)
Source: Candesic

12
10
8
Cologne (3)
Oxford (7)
Harvard (9)
Boccini (9)
INSEAD (11)
Source: Candesic
10
8
6
Clifford Chance (3)

Goldman Sachs (3)
BCG (3)
Credit Suisse (4)
McKinsey (9)
Source: Candesic
194
TERRAFIRMA
2 More
UK
Regional
London
Headquarters
Riverside
London
SE1 2AP
plc
111 Buckingham
United
Kingdom Palace Road
London
Tel:
+44SW1W
(0)20 7015
0SR 9500
UK
Tel: +44 20 7333 0800
www.terrafirma.com
THE STATS
CEO: Guy Hands
The
Stats
Peter A. Brooke
ment:
11bn
Employer Type:
Private
Employees:
100 inIndependent
2008 (70 professionals)
Company
No.
of Offices: 2
Employees: 130FOCUS
investment professionals,
COMPANY
Sectors:
No. of Offices: 15
All sectors
Financial stages:
Buyout
European Locations
EUROPEAN
LOCATIONS
London (HQ) Frankfurt
Warsaw
KEY
COMPETITORS
(affiliate)
Bain Capital Blackstone Charterhouse KKR Permira
Rest of the World

CAREERS WEBSITE:
Boston (HQ)
www.terrafirma.com/people-contact.html
Key Competitors
Cinven Montagu
Company Focus
Employment Contact
Sectors:of financing:
Types
Business
Services
Financial Services
Mid
market
buyout&(15m-150m
equity),
Retail buyout
& Consumer
Large
(150m-300m equity),
Technology,
& Telecoms
Mega
buyoutMedia
(>300m
equity)
Industrial

Financial stages:
Types of financing:
Majority equity
195
THE SCOOP
In 1994, Guy Hands founded the Principal Finance Group within Nomura, the Japanese
investment bank. He subsequently made a name for himself by turning around
struggling companies in some of the largest leveraged deals of the time; the group
made 15 acquisitions with total enterprise value over 20 billion. In 2002, the firm was
spun-off into its current form of Terra Firma Capital Partners, keeping Nomura as a
significant investor. Since 1994, the firm has invested over 11 billion, mainly in
European companies, with an aggregate transaction value totalling 42 billion.
FUNDS
VINTAGE YEAR
FUND CAPITAL
TFCP III
2007
5.4bn
Terra Firma Deutsche Annington
2006
2.1bn
TFCP II
2004
2.6bn
One big bank account

The firms first fund was created and invested under Nomura ownership, and has
mainly been realised. The firms second fund, Terra Firmas first as an independent,
closed in 2004 with 2.1 billion of committed capital, raised from 65 investors in 21
countries. TFCP III closed in May of 2007, with a total of 5.4 billion to be invested
in line with the firms strategy of acquiring controlling stakes in complex or regulated
markets, mainly in Europe, and especially in companies that are asset backed or
government backed. This is often credited as the source of the name Terra Firma,
which means solid ground in Latin.
In 2006, Terra Firma Deutsche Annington was established to hold Terra Firmas
German housing assets, raising additional capital adding to a fund total of 2.1
billion. The acquisition of the state-owned railway workers flats, supplemented with
further acquisitions, is viewed as the most successful flat privatisation of its kind in
Germany; the group now owns around 230,000 flats, making them Germanys biggest
landlord.
196
Terra Firmas, and hence Guy Hands, investment strategy can be said to be
somewhat contrarian; the firm only targets large companies that it feels are
underperforming and not living up to their potential. The target is then acquired,
actively managed and financed by Terra Firma, until the company is in a healthy
state where it can be sold or listed on the public markets.
There is another rationale for Mr. Hands investment strategy his severe dyslexia.
A friend was quoted as saying that Mr. Hands could not read long investment
rationales, so was forced to focus on the key points and make the numbers work,
which he could do very well. It is said that he sees things differently to everyone else,
whether this is dyslexia, genius or just the fact that he is a smart and hard working
man, his track record speaks for itself; one of his first deals at Nomura was to
purchase Angel Trains, where he was the only external bidder, selling it on for a 390
million profit. He then proceeded to start buying up pubs when no one else would
touch them, briefly becoming the UKs biggest pub landlord, and changing the way
the industry works. William Hague, former leader of the conservative party and
Hands best man, once said that if Guy had translated his private equity success to
politics he would have been Prime Minister by now.
A firm Hands
Mr. Hands most recent foray into the press, which he seems to have a talent for
attracting, is regarding the planned cuts at EMI, the music label. Terra Firma recently
acquired the business for 2.4 billion and subsequently announced it would be
cutting 2,000 jobs, or a third of the workforce. The move has not proved popular and
big name acts such as Radiohead, Robbie Williams and the Rolling Stones have all
been outward critics of the new management; Mr. Hands is unmoved in his position
and retorts that he needed to remind executives at Odeon, the cinema business he
acquired, that they were in the popcorn selling business, not Hollywood.
Although these cuts may not make great press, the truth is that Mr. Hands has earned
respect for his work ethic and blunt management style the fact that stories of excess
at EMI are pouring out of the floodgates only strengthens his case. This notoriously
hard work ethiche starts work at 6 am and doesnt leave the office until midnight
is expected of all his employees at Terra Firma. Another telling indicator of his
leadership style is evident in boardroom meetings, where no other member of his
team speaks during negotiations, unlike most other private equity groups.
197
TerraFirma
What a Guy
Big spender
Terra Firma will invest in any sector, although prefers complex industries that are
highly regulated; this philosophy is evident in the 1.1 billion acquisition of Tank &
Rast, the German motorway services group, the 453 million purchase of East Surrey
Holdings, the British water and gas utility, and the $2.5 and $5.2 billion acquisitions
of AWAS and Pegasus, both aircraft leasing companies.
Other notable deals include the acquisitions and subsequent merger of Odeon and
UCI, two UK cinema chains, together making up about 40 per cent of the UKs cinema
exhibition market. But fame came in 2007 on the front page of the Financial Times
with Terra Firmas combat against rival giant KKR for the control of Alliance Boots,
the UK pharmacy chain, in the biggest private equity transaction in Europe ever.
Terra Firma honourably gave up after weeks of strategic moves, much to its luck as
KKRs banks still hadnt managed to syndicate the debt six months after its victory.
GETTING HIRED
Terra Firma employs 70 professionals, most of them with an investment banking
background, although accounting, industry and advisory backgrounds are welcome
too. They are organised in two major teams: financial (investment) professionals and
business (portfolio) professionals who help improve the operations in the portfolio.
Cases tend to be staffed more on industry experience than on regional expertise.
The firm discloses the profiles of the senior members of the team only but is known
to attract very talented people. Most top universities are represented in the team. In
addition to the experienced hires, Terra Firma also recruits a number of MBAs from
the leading business schools each year and provides training programmes to new
analysts and associates. Candidates interested in joining can apply on
www.terrafirma.com/careers.html.
198
ENGLEFIELD CAPITAL
Michelin House, 81 Fulham Road
London
SW3 6RD
United Kingdom
Tel: +44 (0)20 7591 4200
EUROPEAN LOCATIONS
www.englefieldcapital.com
Types
of financing:
3i
Apax
Barclays Private Equity HgMajority
Capital equity
ADVENT
INTERNATIO
NAL
Advent
International plc
THE
STATS
Head of SW1W
Management
London
0SR Board: Dominic
Shorthouse
UK
Employer
Type:
Tel:
+44 20
7333Private
0800 Company
Employees: 19 professionals
No. of Offices: 1
The Stats
COMPANY FOCUS
Sectors:
All
sectors, with some focus on Financial
Company
and
TotalBusiness
private Services
equity funds under
Financial
stages:
Employees:
130 investment professionals,
Mid
market
(15m-150m
equity)
of which 65 buyout
in Europe
(2008)
No. of Offices: 15
Types of financing:
Majority equity, Minority equity with contractual rights
Company Focus
Sectors:
Retail & Consumer
Industrial
Financial stages:
London
(HQ)buyouts, recapitalization and
International
KEY COMPETITORS
European
CAREERS Locations
CONTACT
London (HQ)
englefield@engcap.com
(affiliate)
Rest of the World

Boston (HQ)
Key Competitors
Cinven Montagu
Employment Contact
199
THE SCOOP
In 2002, Dominic Shorthouse, previously a board member at Warburg Pincus,
founded Englefield Capital, a mid-market specialist that focuses on European
investments between 30-300 million, although typically with enterprise values over
75 million. The firm invests throughout the UK and continental Europe, from a
single office located in London.

VINTAGE YEAR
FUND CAPITAL
Englefield Fund II
2007
1bn
Englefield Fund I
2003
0.7bn
FUNDS
Englefields first fund, closing at 706 million in 2003, has been invested in ten
companies through a range of sectors, two of which have already been realised. In
January 2007, the second fund closed at 1 billion, with a similar investment
philosophy as the first fund.
Follow the winds

Englefield is not sector specific, although it will only invest in sectors that the partners
fundamentally understand from previous experience in the industry. The investment
philosophy is based around following the winds, which Dominic Shorthouse,
founding partner, explains by saying that Englefield is focused on exploiting changes
in European market conditions to select investment opportunities. So far, the
investments are from a diverse range of industries; currently Englefield owns an
insurance company, an independent schools business, a leading French cosmetic
surgery and cosmetic medicine group, an overseas provider of outsourced services
to public authorities, an IT recruitment company, a waste and recycling business, a
property company and a wind farm. In July 2006, Englefield sold their financial
services group TBIH to the biggest shareholder of the consortium and in January
2007 sold the Equity Insurance Group to Insurance Australia Group for a total of
570 million.
200
Englefield is unique in the way it raises funds. Both funds have been sponsored by
Bregal, the Swiss-based holding company of the Brenninkmeijer family, owners of the
C&A retailer who have an estimated 12.5bn fortune, with only three other
institutional investors allowed to contribute: AXA Private Equity, the Dutch Shell
Pension Fund and Delta Lloyd. The rest of the money comes from what is termed an
Affiliates Fund basically a group of 150 friends and contacts, most of whom are
business leaders in the UK, Western Europe and the United States.
GETTING HIRED
Englefield is very representative of its industry:
Three of the 19 investment professionals came from Morgan Stanley, three from
leading consultancies and the rest from top investment banks or other private equity
houses.
The majority of Englefields investment professionals studied at elite European
universities, with Oxford and Cambridge being the most common. A quarter of the
professionals have an MBA, and three out of the five are from INSEAD.
201
Englefield Capital
Always trust your friends
EXPONENT PRIVATE
EQUITY
12 Henrietta Street
London WC2 8LH
United Kingdom
Tel: +44 (0)20 7845 8520
EUROPEAN LOCATIONS
www.exponentpe.com
KEY COMPETITORS
THE STATS
3 Barclays Private Equity Close

Brothers Private Equity European Capital Gresham Capital Hermes Private
Equity Hutton Collins Isis Equity Partners LGV
Co-Founder: Richard Campin

Total private equity funds under management: 400m
No. of Offices: 1
COMPANY FOCUS
Sectors:
Media
Business & Financial Services
Healthcare
Leisure
Consumer
Financial stages:
Types of financing:
Other: Minority Equity, Public to private
202
London (HQ)
CAREERS CONTACT
+44 (0)20 7845 8520
In 2004, Richard Campin spun-out a successful team from 3i after fifteen years with
the company, taking three other high profile directors with him: Tom Sweet-Escott,
Chris Graham and Hugh Richards. The newly formed Exponent Private Equity was
established to target mid-cap UK companies with enterprise values up to 350
million.
In 2004, their first fund closed at 400 million and was around 80 per cent invested
in eight transactions by the end of 2007. In early 2008, the firm closed its second fund
at 805 million, twice the size of its first fund, which was rumoured to be targeting
750 million; this oversubscription highlights the growing demand for mid-market
PE funds in the face of adverse credit conditions, which have slowed down the mega
buyout houses. Exponent only started raising their second fund in May of 2007, with
most of the commitments secured by September, which is a surprisingly swift round
of fundraising.
Interestingly, the capital for the most recent fund came predominantly from outside
the UK, demonstrating the global appetite for the UK mid-market private equity
sector; 42 per cent of the commitments were from the US, 29 per cent from the UK,
22 per cent from continental Europe, and the remainder from the rest of the world.
Major investors include funds managed by Pathway, Pantheon Ventures, NYL
Capital Partners and Bank of Scotland.
The firm benefits from its size, as it can be flexible and responsive, but also goes
through the same issues surrounding any start-up business; in the early days, Richard
Campin recalled that after starting the business out of the pockets of the four
founders, they all eventually had credit cards that didnt work anymore.
The firms strategy to target the upper mid-market is paying off as the big players
keep moving up in deal size, leaving Exponent to fill the void between the mega
buyout houses and typical mid-market firms. Exponent has the flexibility to invest
up to 200 million in a single deal, which is a relatively large amount as it represents
a quarter of their most recent fund.
To date, the firm has only made one exit from the portfolio created using its first
fund; in 2005, TSL Education was acquired from News International for 235 million,
only to be sold in 2007 to Charterhouse. It is still seen as a relatively young portfolio
203
Exponent Private Equity
THE SCOOP
and Hugh Richards, one of the four founding partners, said of the TSL sale: All the
plans came right with TSL and quicker than expected. It was a helpful proof of
principle, but it would have been unrealistic to expect more.
The firm has seven active portfolio companies, acquired using Exponents first fund.
In 2006, Durrants Media Monitoring was bought for 82 million from August Equity;
The Trainline, the online train ticket company, was bought from Virgin for 163 million;
Exponent invested in GTI, the graduate recruitment publisher, backing the founding
management team; and Magicalia, the online publisher, was acquired for 13 million.
In 2007, the firm acquired V.Holdings, the worlds largest ship management business,
for US $340 million; Cardsave, the electronic payment services company, was acquired;
and most recently, Radley, the womens fashion brand, was bought from Pheonix
Equity Partners in a transaction valuing the company at 130 million.
GETTING HIRED
The educational pedigree of Exponents professionals is mixed; four of the
professionals have MBAs, two of which are from Harvard, although none have a
PhD level qualification. At undergraduate level, five come from Oxbridge, while
other Universities range from Glasgow to Bristol to Manchester.
The background of the twelve Exponent investment professionals is fairly typical of
the private equity industry as a whole; previous employers include Bain & Co, a top
management consultancy, PricewaterhouseCoopers, a Big Four accounting firm, Merrill
Lynch, a top investment bank, and a variety of other private equity firms. There doesnt
seem to be a single type of background preferred at Exponent, and candidates are
advised to contact the firm directly to discuss potential employment opportunities.
204
INVESTITORI
ASSOCIATI
Via Agnello 8
20121 Milan
Italy
Tel: +39 02 854 5731
www.investitoriassociati.it
THE STATS
KEY COMPETITORS
3i Advent International Apax BC
Partners CVC
CAREERS CONTACT
info@investitoriassociati.com
Senior partners: Dario Cossutta, Stefano

Miccinelli & Antonio Tazartes
No. of Offices: 1
COMPANY FOCUS
Sectors:
All sectors
Financial stages:
Mid market buyout (15m-150m equity),
Large buyout (150m-300m equity)
Types of financing:
EUROPEAN LOCATIONS
Milan (HQ)
205
THE SCOOP
Milan-based Investitori Associati is one of the leading Italian private equity houses,
particularly active in mid-market transactions with values over 100 million. The
company creates subsidiaries that individually manage each fund, with the idea that
each team is independent under a collective umbrella that dictates overall strategy
and offers advice to each fund. The most recent fund, Investitori Associati IV, was
oversubscribed by almost three times and closed with 700 millionover 100
million more than originally intended.
VINTAGE YEAR
FUND CAPITAL
Investitori Associati IV
2004
0.7bn
Investitori Associati III
2000
0.4bn
FUNDS
Previously, Investitoris first three funds had a total of 475 million between them,
making 22 investments in a variety of industrial and services companies, mainly in
Italy. This investment history is enough to make them one of the leading Italian
players, and their reputation has seen the firm involved in some large club deals; in
2003, Investitori teamed up with Permira, CVC and BC Partners to acquire Seat
Pagine Gialle, the directories business unit of Telecom Italia, in a deal valued at 5.7
billion. Although Investitori is not in the same league as these international players,
they provide the access, experience and network for the Italian market, which means
they are often called upon to partner with for Italian deals.
Unsurprisingly, as one of the leading Italian firms, Investitori Associati has won a
variety of awards ranging from Italian Private Equity Firm of the Year to Italian
M&A Deal of the Year for the Seat Pagine Gialle deal.
Investitori Associati recently established their first alternative investment subsidiary,
aimed at controlling management companies of several types of funds: private equity
funds, fund of funds, co-investment funds and eventually other high yielding asset
classes such as hedge funds and mezzanine funds. The business unit represents a
diversification for Investitori, away from typical private equity deals into other
sectors near their core business.
206
GETTING HIRED
The three founding partners and the majority of the management team have
extensive experience in the private equity sector, developed in particular within the
firm.
Investitori Associati is an Italian company with mainly Italian private equity fund
managers. The background of the younger part of the team is mostly in investment
banking and strategy consulting. Employees studied mainly at Italian undergraduate
and graduate university programs, although lately there is an interest for
internationally renowned MBA programs like Harvard or Wharton. Applicants with
a strong Italian investment banking background will have an advantage when
applying to Investitori Associati.
207
Investitori Associati
Acquisitions using the fourth fund took place throughout 2005 and 2006, in sectors
ranging from transportation to pharmaceuticals. This includes market leading blood
fractionator Kedrion, a family business from Tuscany with 150m turnover, and
Grandi Navi Veloci (GNV), which operates a fleet of ten cruise ferries and is one
of the main operators in the Mediterranean Sea with 265m turnover.
MERCAPITAL
Parque Empresarial "La Finca",
Paseo del Club Deportivo, 1 Edificio 14
Madrid
28223 Pozuelo de Alarcn
Spain
Tel: +34 (0)91 557 8000
KEY COMPETITORS
www.mercapital.com
mercapital@mercapital.com
THE STATS
Chairman: Jos Mara Loizaga Viguri
No. of Offices: 1
COMPANY FOCUS
Sectors
All sectors
Financial stages:
Small market buyout (<15m equity),
Mid size market buyout (15m150m
equity)
Types of financing:
Other: Minority Equity
EUROPEAN LOCATIONS
Madrid (HQ)
208
3i Apax Candover Doughty Hanson PAI
CAREERS CONTACT
Mercapital
THE SCOOP
Since 1986, Mercapital has firmly established itself as a reference in the Spanish
private equity market. With investments totalling 1.4 billion, the firm is one of the
most active and experienced mid-market firms dedicated to the Iberian market;
unlike many other European firms, Mercapital is happy being a niche player and
currently has no ambitions to expand geographically throughout Europe.
VINTAGE YEAR
FUND CAPITAL
Mercapital Spanish Buyout Fund III
2006
0.55bn
Mercapital Spanish Buyout Fund II
2001
0.6bn
FUNDS
Typically, the firm will invest 40 million to 50 million in Iberian companies, with
enterprise values in the 100 million to 150 million range, making them a fairly
typical mid-market PE firm. With over 20 dedicated professionals, Mercapital is the
largest independent firm dedicated to the region. It is however increasingly
threatened by global and pan-European rivals who have been opening offices in
Madrid in recent years and are actively hiring well-connected senior advisors.
The firm had five investment vehicles before their first traditional private equity
fund, Spanish Private Equity Fund (SPEF), which closed in 1998 at 260 million. Their
second fund, SPEF II, closed in 2000 with a sizeable 600 million from a global
investor base. In late 2006, the most recent SPEF III fund closed at 550 million,
slightly above the 500 million target. The firm is allocating all of SPEF III to buyouts,
compared to about two-thirds of the previous fund, meaning they have significantly
increased their potential buyout capacity.
In 2007, the firm failed to make any investments, which may be somewhat indicative
of the market conditions at the time. In 2006, however, the firm still only made one
investment; Mercapital acquired 75 per cent of Gasmedi, a medical gas provider, in
an MBO that valued the company somewhere around 275 million. In contrast, 2005
saw the firm make a record four investments in a variety of sectors; Saprogal, an
animal nutrition company, Holmes Place, a fitness centre group, Menorquin Yachts,
a boatyard, and Grupo Abaco, a cinema company, were all acquired that year.
209
GETTING HIRED
The team of twenty professionals is exclusively Spanish, as is the wide group of close
industry advisors, and both are exclusively dedicated to the Spanish market. The
majority joined after a first professional experience in the industry (25 per cent). Others
worked at a Big Four audit firm (15 per cent), a strategy consultancy (15 per cent) or an
investment bank (15 per cent). Prior to that, while they all pursued their undergraduate
studies at local Spanish universities, one third of the team holds an MBA from INSEAD.
Unless Mercapital change their regional focus, only candidates with a strong Spanish
background and connections stand a chance of joining the team.
210
SAGARD
24/32 rue Jean Goujon
75008 Paris
France
Tel: +33 (0)1 53 83 3000
www.sagard.com
THE STATS
KEY COMPETITORS
Barclays Private Equity Bridgepoint
European Capital Montagu
CAREERS CONTACT
contact@sagard.com
Chairman: Didier Pineau-Valencienne

No. of Offices: 1
COMPANY FOCUS
Sectors:
All sectors
Financial stages:
Small market buyout (<15m equity),
Mid size market buyout (15m150m
equity)
Types of financing:
Other: Minority Equity, business development capital
EUROPEAN LOCATIONS
Paris (HQ)
211
THE SCOOP
Sagard Private Equity Partners, the France-based buyout arm of the Canadian
Desmarais family, was formed in 2002 with the support of the Power Corporation of
Canada. Sagard was established to unite a group of influential industrial families
and financial institutions, allowing them to leverage their industrial expertise and
networks to add value to potential acquisitions.
FUNDS
VINTAGE YEAR
FUND CAPITAL
Sagard II
2006
1bn
Sagard I
2003
0.6bn
The funds founding partners and investors provided all of the capital for the first
fund, Sagard I, which closed in 2003 at 600 million, with 54 per cent coming from
industrial families. The second fund, Sagard II, closed in 2006 with over 1 billion
from both original and new investors, with the industrial family contribution rising
to 65 per cent.
Sagard, named after the French missionary who set off for Quebec in the seventeenth
century, invests in mid-market companies based in France or French speaking
European countries, with enterprise values above 100 million. The Chairman of the
advisory board is none other than Paul Desmarais Jr., a role he fits into his spare time
while also serving as Chairman and Co-CEO of Power Corporation, the Canadian
utilities company with market cap of C$14 billion.
The Desmarais are one of the truly powerful and elite Canadian families, controlling
the Power Corporation amongst an array of other holdings. Paul Desmarais, the 73year- old patriarch of the family, is counted as being one of the top ten richest people in
Canada, with an estimated fortune of around C$4.25 billion. His blackberry has links to
the global political elite, including Canadian Prime Ministers, US Presidents and current
French leaders. His son is married to the daughter of former Canadian Prime Minister
Jean Chretien, and the most recent ex-Prime Minister was his former employee, as
President of Power Corporation. In fact, Stephen Harper, the current Canadian leader,
is the first Prime Minister in a quarter century to have no real ties to the Desmarais.
212
Sagards first fund was fully invested by 2006, with twelve investments ranging from
a pharmaceuticals wholesaler to a French private hospital company. The second
fund, Sagard II, has been used to fund four acquisitions to date; Flakt woods, a
manufacturer of clean air systems, SGD, a glass packaging company, Vivarte, a
footwear and apparel retailer, and Aliplast, an aluminium products manufacturer,
were all acquired in 2007.
GETTING HIRED
Of Sagards twenty professionals, the majority received undergraduate degrees in
Paris, at top business schools such as ESCP-EAP and HEC. Three of the professionals
have MBAs from top American schools: Wharton, Dartmouth and MIT. Only one
person on the investment team has a PhD level qualification.
Almost half of the professionals come from a banking background, with bulge
bracket firms Morgan Stanley and Goldman Sachs being the most popular. One
professional has a background in consulting, from Accenture, and none come from
an accounting or transaction services background. It is highly unlikely that Sagard
would recruit using a traditional application process, but that shouldnt stop suitable
candidates from contacting them to discuss potential career opportunities.
213
Sagard
The Sagard private equity funds represent a shift in the Desmarais focus, moving
away from Canada and towards France. This shift can also be seen in their political
dealings, as their growing friendship with Nicolas Sarkozy has been well
documented. The Desmarais family recently hit the press during the controversial
Gaz de France and Suez merger; if the companies successfully merge, the holding
company jointly owned by the Desmarais and the Frre family of Belgium would be
the largest private shareholder. In fact, Mr. Sarkozys outspoken support for the deal
has been one of the driving factors in the face of much criticism from the unions. The
creation of the Sagard Private Equity funds means that the Desmarais will have an
excuse, and a requirement, to be in Paris for a considerable amount of time, as the
fund is targeting growing companies that will require a lot of attention.
INTERMEDIATE
CAPITAL
GROUP PLC
20 Old Broad Street
London EC2N 1DP
United Kingdom
Tel: +44 (0)20 7628 9898
www.icgplc.co.uk
THE STATS
Managing Director: Tom Attwood
Employer Type: Public listed Company
Ticker Symbol: ICP
Total funds under management: 4 billion
No. of Offices: 9
EUROPEAN LOCATIONS
London (HQ) Frankfurt Madrid
Paris Stockholm
REST OF THE WORLD

New York Hong Kong Tokyo Sydney
KEY COMPETITORS
Capvent DAM Capital Park Square
Indigo Capital EuroMezzanine Almack Mezzanine
COMPANY FOCUS
CAREERS CONTACT
Sectors:
All sectors
+44 (0)20 76 28 9898
Financial stages:
Mezzanine
Types of financing:
Acquisitions, Public to private transactions with or without private equity
backing, Management buyouts/management buy-ins, Development capital, Public quoted company finance,
Off-balance-sheet finance, Refinancing
and recapitalisations, Pre-IPO financing
214
Founded in 1989, ICG is a UK-based provider of intermediate capital, specialising in

mezzanine finance. By 1994, the firm had financed companies in the UK, Germany
and France, and had started to manage third party funds for the first time. That year,
the firm also listed on the London stock exchange, creating the only public entity
specialising in mezzanine finance. The firm has grown rapidly since inception: the
Paris office was opened in 1995; by 1998, the firm had made 100 investments; in 2001,
the firm opened an office in Hong Kong; in 2004, offices were opened in Madrid and
Stockholm; in 2005, the Frankfurt office opened; in 2006, the firm established new
offices in Tokyo and Sydney; and finally, in 2007 the firm opened its first US office,
with future ambitions to expand its mezzanine finance activities in North America.

VINTAGE YEAR
FUND CAPITAL
ICG European Fund 2006
2006
2.25bn
ICG Mezzanine Fund 2003
2003
1.5bn
ICG Mezzanine Fund 2000
2000
0.307bn
FUNDS
As of 2007, the firm has invested in transactions worth more than 8 billion, and is
one of the leading providers of mezzanine finance in Europe, Asia-Pacific and North
America. The firm provides between 15 million and 500 million for a range of
situations including acquisitions, buyouts, public to private, development capital,
public companies, off balance sheet financing, refinancing and pre-IPO funding.
In 2007, ICG saw its outlook improve considerably, as the liquidity squeeze saw
investors flock to intermediate finance as a way of deferring interest payments. In
January 2008, ICG announced that they were planning to invest a 700 million pool
of debt finance, showing that they are finding further ways to capitalise on the credit
crunch.
In 2007, the firm closed its most recent mezzanine European Fund 2006 at 2.25
billion, representing 1.25 billion of committed equity and 1 billion of leverage.
Although ICG specialises in providing mezzanine finance, they regularly make an
215
THE SCOOP
equity co-investment alongside the lead investor. In 2007, ICG provided equity in
support of TPG and AXA Private Equitys acquisition of TDF, the leading French
television broadcaster. They also provided mezzanine and equity in 3is management
led buyout of Marken, the British clinical trial logistics firm. In another 3i buyout, of
Finland-based Inspecta, ICG provided senior and junior mezzanine finance as well
as an equity co-investment.
ICG has a broad European reach, with recent transactions spread across several
countries; in 2007, ICG sponsored transactions in Denmark, Finland, France,
Germany, the Netherlands, Spain, Sweden and the UK. The French office has been
particularly active lately, with twelve of the 26 transactions executed in 2007 taking
place in France.
The firm has also seen a flurry of activity in the healthcare industry, indicative of the
increasing presence of private equity players in the sector. ICG provided finance for
Industri Kapitals acquisition of Attendo, the largest nursing home provider in
Sweden; they supported EQTs acquisition of Dako, the Danish cancer diagnostics
specialist; and they also provided bonds for LBO Frances acquisition of MdiPartenaires II, the French acute hospital group.
GETTING HIRED
ICG recruits from top tier universities, with London- and Paris-based schools
featuring heavily, which makes sense as these are ICGs two most active offices. Only
11 per cent of ICGs professionals have MBAs, with the majority holding just a
bachelors degree.
The majority of ICGs professionals came from a banking or transaction services
background, most likely due to the more technical financial aspects involved in
arranging mezzanine finance. There are relatively few strategy consultants in
comparison to other private equity firms, again probably due to the complex
structuring of the securitised products ICG specialises in.
216
Higher Diploma
PhD/JD/MD (5%)
Unknown (10%)
MBA (11%)
Masters (13%)
Source: Candesic

Banks (44%)
Other (37%)
Source: Candesic

3.0
2.5
2.0
ESCP-EAP (2)
1.5
HEC (2)
1.0
LSE (2)
0.5
0.0
Oxford (3)
LBS (3)
Source: Candesic
5
4
3
Credit Suisse (2)

BCG (2)
KPMG (4)
JPMorgan (4)
Calyon (5)
Source: Candesic
217
PARTNERS
GROUP
Zugerstrasse
UK
Regional Headquarters
57
Advent
6341
Baar-Zug
International plc
Switzerland
London
Tel:
+41SW1W
(0)41 768
0SR85 85
UK
Tel: +44 20 7333 0800
www.partnersgroup.ch
European
REST
OF THE
Locations
WORLD
Harbourvest Capital Dynamic Pantheon Ventures Adam Street Partners

AIG Private Equity Horizon 21
THE STATS
CEO: Dr. Steffen Meister
Head of Private Equity: Philipp Gysler
The
Stats
Employer Type: Publicly listed company
(SWX)
Employer
Type:PGHN
Independent Private
Ticker
Symbol:
Company
Total
private equity funds under manageTotal private
equityinfunds
ment:
CHF16.7bn
2008 under
(out of
management:
about 11bn (2008)
CHF24bn
globally)
Employees: 130
Employees:
100investment
in 2007 professionals,
of which
65 in Europe
(2008)
No.
of Offices:
9 (10 inc.
additional
No. of Offices:
planned
opening15in 2008)
COMPANY FOCUS
Company Focus
Sectors:
Sectors:
All
sectors
Retail & Consumer
Financial
stages:
Technology,
Funds
of funds
Media
(Primary
& Telecoms
investments,
Healthcareinvestments,
& Life Sciences
secondary
direct investIndustrial
ments,
real estate, infrastructure)
Financial stages:
International buyouts,
recapitalization and
EUROPEAN
LOCATIONS
Baar-Zug
(HQ)venture
Guernsey
equity), some
capital London
Luxembourg
Types of financing:
Majority equity
218
New York
London
(HQ)
San Francisco Singapore
Amsterdam
Sydney Tokyo
Bucharest Frankfurt
(affiliate)
KEY COMPETITORS
Rest of the World
Boston (HQ)
Key Competitors
Cinven Montagu
Employment Contact
In 1996, Partners Group, a Swiss alternative asset management firm, was established,
offering a private equity fund of funds as their first product. Offices in Guernsey and
New York were established in 1999 and 2000 respectively, followed by additions in
Singapore and London in 2004, in San Francisco and Tokyo in 2007 and lately Sydney
and Luxembourg in 2008. The firm also plans to open an office in Beijing.
In 2001, the firm entered the hedge fund industry by acquiring Swiss Alternative
Investment Strategies Group, a firm founded by ex-Credit Suisse hedge fund
professionals. Today, Partners Group is a global alternative asset management firm,
with strong roots in Switzerland, offering a range of investment alternatives,
including hedge funds, real estate funds, private debt and private equity. The private
equity division makes up over two thirds of the 15 billion managed by the group,
using a global team of over a hundred professionals spread across six offices.
Partners Group splits their private equity investment funds by the stage of the target
companies they invest in: the venture capital funds invest in new and emerging
companies, that tend to have negative cash flow and a longer investment horizon; the
buyouts funds target companies that are well established and typically use debt, or
leverage, to finance the acquisition; the special situations fund is set aside for any
other investment that doesnt fall in the first two categories of funds.
Partners Group is not a typical fund of funds, as they invest in primary, secondary,
direct and listed private equity investments. Their investment strategy separates
North America, Europe and Asia/emerging markets in a matrix against types of
investments; the matrix is then overweighted given current market conditions, and
assets are allocated accordingly. The firms direct investments come in the form of coinvestments, typically led by a partnership already in their network.
The firms investment strategy, dubbed Alternative Beta Strategies, was one of the
first strategies to clone the methods used by hedge-funds, and now has over $1.1
billion invested in it from high profile investors, such as the leading UK pension
fund, Universities Superannuation Scheme.
The firm gained accolades in 2004, winning the European Fund of Funds award
and achieving second place in the Secondaries Firm of the Year. In 2006, the firm
was deemed the most successful European listing, jumping 133 per cent after
becoming available to public investors.
219
Partners Group
THE SCOOP
Products offered by the firm are split into three categories: limited partnerships,
which are regularly established, and can vary from diversified global funds to
targeted funds such as a European buyout fund of funds; publicly traded products,
such as investment companies, certificates and principal investment vehicles, which
normally aim to offer a diversified portfolio of investments across all financing types
and stages; and open-ended product, or mutual funds, which have been created for
specific investor groups, and provide the added level of regulation and liquidity
some investors prefer.
In 2006, the firm became public, listing around 30 per cent of the equity on the SWX
Swiss exchange and through select private placements. Following the transaction, it
is thought that the management team retained a large portion of the equity.
In January 2008, the group as a whole announced their highest ever annual growth,
taking total assets under management from 10.6 billion to nearly 15 billion during
2007. The firm seems to have avoided any injury from the credit crisis that dominated
the rest of the private equity world during 2007; Alfred Gantner, Executive Chairman,
explained that the slow down in direct investments was complemented by cheaper
secondary private equity investments becoming available, and the private debts held
by the firm were priced with the intention of holding them to maturity.
GETTING HIRED
Partners Group is a global alternative asset manager with strong Swiss roots, as
evidenced by the background of its investment professionals. Seventy per cent of
them joined with previous experience at a Swiss bank, a Swiss asset manager or a
Swiss insurance company, while most of the rest worked at the Swiss subsidiary of
an international firm. This is also very visible academically, with only 10 per cent of
them venturing abroad for an MBA or a PhD. Not surprisingly, St. Gallen is the most
represented institution. Surprisingly, there are very few managers with previous
experience in direct or indirect private equity investment.
220
The graduate programme

Partners Group actively recruits recent business school graduates into their
structured Associate program, based around two sixth month modules. Candidates
can contact the firm at hr@partnersgroup.net
Higher Diploma
PhD/JD/MD (12%)
Unknown (15%)
MBA (12%)
Masters (43%)
Source: Candesic

Banks (46%)
Other (39%)
Source: Candesic
221
Partners Group
Still, Partners Group is growing with the entire PE industry and offers a variety of
career opportunities. They state that they actively recruit new talent from top
business schools in the United States and in Europe and look especially for
entrepreneurship, drive, outstanding academic and professional performance and
desire to learn in all candidates. The firm offers an associate program completed in
two six-month modules and also selectively targets experienced hires. The full
recruiting process is explained on their website in the About us menu. For PE
investment managers, they express a preference for investment banking or
accounting experience and a particular interest for sectors of high tech, telecom and
chemicals. Strategy consulting doesnt appear to be a target, as is it considered less
useful in funds of funds.

8
7
6
5
Swiss Banking School, Zurich (2)
Marriot School of Management (2)
Swiss Federal Institute of Technology (3)
Zurich University (3)
St. Gallen (7)
Source: Candesic
6
5
4
3
Goldman Sachs (3)
PWC (4)
Credit Suisse (4)
UBS (6)
Source: Candesic
222
Short Profiles of
200 REPRESENTATIVE
PE firms in Europe
LBO, GROWTH EQUITY AND

DIVERSIFIED PRIVATE EQUITY FUNDS
MEZZANINE FUNDS
DISTRESSED FUNDS
SECONDARY FUNDS
FUND OF FUNDS
LBO, GROWTH EQUITY AND DIVERSIFIED

PRIVATE EQUITY FUNDS
21 Investimenti
AAC Capital Partners
Via G. Felissent, 90
31100 Treviso
Italy
Tel +39 0422 316611
ITO Tower 22nd floor

Gustav Mahlerplein 106
1082 MA Amsterdam
The Netherlands
Tel +31 (0)20 383 1808
www.21investimenti.it
www.aaccapitalpartners.com
STATS
Chief Executive: Alessandro Benetton
No. of employees: 21
AuM: 700m (2007)
STATS
Chief Executive: Gerben Kuijper
Employer Type: Private firm
No. of employees: 27 professionals
AuM: 3.1bn (2007)
EUROPEAN LOCATIONS
Offices: Treviso Paris (21 Centrale Partners)
226
EUROPEAN LOCATIONS
Offices: Amsterdam London
Stockholm
Aberdeen Asset Managers

Limited
One Bow Churchyard
London, EC4M 9HH, UK
Tel +44 (0)20 7463 6452
www.aberdeen-asset.com/privateequity
STATS
Head of Investment, Private Equity:
Francesco Santinon
Employer Type: Private equity division
of Aberdeen Asset Management PLC
AuM: 267m (2008)
ABN Amro Capital France

9 avenue Matignon
75008 Paris
France
Tel +33 (0)1 53 93 69 00
www.abnamrocapital.fr
STATS
Managing Director: Herv Claquin
Employer Type: Currently a subsidiary
of ABN Amro (2007)
No. of employees: 6 professionals in Paris
EUROPEAN LOCATIONS
Offices: Paris Milan Madrid
EUROPEAN LOCATIONS
Offices: London Aberdeen Birmingham Glasgow Inverness Leeds
Manchester
CAREERS CONTACT
private.equity@aberdeen-asset.com
227
Accent Equity Partners
Activa Capital
Engelbrektsgatan 5
SE-11487 Stockholm
Sweden
Tel +46 8 545 073 00
203, rue du Faubourg Saint-Honor

75008 Paris
France
Tel +33 1 43 12 50 12
www.accentequity.se
www.activacapital.com
STATS
STATS
CEO and Founding Partner: Jan Ohlsson

AuM: 700m
Chief Executive: Jean-Louis de Bernardy

No. of employees: 12 (11 professionals)
AuM: 315m
EUROPEAN LOCATIONS
EUROPEAN LOCATIONS
Offices: Stockholm
Offices: Paris
228
Ahorro Corporacion
Desarollo
Paseo de la Castellana 89
28046 Madrid, Spain
Tel +34 91 586 4242
www.acdesarollo.com
AIG Private Equity

AIG Global Investment Corp. (Europe)
Ltd.
Plantation Place South
60 Great Tower Street
London EC3R 5AZ, United Kingdom
Tel +44 (0) 20 7269 7253
www.aiggig.com/AIG/Private+Equity
STATS
Managing director: Antonio Fernandez
Lopez
Employer Type: Subsidiary of Grupo
Ahorro Corporacion
AuM: 250m (2007)
STATS
Managing Director, Alternative Investments Europe: Ion Bogdaneris
Employer Type: Subsidiary of AIG
Employees: 200 team members
AuM: $27.2bn worldwide (expansion,
LBO, mezzanine, funds of funds)
EUROPEAN LOCATIONS
Offices: Madrid Sevilla Malaga Valencia
LOCATIONS
Offices: London New York and 22
more locations
229
Alchemy Partners
Alpha
20 Bedfordbury
London WC2N 4BL, United Kingdom
Tel +44 (0)20 7240 9596
49 Avenue Hoche
75008 Paris
France
Tel +33 (0) 1 56 60 20 20
www.alchemypartners.com
www.groupealpha.com
STATS
Founder and managing partner: Mr. Jon
Moulton
No. of employees: 24 (20 investment
professionals)
AuM: 2bn
STATS
Chief Executive: Nicolas ver Hulst
EUROPEAN LOCATIONS
EUROPEAN LOCATIONS
Offices: London
CAREERS CONTACT
jmoulton@alchemypartners.co.uk
230
Offices: Paris Frankfurt Milan

Monaco Saint Helier
AlpInvest Partners N.V.
AnaCap Financial Partners
Jachthavenweg 118
Amsterdam 1081 KJ
The Netherlands
Tel +31 20 5407575
Stanford House, 27a Floral Street

London, WC2E 9EZ, United Kingdom
Tel +44 (0)20 7070 5250
www.anacapfp.com
www.alpinvest.com
STATS
Chief Executive: Volkert Doeksen
AuM: 40bn
LOCATIONS
STATS
Managing Principal: Joe Giannamore
Employees: 6 professionals (2007)
AuM: 300m
EUROPEAN LOCATIONS
Offices: London
Offices: Amsterdam London (Spring

2008) New York Hong Kong
CAREERS CONTACT
contact@anacapfp.com
231
Andlinger & Company
Apollo Management
Avenue Louise 140

1050 Brussels, Belgium
Tel +32 2 647.80.70
2 Manhattanville Road
Purchase, NY 10577
United States
Tel +1 914 694 8000
www.andlinger.com
STATS
STATS
CEO: Johan Volckaerts
company
Employees: 25
Founders and Managing Partners: Leon

Black, Josh Harris and Marc Rowan
(London)
Employees: 175 professionals (2007)
AuM: $16bn
LOCATIONS
Offices: Brussels Vienna New York
Shanghai
CAREERS CONTACT
demulder@andlinger.be
232
LOCATIONS
Offices: Frankfurt London and Paris
New York Los Angeles Singapore
Apposite Capital LLP
Arcapita
Bracken House
One Friday Street
London EC4M 9JA
United Kingdom
Tel +44 (0)20 7090 6874
15 Sloane Square
London SW1W 8ER, United Kingdom
Tel +44 (0)20 7824 5600
www.arcapita.com
www.apposite-capital.com
STATS
STATS
Managing Partner: David Porter
Employer Type: Private company
AuM: ~200m
CEO: Atif A. Abdulmalik

Employees: 43 investment executives
(16 in Europe)
AuM: ~$4bn (private equity)
LOCATIONS
EUROPEAN LOCATIONS
Offices: London
Offices: London Bahrain Atlanta

Singapore
CAREERS CONTACT
enquiry@apposite-capital.com
233
Argan Capital
Argos Soditic
Monopolis House, 9 South Street

London W1K 2XA, United Kingdom
Tel +44 (0)20 7647 6970
14 rue de Bassano
75783 Paris Cedex 16
France
Tel +33 (0)1 53 67 20 50
www.argancapital.com
www.argos-soditic.com
STATS
Managing Partner: Mr. Lloyd Perry
AuM: 425m
STATS
Chief Executive: Mr. Louis Godron
AuM: 518m
EUROPEAN LOCATIONS
Offices: London Milan Paris
Warsaw
234
EUROPEAN LOCATIONS
Offices: Paris Geneva Milan
ARGUS Capital Partners
Astorg Partners
Academy House
36 Poland Street
London W1F 7LU
United Kingdom
Tel +44 20 7439 0088

75008 Paris
France
Tel +33 (0)1 53 05 40 50
www.astorg-partners.com
www.arguscapitalgroup.com/en/
STATS
STATS
Managing partner: Ali Artunkal
company
AuM: 400m
Chief Executive: Xavier Moreno

company
Employees: 16 (13 professionals)
AuM: 500m
EUROPEAN LOCATIONS
EUROPEAN LOCATIONS
Offices: Paris
Offices: London Budapest Prague

Warsaw
235
Atria Capital Partenaires
August Equity
40 rue de Chteaudun
75009 Paris
France
Tel +33 (0)1 45 26 60 16
10 Bedford Street
London WC2E 9HE, United Kingdom
Tel +44 (0)20 7632 8200
www.augustequity.com
www.atria-partenaires.com
STATS
STATS
Chief Executive: Mr. Dominique Oger
company
Employees: 11
AuM: 320m
Chief Executive: Richard Green

Employees: 19
AuM: 260m
EUROPEAN LOCATIONS
EUROPEAN LOCATIONS
Offices: Paris
236
Offices: London
Baird Capital Partners

Europe
Baring Private Equity

Partners Espana SA
Mint House, 77 Mansell Street

London, E1 8AF
United Kingdom
Tel +44 20 7667 8400
Hermosilla, 11-5a Planta

28001Madrid, Spain
Tel +34 91 781 8870
www.bpep.com/spain.html
www.bcpe.co.uk
STATS
STATS
Chairman: Michael Proudlock
Employer Type: European private equity
arm of Robert W. Baird & Co. Inc
Employees: 7 senior professionals
AuM: 600m
Managing partner: Jos Angel Sarasa

Employer Type: Spanish unit of Baring
Private Equity Partners
AuM: 200m ($3.4bn worldwide)
LOCATIONS
LOCATIONS
Offices: London
(Further presence in the US and China
through Baird Private Equity. For Germany, see Granville Baird Capital Partners Germany.)
Offices: Madrid Aviles Barcelona

Murcia Guernsey Moscow San
Francisco Hong Kong Shanghai
Singapore Tokyo
CAREERS CONTACT
ibrecruitinguk@rwbaird.com
237
Baring Vostok Capital

Partners
Ducat Place II, Suite 750
Gasheka str. 7, bldg 1
Moscow, 123056
Russia
Tel +7 095 967 13 07
www.bvcp.ru
STATS
Co-Managing Partners, Russia: Michael
Calvey and Alexei Kalinin
Employer Type: Russian unit of Baring
Private Equity Partners1
Employees: about 50 (25 professionals
in Europe)
AuM: $1.9bn ($3.4bn worldwide)
BS Private Equity
BS Investimenti SGR Spa
Via dellOrso, 8
20121 Milan, Italy
Tel +39 02 762 1131
www.bspeg.com
STATS
Managing partners: Paolo Baretta, Antonio Perricone, Francesco Sironi
company
AuM: 510m (2007)
EUROPEAN LOCATIONS
Offices: Milan
LOCATIONS
Offices: Moscow Aviles Barcelona
Guernsey Madrid Murcia San
Francisco Hong Kong Shangha
Singapore Tokyo
CAREERS CONTACT
info@bvcp.ru
238
Caja Madrid, Sociedad de

Promocion y Participacin
Empresarial
28046 Madrid, Spain
Tel +34 91 423 5007
Capital Alianza Private

Equity Investment SA
Plaza Marques de Salamanca, 9
28006 Madrid, Spain
Tel +34 91 4 353 088
www.capitalalianza.com
www.cajamadrid.es
STATS
STATS
President: Mariano Perez Claver
Employer Type: Division of Caja Madrid
AuM: 560m (2007)
EUROPEAN LOCATIONS
Offices: Madrid
Chief Executive: Mr. Jos Maria Castane

Ortega
Employees: 8
AuM: ~200m
EUROPEAN LOCATIONS
Offices: Madrid
239
CapVest Limited
Capvis Equity Partners
100 Pall Mall

London SW1Y 5NQ
United Kingdom
Tel +44 20 7389 7900
Talacker 42
CH-8022 Zrich
Tel +41 43 300 58 58
www.capvis.com
www.capvest.co.uk
STATS
STATS
Founding partner: Seamus FitzPatrick
Employer Type: Part of AIG Private
Equity
AuM: 3bn (last fund: 350m)
Chairman and partner: Dr. Alexander

Krebs
Company
EUROPEAN LOCATIONS
LOCATIONS
Offices: London
Offices: Zrich Kirchheim (Germany)

Vienna Shanghai
Assets under management: 550m
CAREERS CONTACT
info@capvest.co.uk
CAREERS CONTACT
info@capvis.com
240
CCMP Capital
Change Capital Partners
Almack House, 28 King Street

London SW1Y 6XA, United Kingdom
Tel +44 (0)20 7389 9100
2nd Floor, College House, 272 Kings

Road
London SW3 5AW, United Kingdom
Tel +44 (0)20 7808 9110
www.ccmpcapital.com
www.changecapitalpartners.com
STATS
Managing partner: Stephen Murray
LOCATIONS
Offices: London New York Honk
Kong Tokyo
Assets under management: $10bn (2007)
STATS
Managing director: Mr. Luc Vandevelde
No. of employees: 9 investment professionals
AuM: 300m
LOCATIONS
Offices: London
241
Charterhouse
Chequers Capital
7th Floor, Warwick Court, Paternoster

Square
London EC4M 7DX, United Kingdom
Tel +44 (0)20 7334 5300
48 bis, avenue Montaigne

75008 Paris
France
Tel +33 1 53 57 61 00
www.charterhouse.co.uk
www.chequerscapital.com
STATS
STATS
Chief Executive: Mr. Gordon Bonnyman

No. of employees: 20 executives
Assets under management: 8.4bn
President: Denis Metzger

company
AuM: 950m (2006)
LOCATIONS
Offices: London Paris
CAREERS CONTACT
mail@chequerscapital.com
242
CIC Finance
Ciclad
4, rue Gaillon
75002 Paris, France
Tel +33 1 42 66 76 63
8, av Franklin-Roosevelt
75008 Paris, France
Tel +33 (0) 1 56 59 77 33
www.ciclad.com
STATS
AuM: 600m
STATS
Managing directors: Thierry Thomann,
Jean-Franois Vaury
Employees: 8
AuM: 310m (2007)
LOCATIONS
Offices: Paris
243
Citi Private Equity

41 Berkeley Square
London W1J 5AN, United Kingdom
Tel +44 (0)20 7500 9612
www.citigroupai.com/cpe_overview.htm
Clayton Dubilier & Rice

Limited
Cleveland House, 33 King Street
London SW1Y 6RJ, United Kingdom
Tel +44 (0)20 7747 3800
www.cdr-inc.com
STATS
Managing director: John R. Barber
Employer Type: Subsidiary of Citigroup
Employees: 10 senior investment
profesionals
AuM: $62bn for the whole of Citi
Alternative Investments
STATS
Founder and Chairman: Joseph Rice
Company
(12 in the UK)
AuM: $4bn (latest fund)
LOCATIONS
Offices: London New York
LOCATIONS
Offices: New York London
CAREERS CONTACT
info@cdr-ltd.com
244
Clessidra Capital Partners

Via del Lauro 7
20121 Milan
Italy
Tel +39 02 86 95 22 1
www.clessidrasgr.it
STATS
Founder and CEO: Claudio Sposito
company
Employees: 15 (9 investment professionals)
AuM: 820m
Close Brothers Private

Equity
10 Throgmorton Avenue
London EC2N 2DL, United Kingdom
Tel +44 (0) 20 7065 1100
www.cbpel.com
STATS
Chief Executive: John Snook
Employees: 15
AuM: 1bn in 2007
LOCATIONS
LOCATIONS
Offices: London
Offices: Milan
CAREERS CONTACT
info@clessidrasgr.it
245
Cobalt Capital
Cognetas
28, bd Malesherbes
75008 Paris, France
Tel +33 (0)1 43 12 91 10
Paternoster House, 65 St Pauls Churchyard

London EC4M 8AB, United Kingdom
Tel +44 (0)20 7214 4800
www.cobalt-cap.com
www.cognetas.com
STATS
Managing directors: Christophe Fercocq,
Herv Franc
AuM: 150m
STATS
Chief Executive: Nigel McConnell
AuM: 2.26bn
CAREERS CONTACT
CAREERS CONTACT
Offices: Paris
Offices: London Frankfurt Milan

Paris
246
Corpfin Capital
Marqus de Villamejor, 3
28006 Madrid
Spain
Tel +34 91 781 28 00
www.corpfincapital.com
STATS
Chairman: Felipe Oriol
company
AuM: 400m
LOCATIONS
Offices: Madrid
CAREERS CONTACT
contacto@corpfincapital.com
Crdit Agricole Private

Equity
100 Boulevard du Montparnasse
75682 PARIS Cedex 14
Tel +33 1 43 23 21 21
www.ca-privateequity.com
STATS
CEO: Fabien Prevost
Employer Type: Subsidiary of Credit
Agricole
AuM: 1.7bn
LOCATIONS
Offices: Paris
CAREERS CONTACT
cape.contact@ca-privateequity.fr
247
Darwin Private Equity LLP

15 Bedford Street
London WC2E 9HE, United Kingdom
Tel +44 (0)20 7420 0755
www.darwinpe.com
Dawnay, Day Principal

Investments
15-17 Grosvenor Gardens
London SW1W 0BD, United Kingdom
Tel +44 (0)20 7834 8060
www.dawnayday.com
STATS
Founders: Derek Elliott, Jonathan Kaye
& Kevin Street
company
AuM: 250m (2008 target)
STATS
Head of private companies: Luke
Bridgeman
Employer Type: Specialist team of
Dawnay, Day Group
AuM: 1bn (access)
LOCATIONS
Offices: London
LOCATIONS
Offices: London
CAREERS CONTACT
contact@darwinpe.com
248
Deutsche Beteiligungs AG
Kleinen Wiesenau 1
60439 Frankfurt am Main, Germany
Tel +49 69 957 87 0
www.deutsche-beteiligung.de
STATS
Chief executive: Wilken Freiherr von
Hodenberg
Employer Type: Public company
(Frankfurt Stock Exchange)
AuM: 520m
DLJ Merchant Banking

Partners
17 Columbus Courtyard
London E14 4DA, United Kingdom
Tel +44 (0)20 7883 1000
www.csfb.com/investment_management/private_equity/DLJ_merchant_ban
king.shtml
STATS
Chief Executive: Steven Rattner
Employer Type: Subsidiary of Credit
Suisse
Employees: 14
LOCATIONS
Offices: Frankfurt
CAREERS CONTACT
LOCATIONS
Los Angeles
AuM: $6.8bn
welcome@deutsche-beteiligung.de
CAREERS CONTACT
dljmb-eu@credit-suisse.com
249
Dunedin Capital Partners
ECI Partners
10 George Street
Edinburgh EH2 2DW, United Kingdom
Tel +44 (0)131 225 6699
Brettenham House, Lancaster Place

London WC2E 7EN
United Kingdom
Tel 020 7606 1000
www.dunedin.com
www.eciv.co.uk
STATS
Chief Executive: Ross Marshall
company
Employees: 23 (15 investment professionals)
AuM: 500m
STATS
Managing partners: Ken Landsberg and
Tim Raffle
AuM: 500m
LOCATIONS
LOCATIONS
Offices: London Manchester
Offices: Edinburgh London
CAREERS CONTACT
CAREERS CONTACT
info@dunedin.com
250
enquiries@ecipartners.com
Edmond de Rothschild
Private Equity Partners
Edmond de Rothschild
Investment Partners
Enterprise Investors
Warsaw Financial Center
Emilii Plater 53, 31st floor
00-113 Warsaw, Poland
Tel +48 22 458 85 00
www.ei.com
47 rue du Faubourg Saint-Honor

75401 Paris Cedex 08
France
Tel + 33 1 40 17 25 25
www.lcf-rothschild.fr/fr/edrip/
STATS
Employer Type: Subsidiary of La
Compagnie Financire Edmond de
Rothschild
Employees: 18
AuM: 506m (expansion, LBO, VC)
STATS
Chairman: Robert Faris
AuM: 1bn
LOCATIONS
Offices: Warsaw
CAREERS CONTACT
info@ei.com.pl
LOCATIONS
Offices: Paris
251
Ergon Capital Partners
Explorer Investments
Marnixlaan 24
1000 Brussels
Belgium
Tel +32 2 213 60 90
Av. Eng. Duarte Pacheco, n. 26-8

1070-110 Lisboa, Portugal
Tel +351 21 324 1820
www.explorerinvestments.com
STATS
Managing director: Ian Gallienne
Employer Type: Backed by Groupe
Bruxelles Lambert (GBL) and Parcom
AuM: 500m
LOCATIONS
STATS
Managing director: Rodrigo Guimares
company
Employees: 5 senior investment professionals
AuM: 262m (2008)
Offices: Brussels Milan
LOCATIONS
Offices: Lisbon
CAREERS CONTACT
explorer@explorerinvestments.com
252
Fidia SGR - Prudentia Fund
FINAMA Private Equity
Piazza Paolo Ferrari 6

Milano
Italy
Tel +3x 02 7200 2037
148 boulevard Haussmann

75008 Paris, france
Tel +33 (0)1 53 93 51 51
www.finama-pe.fr
www.fidiasgr.it
STATS
STATS
Employer Type: Fund financed by
consortium of 8 Italian banks
Managing director: Stefano Scarpis
AuM: 250m
CEO: Pierre-Michel Deleglise

Employer Type: Subsidiary of
Groupama
AuM: 1.4bn (VC, expansion,
mezzanine and funds of funds)
LOCATIONS
Offices: Paris
CAREERS CONTACT
info@finama-pe.fr
253
FL Partners
Fortis Merchant Banking
Stradbrook House
Stradbrook Road, Blackrock
Co. Dublin, Ireland
Tel +353 1 663 7630
Montagne du Parc 3
Tel +32 2 565 11 33
www.merchantbanking.fortis.com
www.flpartners.ie
STATS
STATS
Managing partners: Peter Crowley and
Neill Hughes
Managing director: Luc Weverbergh

Employer Type: Subsidiary of Fortis
Bank
Employees: 62
LOCATIONS
LOCATIONS
Offices: Dublin
Offices: Brussels
CAREERS CONTACT
CAREERS CONTACT
info@flpartners.ie
info@fortisprivateequity.com
254
Gala Capital
GED Private Equity
Serrano 57
28006 Madrid
Spain
Tel +34 91 426 1900
Calle Hiedra 17B

28109 Madrid, Spain
Tel +34 91 7022 255
www.gediberian.com
www.galacapital.com
STATS
STATS
Managing directors: Jaime Bergel and
Carlos Tejera
Employer Type: Private equity vehicle
for some of Spains wealthiest
individuals
AuM: 165m (2nd fund) with access to
more capital
Chief Executive: Enriques Centelles

Echevarria
Employees: 20
AuM: 300m
LOCATIONS
Offices: Spain Bulgaria Portugal Romania
255
GI Partners
GIMV
5th Floor, 35 Portman Square

London W1H 6LR, United Kingdom
Tel +44 (0)20 7034 1120
Karel Oomsstraat 37
2018 Antwerp
Belgium
Tel +32 3 290 21 00
www.gipartners.com
www.gimv.com
STATS
Chief Executive: Rick Magnuson
Employees: 21 professionals (9 in
Europe)
AuM: $2bn
LOCATIONS
STATS
Executive Vice President Corporate
Investment: Geert-Jan van Logtestijn
Employer Type: Public company. Sticker:
GIMB (Euronext)
No. of employees: 19 investment
professionals
AuM: 1.2bn
Offices: London Menlo Park
LOCATIONS
Offices: Antwerp Frankfurt London
The Hague
CAREERS CONTACT
info@gimv.be
256
Global Equity Partners
Global Finance
Mariahilfer Strasse 19-21

1060 Vienna , Austria
Tel +43 1 581 83 90
14 Filikis Eterias Square

10673 Athens, Greece
Tel +30 210 720 8900
www.gep.at
www.globalfinance.gr
STATS
STATS
Founder and Management Board: Dr.

Michael Tojner
Company
Employees: 30
AuM: 250m (private equity)
Managing Partner: Angelos Plakopitas

Company
AuM: $300m
LOCATIONS
LOCATIONS
Offices: Athens Bucharest Sofia
Offices: Vienna Lausanne Munich
CAREERS CONTACT
CAREERS CONTACT
office@globalfinance.gr
office@gep.at
257
GMT Communications
Partners
Granville Baird Capital

Partners Germany
Sackville House, 40 Piccadilly, London

W1J 0DR
United Kingdom
Tel +44 20 7292 9333
Haus am Hafen, Steinhft 5-7

20459 Hamburg
Germany
Tel. +49 40 37 48 02 10
www.gmtpartners.com
www.granvillebaird.de
STATS
STATS
Managing partners: Timothy S. Green

and Jeffrey D. Montgomery
AuM: 700m
Managing director: Dr. Wolfgang Alvano

firm
AuM: 650m
LOCATIONS
LOCATIONS
Offices: London
Offices: Hamburg (For the UK, see

Baird Capital Partners Europe)
CAREERS CONTACT
info@gbcp.de
258
Graphite Capital
Gresham Private Equity
Berkeley Square House

Berkeley Square
London W1J 6BQ
United Kingdom
Tel +44 20 7825 5300
One South Place

London EC2M 2GT
United Kingdom
Tel +44 (0) 20 7309 5000
www.greshampe.com
www.graphitecapital.com
STATS
STATS
Heads of investment team: Simon Ffitch
& Andy Gray
company
AuM: 1.2bn
LOCATIONS
Chief Executive: Paul Marson-Smith

company
Employees: 22
AuM: 340m (Gresham 4 fund)
LOCATIONS
Offices: London Birmingham
Manchester
Offices: London
CAREERS CONTACT
info@graphitecapital.com
259
H.I.G. European Capital

Partners LLP
Herkules Capital (formerly

Ferd Private Equity)
25 St. George Street

London W1S 1FS
United Kingdom
Tel +44 (0) 207 318 5700
Strandveien 50
P.O Box 34
1324 Lysaker, Norway
Tel +47 67 10 80 00
www.higprivateequity.com
www.ferdpe.no
STATS
STATS
Managing partners: Sami Mnaymneh &

Tony Tamer
Employer Type: European affiliate of
H.I.G. Capital
Employees: 13 senior professionals in
Europe
AuM: $4bn (worldwide)
Managing Partner: Gert W. Munthe

firm
AuM: NOK 6.25bn (~800m)
LOCATIONS
LOCATIONS
Offices: Lysaker (moving to Oslo)
Offices: London Hamburg Paris

Atlanta Boston Miami San
Francisco
CAREERS CONTACT
260
post@ferdpe.no
Hermes Private Equity

(direct investments)
Lloyds Chambers
1 Portsoken Street
London E1 8HZ
United Kingdom
Tel +44 (0)20 7680 2235
Ibersuizas
Marqus de Villamagna, 3
28001 Madrid, Spain
Tel +34 91 426 43 80
www.ibersuizas.es
www.hermes.co.uk/hermes_private_equity
STATS
STATS
Founding Partner: Luis Chicharro

Employees: 26 (12 investment
professionals)
AuM: 1bn (2008)
Chief Executive: Rod Selkirk

Employer Type: Subsidiary of Hermes
Pensions Management
AuM: 450m
LOCATIONS
Offices: Madrid Barcelona London
Luxembourg
LOCATIONS
Offices: London
CAREERS CONTACT
info@ibersuizas.es
261
Impala Capital Partners
Inflexion Private Equity
Pedro de Valdivia 10, 4 Planta

28006 Madrid, Spain
Tel +34 91 411 92 90
43 Welbeck Street
London W1G 8DX
United Kingdom
Tel: +44 20 7487 9888
www.impalacapital.com
www.inflexion.com
STATS
Chairman: Carlos Guerrero
company
AuM: 215m (2007)
STATS
Managing partners: John Hartz & Simon
Turner
AuM: 300m
LOCATIONS
Offices: Madrid
LOCATIONS
Offices: London Manchester
CAREERS CONTACT
info@impalacapital.com
CAREERS CONTACT
info@inflexion.com
262
Innova Capital
Investcorp Private Equity
Aurum Building, ul. Walicw 11

00-865 Warsaw, Poland
Tel +48-22 583-9400
48 Grosvenor Street
London W1K 3HW
United Kingdom
Tel +44 20 7629 6600
www.innovacap.com/EN
www.investcorp.com
STATS
Managing partners: Steve Buckley & Rob
Conn
AuM: 500m
STATS
Head of Private Equity Europe: Steven
Puccinelli
Employees: 42 professionals (16 in
London)
AuM: $3.8bn
CAREERS CONTACT
mail@innovacap.com
263
Investindustrial
Invision Private Equity
Via dei Bossi, 4

20121 Milan, Italy
Tel +39 02 802 7761
Industriestrasse 24, Postfach 2303

6302 Zug, Switzerland
Tel +41 41 729 01 01
www.investindustrial.com
www.invision.ch
STATS
STATS
Chairman: Andrea C. Bonomi

company
AuM: 1bn (2008)
Managing Partner: Frank Becker

company
AuM: 300m
LOCATIONS
CAREERS CONTACT
Offices: Milan Barcelona London

Luxembourg Madrid
info@invisio.ch
264
ISIS EP
Kaupthing Capital Partners
2nd Floor, 100 Wood Street

London EC2V 7AN
United Kingdom
Tel +44 (0)20 7506 5600
c/o Kaupthing Singer & Friedlander

One Hanover Street
London W1S 1AX
United Kingdom
Tel +44 20 3205 5000
www.isisep.com
www.kaupthingsingers.co.uk
STATS
Managing partner: Wol Kolade
company
professionals)
STATS
Employer Type: Private equity arm of
Iceland's Kaupthing Bank
AuM: 500m
LOCATIONS
Offices: London Birmingham Leeds
Manchester
AuM: 700m (2007)
CAREERS CONTACT
wol.kolade@isisep.com
265
KBC Private Equity NV
L Capital Management
Havenlaan 12
Tel +32 (0)2 429 36 45
18, rue Franois Ier

75008 Paris
Tel +33 (0)1 44 13 22 22
www.kbcpe.be
www.lvmh.com
STATS
STATS
Managing directors: Mr Philippe de Vicq,

Mrs. Floris Vansina
Employer Type: Investment company of
KBC Group
Employees: 30
AuM: 450m (2008)
Managing director: Jean Cailliau

Employer Type: Subsidiary of LVMH
AuM: 590m
LOCATIONS
LOCATIONS
Offices: Brussels Bucharest Budapest
Prague Warsaw
Offices: Paris
CAREERS CONTACT
lcapital@lvmh.fr
266
Langholm Capital LLP
LBO France
5th Floor, 16 Charles II Street

London SW1Y 4QU, UK
Tel +44 (0)20 7747 7747
148 rue de l'Universit

75007 Paris, France
Tel +33 (0)1 40 62 77 67
www.langholm.com
www.lbofrance.com
STATS
STATS
Managing Partners: Bert Wiegman,

Christian Lorenzen
Employees: 10
AuM: 250m
Chief Executive: Alain Aubry

company
Employees: 17
AuM: 3.5bn (2008)
LOCATIONS
LOCATIONS
Offices: London
Offices: Paris
267
LD Equity
LDC
c/o Fondsmglerselskabet af 2004 A/S

Vendersgade 28
1363 Copenhagen K
Denmark
Tel +45 33 36 89 89
3rd Floor, 45 Old Bond Street

London W1S 4QT
United Kingdom
Tel +44 (0)20 7499 1500
www.ldc.co.uk
www.ldequity.dk
STATS
STATS
Managing partners: Christian Mller,
Soren Mller, Lars Tnnesen
Employer Type: Independent part of
Fondsmglerselskabet af 2004 A/S
(FMS04)
AuM: DKK 7.5bn (1bn) in 2007
CEO: Darryl Eales

Employer Type: Subsidiary of the Lloyds
TSB Group
AuM: 2bn
LOCATIONS
Offices: Copenhagen
Offices: London Birmingham Bristol

Edinburgh Leeds Liverpool
Manchester Newcastle upon Tyne
Reading Southampton
CAREERS CONTACT
CAREERS CONTACT
info@ldequity.dk
tfarazmand@ldc.co.uk
LOCATIONS
268
Lehman Brothers
Merchant Banking
25 Bank Street, London E14 5LE
United Kingdom
www.lehman.com/im/pe/mb/
STATS
Global Head: Charles Ayres
AuM: ~700m for Europe ($3.3bn
globally for 4th fund)
LOCATIONS
Offices: London New York Hong
Kong
LGV
5th Floor, Bucklersbury House, 3
Queen Victoria Street
London EC4N 8NH, United Kingdom
Tel +44 (0) 20 7528 6456
www.legalandgeneralventures.com
STATS
Chief Executive: Adrian Johnson
Employees: 3 partners
AuM: 200m (5th fund)
LOCATIONS
Offices: London
CAREERS CONTACT
Contact for Analyst Recruiting, Europe:
Salonika Mitra
269
Lion Capital
LODH Private Equity
21 Grosvenor Place
London SW1X 7HF, United Kingdom
Tel +44 (0) 20 7201 2200
www.lioncapital.com
Rue de la Corraterie 11
P.O. Box 5215
1211 Geneva 11
Switzerland
Tel +41 (0)22 709 21 11
STATS
STATS
Managing Partner: Lyndon Lea

Company
Employees: 19
AuM: 2.7bn
Employer Type: Private equity unit of

Lombard Odier
AuM: 493m (3rd fund)
CAREERS CONTACT
LOCATIONS
Offices: London
270
contact@lodh.com
Lyceum Capital
MB Funds
Burleigh House, 357 The Strand

London WC2R 0HS
UK
Tel +44 (20) 7632 2480
Bulevardi 1 A
00100 Helsinki, Finland
Tel +358 9 131 011
www.mbfunds.fi
www.westpe.com
STATS
STATS
CEO: Philip Buscombe
professionals
AuM: 300m
Managing Partner: Juhani Suomela

company
LOCATIONS
LOCATIONS
Offices: London
Offices: Helsinki
CAREERS CONTACT
info@lyceumcapital.co.uk
271
MCH Private Equity

Plaza de Coln 2, Torre I, Planta 15
28046 Madrid, Spain
Tel +34 91 426 44 44
www.mch.es/eng/
STATS
Managing directors: Jos Mara Muoz &
Mr. Jaime Hernndez Soto
company
professionals)
AuM: 250m
LOCATIONS
Merrill Lynch Global

Private Equity group
ML Financial Center
Two King Edward Street
London, EC1A 1HQ
United Kingdom
Tel +44-207-955-2000
http://gmi.ml.com/private
STATS
President/Group Head: Nathan C.
Thorne
Employer Type: PE investment arm of
Merrill Lynch
No. of employees: 19 senior
professionals, of which 4 are in London
Offices: Madrid
LOCATIONS
Offices: London New York Bangkok
Hong Kong Tokyo Sydney So
Paulo
272
Mid Europa Partners
Mid Ocean Partners
161 Brompton Road

London SW3 1EX
United Kingdom
Tel +44 20 7886 3600
Cardinal Place, 80 Victoria Street

London SW1E 5JL
United Kingdom
Tel +44 (0)20 7821 4400
www.mideuropa.com
www.midoceanpartners.com
STATS
STATS
Managing Partner: Thierry Baudon

company
AuM: 2.7bn
Managing partner: Ted Virtue

company
AuM: $3bn
LOCATIONS
LOCATIONS
Offices: London Budapest Warsaw
273
Middle Europe
Investments
Zwiepseweg 27
7240 GM Lochem, Netherlands
Tel +31 573 28 98 88
www.mei.nl
STATS
Managing partner: Dr. Peter H. M.
Winkelman
company
Employees: 75
CAREERS CONTACT
info@mei.nl
Milestone Capital Partners

14 Floral Street
London WC2E 9DH
United Kingdom
Tel +44 (0)20 7420 8800
www.milestone-capital.com
STATS
Managing partners: Bill Robinson and
Erick Rinner
Employees: 12
AuM: 400m
LOCATIONS
CAREERS CONTACT
info@milestone-capital.com
274
Morgan Stanley Private

Equity Europe
25 Cabot Square, Canary Wharf
London E14 4QA
United Kingdom
Tel +44 (0)20 7425 8000
www.morganstanley.com/privateequity
STATS
Managing directors: Graham KenistonCooper & Michael Hehn
Employees: 40 worldwide (target)
AuM: $6bn worldwide (target)
LOCATIONS
Natixis Private Equity

5-7 rue de Monttessuy
75340 Paris Cedex 07, France
Tel +33 (0)1 58 19 20 00
www.natixis-pe.com
STATS
Chief Executive: Jean-Louis Delvaux
Natixis
professionals)
AuM: 3.1bn (VC, expansion, LBO, fund
of funds)
LOCATIONS
Offices: France Germany Italy
Poland Spain China India Brazil
275
Nazca
NBGI Private Equity
Calle Fortuny 37, 3 Dcha

28010 Madrid, Spain
Tel +34 91 7000 501
Old Change House, 128 Queen

Victoria Street
London EC4V 4BJ
United Kingdom
Tel +44(0)20 7661 5678
www.nazca.es
www.nbgipe.co.uk
STATS
Chairman: Miguel Canalejo
Employer Type: Member of Fortis
Private Equity Group
AuM: 250m (2007)
STATS
Chairman & CEO: Pavlos C. St. Stellakis
Employer Type: Subsidiary of the
National Bank of Greece
Employees: 26
AuM: 360m
LOCATIONS
Offices: Madrid
LOCATIONS
Offices: London Athens
CAREERS CONTACT
info@nbgipe.co.uk
276
Nikko Principal
Investments
100 Pall Mall
London SW1Y 5NN
United Kingdom
Tel +44 (0)20 7799 7700
www.npil.co.uk
STATS
CEO: Brian Berry
Employer Type: Subsidiary of Nikko
Employer Type: Cordial Corporation
LOCATIONS
Offices: London
Nmas1 Private Equity

Padilla, 17
28006 Madrid
Tel +34 91 745 8484
www.nmas1.com
STATS
Managing director: Federico Pastor
Employer Type: Division of N+1, an
independent Employer Type: Private
company
Employees: x investment professionals
AuM: 850m (plan 2008)
LOCATIONS
Offices: Madrid Barcelona
CAREERS CONTACT
firstcontact@nikko.co.uk
277
Nomura Private Equity
Nordic Capital
Nomura House, 1 St Martins Le Grand

London EC1A 4NP
United Kingdom
Tel +44 (0)20 7521 2000
NC Advisory AB, Stureplan 4A

114 35 Stockholm, Sweden
Tel +46 8 440 50 50
www.nordiccapital.com
www.nomura.com/europe/services/mer
chant_banking/private_equity
STATS
STATS
Head: Andrew Healey
Employer Type: Subsidiary of Nomura
(United Kingdom)
AuM: 300m ($4.5bn worldwide)
Managing directors: Robert Andreen,

Morgan Olsson
AuM: 4bn
LOCATIONS
LOCATIONS
Offices: London
278
Offices: Stockholm Copenhagen

Helsinki
Nordwind Capital
Residenzstrae 18
80333 Munich, Germany
Tel +49 89 29 19 58-0
www.nordwindcapital.de
STATS
Managing director: Dr. Hans Albrecht
Employees: 9
AuM: 300m
LOCATIONS
Offices: Munich
Oaktree Capital
Management
27 Knightsbridge
London SW1X 7LY
United Kingdom
Tel +44 (0)20 7201 4600
www.oaktreecapital.com
STATS
Managing principal: John Frank
Employees: 174 investment
professionals globally (9 in European
private equity)
AuM: $8.3bn in private equity only
(2008)
CAREERS CONTACT
info@nordwindcapital.com
LOCATIONS
Offices: Los Angeles London
Frankfurt Luxembourg New York
Stamford Beijing Hong Kong
Seoul Shanghai Singapore Tokyo
CAREERS CONTACT
careers@oaktreecapital.com
279
Odewald & Compagnie
Olivant
Franzsische Strae 8
10117 Berlin, Germany
Tel +49 (0) 30 20 17 23-0
2 Basil Street
London
SW3 1AA
United Kingdom
Tel +44 (0) 20 7225 4100
www.ocie.de
www.olivant.com
STATS
Founder and managing partner: Dr. Jens
Odewald
professionals
AuM: 1bn
STATS
Chairman: Luqman Arnold
LOCATIONS
LOCATIONS
Offices: London Singapore
Offices: Berlin
CAREERS CONTACT
info@olivant.com
280
One Equity Partners

Taunusanlage 21
60325 Frankfurt am Main
Germany
Tel +49 69 50 60 74 70
www.oneequity.com
Orlando Management
GmbH
Am Platzl 4
80331 Munich
Germany
Phone: +49 89 29 00 48 - 50
www.orlandofund.com
STATS
President: Richard (Dick) M. Cashin, Jr.
Employer Type: PE investment arm of
JPMorgan Chase & Co.
No. of employees: 38 professionals, of
which 10 are in Germany
AuM: $5bn
LOCATIONS
Offices: Frankfurt Chicago New
York
CAREERS CONTACT
oep.info@oneequity.com
STATS
Partners: Dr. Henrik Fastrich and three
other partners
AuM: 420m
LOCATIONS
Offices: Munich
CAREERS CONTACT
info@orlandofund.com
281
Palamon Capital Partners

Cleveland House, 33 King Street
London SW1Y 6RJ
United Kingdom
Tel +44 (0)20 7766 2000
www.palamon.com
Pamplona Capital
Management
25 Park Lane
London W1K 1RA
United Kingdom
Tel +44 20 7079 8000
www.pamplonafunds.com
STATS
Managing partners: A. Michael Hoffman,
Louis G. Elson
AuM: 1.1bn
LOCATIONS
Offices: London
STATS
Chief executive: Alex Knaster
AuM: 1.3bn (2nd fund)
LOCATIONS
Offices: London
CAREERS CONTACT
info@pamplonafunds.com
282
Parcom
Pechel Industries
Olympia 4c
1213 NT Hilversum
The Netherlands
Tel +31 35 646 44 40

75008 Paris, France
Tel +33 (1) 5659 7959
www.pechel.com
www.parcomventures.nl,
www.parcom.fr
STATS
Managing director: Erik Westerink

A member of ING Group
AuM: 750m
CEO: Hlne Ploix

company
professionals
AuM: 250m
LOCATIONS
LOCATIONS
Offices: Hilversum Paris (ING

Parcom)
Offices: Paris
STATS
CAREERS CONTACT
contact@pechel.com
283
Penta Capital Partners
Phoenix Equity Partners
150 St Vincent Street

Glasgow G2 5NE
United Kingdom
Tel +44 (0)141-572 7300
33 Glasshouse Street
London W1B 5DG
United Kingdom
Tel +44 (0)20-7434 6999
www.pentacapital.com
www.phoenix-equity.com
STATS
STATS
Founding partners: David Calder,

Torquil Macnaughton, Mark Phillips &
Steven Scott
company
AuM: 194 million (2007)
Managing Partner: Hugh Lenon

company
professionals)
AuM: 900m
LOCATIONS
LOCATIONS
Offices: London
Offices: Glasgow London
CAREERS CONTACT
CAREERS CONTACT
info@pentacapital.com
284
enquiries@phoenix-equity.com
PM Partners
PPM Capital
via San Damiano No. 11

20122 Milano
Italy
Tel +39 02 76011887
1 New Fetter Lane

London EC4A 1HH, United Kingdom
Tel +44 (0)20 7822 1000
www.ppmcapital.com
www.pm-partners.it
STATS
STATS
Managing partners: Mr. Francesco
Panfilo, Mr. Andrea Mugnai
AuM: 215m
Chief Executive: Mr. Neil MacDougall

Company
AuM: 600m
LOCATIONS
LOCATIONS
Offices: Milano
Offices: London Munich Paris

Chicago
285
Pragma Capital
Primary Capital
13 avenue Hoche
75008 Paris, France
Tel +33 (0)1 58 36 49 50
Augustine House, Austin Friars

London EC2N 2HA
United Kingdom
Tel +44 (0)20 7920 4800
www.pragma-capital.com
www.primaryeurope.com
STATS
Chief Executive: Christophe Ramoisy
AuM: 500m
LOCATIONS
STATS
Chief executive: Charles Gonszor
Company
professionals)
AuM: 361 million
Offices: Paris
LOCATIONS
Offices: London
CAREERS CONTACT
primary@primaryeurope.com
286
Providence Equity
28 St George Street
London W1S 2FA
United Kingdom
Tel +44 (0)20-7514 8800
www.provequity.com
STATS
CEO: Jonathan M. Nelson
Company
(19 in the UK)
AuM: $21bn worldwide
LOCATIONS
Providence (HQ) Hong Kong New
Delhi
Quadrangle Capital
Partners
Quadrangle Group Europe Ltd
15 Conduit Street
London W1S 2XJ
United Kingdom
Tel +44 (0)20 7317 3800
www.quadranglegroup.com
STATS
Managing principal Europe: Gordon
Holmes
professionals
AuM: $6bn (about half in PE)
LOCATIONS
Offices: New York Palo Alto
London
CAREERS CONTACT
info@provequity.co.uk
CAREERS CONTACT
hr@quadranglegroup.com
287
Quadriga Capital Services

GmbH
Hamburger Allee 4
60486 Frankfurt
Germany
Tel. +49 69 795 000-0
www.quadriga-capital.de
STATS
Managing partner: Dr. Andreas Fendel
AuM: 525m (3rd fund)
Quilvest Private Equity

243, boulevard Saint-Germain
75007 Paris, France
Tel +33 (0)1 40 62 07 54
www.quilvest.com
STATS
CEO: F. Michel Abouchalache
AuM: $1bn (including funds of funds)
LOCATIONS
Offices: Paris London Luxembourg
Zurich New York
CAREERS CONTACT
contact@quadriga-capital.de
CAREERS CONTACT
info-pe@quilweb.com
288
Rhone Capital (Rhone

Group)
5 Princes Gate
London SW7 1QJ
United Kingdom
9-11 Rue Montalivet
Paris, 75008
France
Tel +1 (212) 218 6770
www.rhonegroup.com
STATS
Managing partners and founders: Robert
F. Agostinelli & M. Steven Langman
company
AuM: ~$800m (Rhne Capital Partners III)
LOCATIONS
RJD Partners
8/9 Well Court
London EC4M 9DN
United Kingdom
Tel +44 20 7050 6868
www.rjdpartners.com
STATS
Chief Executive: David MacLellan
AuM: 180m (2nd fund)
LOCATIONS
Offices: London
CAREERS CONTACT
Info: karen.poole@rjdpartners.com
Offices: London Paris New York
289
Royal Bank of Scotland

Equity Finance
135 Bishopsgate
London EC2M 4RB
United Kingdom
Tel +44 (0)20 7085 2256
www.rbs.com
STATS
AuM: 2.2bn
Rutland Partners
Rutland House
Rutland Gardens
London SW7 1BX
United Kingdom
Tel +44 20 7556 2600
www.rutlandpartners.com
STATS
Chairman: Michael Langdon
AuM: 530m
LOCATIONS
Offices: London
CAREERS CONTACT
info@rutlandpartners.com
290
Santander Private Equity
Segulah
Paseo de la Castellana, 7
28046 Madrid, Spain
Tel +34 91 342 68 96
Styrmansgatan 2
114 84 Stockholm
Sweden
Tel +46 8 442 8950
www.santanderprivateequity.com
www.segulah.se
STATS
Managing director: Luis Abraira de Arana
Employer Type: Subsidiary of Santander
AuM: 320m
STATS
Managing partner: Christian Sievert
AuM: SEK 2.35bn (~300m)
LOCATIONS
Offices: Madrid
LOCATIONS
Offices: Stockholm
291
SGAM Private Equity
SigmaBleyzer
170, Place Henri Regnault

Paris La Defense 6, France
Tel +33 (0) 56 37 80 00
21 Pushkinskaya Street, office 40

Kiev, 01004
Ukraine
Tel +380 44 244-94-87/89
www.sgam-ai.com
www.sigmableyzer.com
STATS
Global Heads: Jean Grimaldi, Corinne
Ferrire
Employer Type: Subsidiary of Societe
Generale
AuM: 1.8bn (VC, expansion & LBO,
funds of funds, specialised)
STATS
Recruiting Manager: Alina Martynenko,
amartynenko@sigmableyzer.com.ua
President & CEO: Michael Bleyzer
Employees: 16
LOCATIONS
LOCATIONS
Offices: Paris Bucharest London
Milan Munich Warsaw
292
Offices: Kiev Astana Bucharest

Kharkov Sofia
Silver Lake
Smedvig Capital

London SW1Y 6QW
United Kingdom
Tel +44 (0)20 70 24 72 00
20 St James's Street
London SW1A 1ES
United Kingdom
Tel +44(0)20 7451 2100
www.silverlake.com
www.smedvigcapital.com
STATS
STATS
Director Europe: Axel Holtrup

Employees: 80
AuM: 2.8bn (2nd fund)
Chairman: Peter Smedvig

company
AuM: 300m
LOCATIONS
Offices: Menlo Park (HQ) London
New York San Francisco
LOCATIONS
Offices: London
CAREERS CONTACT
enquiries@smedvigcapital.com
293
Sovereign Capital
STAR Capital Partners
25 Buckingham Gate
London SW1E 6LD
United Kingdom
Tel +44 20 7828 6944
6th Floor, 33 Cavendish Square

London W1G 0PW
United Kingdom
Tel +44 (0)20-7016 8500
www.sovereigncapital.co.uk
www.star-capital.com
STATS
STATS
Managing partners: Andrew Hayden &

Ryan Robson
company
AuM: 450m
CEO: Tony Mallin

company
AuM: 1bn
LOCATIONS
LOCATIONS
Offices: London
Offices: London
CAREERS CONTACT
CAREERS CONTACT
info@sovereigncapital.co.uk
294
mail@star-capital.com
Stirling Square Capital

Partners
Liscartan House (4th Floor)
127-131 Sloane Street
London SW1X 9AS
United Kingdom
Tel +44 (0)20 7808 4130
Sun European Partners

6 Gracechurch Street, 4th Floor
London EC3V 0AT
United Kingdom
Tel +44 20 7929 5906
www.suncappart.com
www.stirlingsquare.com/stirlingsquareca
pitalpartners.htm
STATS
STATS
Managing Director: Philip A. Dougall

Employer Type: European arm of Sun
Capital
No. of employees: 19 (130 worldwide)
AuM: $10bn (worldwide)
Managing partner: 6 partners

AuM: 200m
LOCATIONS
Offices: London
LOCATIONS
Offices: London Boca Raton Los
Angeles New York Shenzhen
Tokyo
CAREERS CONTACT
info@stirlingsquare.com
295
TA Associates
Taros Capital
25 Knightsbridge
London SW1X 7RZ
United Kingdom
Tel +44 (0)20 7823 0200
Violy tower, 21th floor

Claude Debussylaan 46
1082 MD Amsterdam
Netherlands
Tel +31 20 4041221
www.ta.com
www.taroscapital.com
STATS
Managing partner in London: Mr. Ajit
Nedungadi
professionals)
AuM: $10bn
STATS
Managing partners: Paul Lamers &
Alexander van Wassenaer
AuM: 550m
LOCATIONS
LOCATIONS
Offices: London Boston Menlo Park
Offices: Amsterdam Antwerp

Frankfurt
CAREERS CONTACT
amsterdam@taroscapital.com
296
TCR Capital
TDR Capital
5 rue Paul Czanne

75008 Paris, France
Tel +33 (0)1 53 81 77 81
One Stanhope Gate

London W1K 1AF
United Kingdom
Tel +44 (0)20 7399 4200
www.tcrcapital.com
www.tdrcapital.com
STATS
Managing partner: Marc Demicheli
AuM: 300m
STATS
Founding partners: Manjit Dale &
Stephen Robertson
AuM: 2.6bn
LOCATIONS
Offices: Paris
LOCATIONS
Offices: London
297
The Riverside Company,

Europe
TowerBrook Capital
Partners
After Hof 5
Tel +49 89 242 248 90
83 Pall Mall
London SW1Y 5ES
United Kingdom
Tel +44 (0)20 7451 2002
www.riversideeurope.com
www.towerbrook.com
STATS
Managing Partner: Antonio Cabral
No. of employees: 28 (16 investment
professionals)
AuM: $2bn (world)
STATS
Co-CEOs: Ramez Sousou (London) &
Neal Moszkowski (New York)
AuM: $2.5bn
LOCATIONS
Offices: Munich Amsterdam
Brussels Budapest Madrid Prague
Stockholm Warsaw Atlanta
Chicago Cleveland Dallas Los
Angeles New York San Francisco
Tokyo
298
LOCATIONS
Triton Advisors
Valanza
105 Piccadilly, 5th fl.

London W1J 7NJ
United Kingdom
Tel +44 (0)20 7297 6150
P Recoletos, 10 ala norte

28001 Madrid
Spain
Tel +34 91 374 3271
www.triton-partners.com
STATS
STATS
AuM: 1.1bn (second fund)
General Manager: Francisco Esteve

Employer Type: Private equity subsidiary
of BBVA
AuM: 1.4bn
299
Veronis Suhler Stevenson

International Ltd.
8th Floor, Buchanan House
3 St. James's Square
London SW1Y 4JU
United Kingdom
Tel +44 20 7484 1400
Vestar Capital Partners

1, Rond Point Des Champs Elysees
75008 Paris, France
Tel +33 (0)1 58 56 60 10
www.vestarcapital.com
www.vss.com
STATS
STATS
President, Europe: Robert L. Rosner

professionals in Europe)
AuM: $7bn
London Partner: Marco Sodi

AuM: $1.3bn (4th fund)
LOCATIONS
LOCATIONS
300
Offices: Paris Milan Munich

Boston Denver New York Tokyo
Vista Capital
Vitruvian Partners
C/ Serrano 67
28006 Madrid
Spain
Tel +34 914 360 606
53 Davies Street
London W1K 5JH
United Kingdom
Tel + 44 (0)20 7152 6503
www.vitruvianpartners.com
STATS
CEO: Ignacio Moreno
Employer Type: Private equity subsidiary
of Santander and RBS (50/50)
AuM: unknown
STATS
Managing partners: Ian Riley, Michael
Risman, Toby Wyles
company
AuM: 424m (2007)
LOCATIONS
Offices: London
301
Warburg Pincus
London SW1Y 6QW
United Kingdom
Tel +44 (0)20 7306 0306
www.warburgpincus.com
Waterland Private Equity

Investments
Nieuwe 's-Gravelandseweg 17
1405 HK Bussum
The Netherlands
Tel +31 (0)35 - 694 1680
www.waterland.nu/UK
STATS
Managing partners: Charles R. Kaye &
Joseph P. Landy
Employees: Private Company
Employees: 160 deal professionals
AuM: ~$15bn
STATS
Managing partner and founder: Rob
Thielen
Employees: Independent Private
Company
AuM: 625m
LOCATIONS
Offices: London Frankfurt New
York San Francisco/Menlo Park
Beijing Hong Kong Mumbai Seoul
Shanghai Tokyo
LOCATIONS
Offices: Bussum Antwerpen-Berchem
Dusseldorf
CAREERS CONTACT
info@waterland.nu
302
Weinberg Capital
Partners
11, rue La Boetie
75008 Paris, France
Tel +33 1 53 53 55 00
Wendel Investissement
89, rue Taitbout
75009 Paris, France
Tel +33 (0)1 42 85 30 00
www.wendel-investissement.com
www.weinbergcapital.com
STATS
STATS
Managing Partner: Serge Weinberg
company
AuM: 420m
LOCATIONS
Offices: Paris
Chief Executive: Jean-Bernard Lafonta

Employer Type: Public company
(Euronext Paris, code MF)
professionals)
AuM: 6.8bn
LOCATIONS
Offices: Paris
CAREERS CONTACT
contact@weinbergcapital.com
303
MEZZANINE FUNDS
Babson Capital Europe,
Almack Mezzanine
61 Aldwych
London WC2B 4AE
United Kingdom
Tel +44 20 3206 4500
www.babsoncapitaleurope.com
STATS
Managing directors: David Wilmot &
Adam Eifion-Jones
Employer Type: Subsidiary of Babson
Capital Management LLC
professionals
AuM: 800m (Almack Mezzanine)
Capvent AG
Dufourstrasse 24
8008 Zurich, Switzerland
Tel +41 43 500 50 70
www.capvent.com
STATS
Founders and Managing partners: Tom
Clausen, Varun Sood
Company
AuM: >1bn
LOCATIONS
Offices: Zurich Bangalore
LOCATIONS
Offices: London
304
DAM Capital
26-28 rue Edward Steichen, Btiment C
PO Box 464
L-2014 Luxembourg
Tel +352 34 00 29 1
STATS
Co-CEOS: Dirk van Daele & Robert
Wardrop
Employer Type: Subsidiary of Anschutz
Investments
AuM: ~1bn
LOCATIONS
Offices: Luxembourg London Milan
Darby Overseas
Investments, Central
Europe Mezzanine Fund
Dr. Karl Lueger-Ring 10
1010 Vienna
Austria
Tel +43 1 53226 5510
www.darbyoverseas.com
STATS
Senior Managing Director Europe:
Robert D. Graffam
Franklin Templeton Investments
Employees: 9 professionals in Europe
AuM: 300m
CAREERS CONTACT
info@damgroup.com
LOCATIONS
Offices: Vienna Budapest Warsaw
305
EuroMezzanine
11 Rue Scribe
75009 Paris, France
Tel +33 (0) 1 5330 2330
www.euromezzanine.com
STATS
Managing directors: Thierry Raiff & Louis
Vaillant
LOCATIONS
Hutton Collins &

Company
50 Pall Mall
London SW1Y 5JH
United Kingdom
Tel +44 (0)20 7004 7000
www.huttoncollins.com
STATS
Founders and Managing partners:
Matthew Collins & Graham Hutton
AuM: 550m (2nd fund)
Offices: Paris
LOCATIONS
Offices: London
306
IFE Mezzanine
Indigo Capital
41 avenue George V
75008 Paris
France
Tel +33 1 56 52 02 40
25 Watling Street
London EC4M 9BR
United Kingdom
Tel +44 (0)20 7710 7800
www.ifefund.com
www.indigo-capital.com
STATS
STATS
Managing partner: Rgis Mitjavile

AuM: 300m
Managing director: Martin Stringfellow &

three other directors
Employees: 14
LOCATIONS
Offices: Paris
LOCATIONS
307
Mezzanine Management
Central Europe
Kohlmarkt 5/6
1010 Vienna, Austria
Tel +43 1 532 89 90
Nordic Mezzanine Limited

Aleksanterinkatu 15 A
Tel +358 9 6840 640
www.nordicmezzanine.com
www.mezzmanagement.com
STATS
STATS
Founding Partner and Executive
Director: Franz Hoerhager
No. of employees: about 11 investment
professionals (2007)
AuM: 376m
Managing partners: Pekka Hietaniemi,

Pekka Sunila & Vesa Suurmunne
AuM: 363m (2008)
LOCATIONS
LOCATIONS
Offices: Vienna Bucharest Budapest
Warsaw
CAREERS CONTACT
office@mezzmanagement.com
308
Offices: Helsinki London Frankfurt
Novum Capital
Park Square Capital
An der Welle 4
60322 Frankfurt, Germany
Tel +49 (0)69 7593 7995
6 th Floor, Devonshire House

Mayfair Place
London, W1J 8AJ
United Kingdom
Tel 020 7529 1800
www.novumcapital.co.uk
www.parksquarecapital.com
STATS
Founders and Managing partners: Felix
Hlzer & Bjrn Pirrwitz
STATS
Managing Partner: Robin Doumar
AuM: 2.3bn (mezzanine and credit)
LOCATIONS
Offices: Frankfurt London
LOCATIONS
Offices: London Guernsey
Luxembourg
309
DISTRESSED FUNDS
Butler Capital Partners
EPIC Private Equity
30, cours Albert 1er

75008 Paris, France
Tel +33 (0)1 45 61 55 80
22 Billiter Street
London EC3M 2RY
United Kingdom
Tel +44 (0) 20 7553 2340
www.butlercapitalpartners.com
www.epicprivateequity.com
STATS
Founder and managing partner: Walter
Butler
Employees: 12
AuM: ~500m
STATS
Chief Executive: Giles Brand
Employer Type: Subsidiary of Epic
Investment Partners
AuM: 125m
LOCATIONS
LOCATIONS
Offices: Paris
Offices: London
310
Kelso Place
110 St. Martin's Lane
London WC2N 4BA
United Kingdom
Tel +44 (0) 20 7836 0000
www.kelsoplace.com
STATS
Co-founder: John Drinkwater & Sion
Kearsey
AuM: 100m (third fund)
LOCATIONS
Offices: London
311
SECONDARY FUNDS
Cipio Partners
Coller Capital
Palais am Lenbachplatz, Ottostrasse 8

Tel +49 (0)89 55 06 96-0
33 Cavendish Square
London W1G 0TT
United Kingdom
Tel +44 (0)20 76 31 8500
www.cipiopartners.com
www.collercapital.com
STATS
Chief executive: Werner Dreesbach
Employees:13 investment professionals
STATS
Founder and managing partner: Jeremy
Coller
Employees: 102
AuM: $3.5bn
LOCATIONS
Offices: Munich San Jose
LOCATIONS
CAREERS CONTACT
wdreesbach@cipiopartners.com
CAREERS CONTACT
mail@collercapital.com
312
Greenpark Capital Limited
Lexington Partners UK
57-59 St James's Street

London SW1A 1LD
United Kingdom
Tel +44 (0)20 7647 1400
42 Berkeley Square
London W1J 5AW
United Kingdom
Tel +44 (0)20 73 18 08 88
www.greenparkcapital.com
www.lexingtonpartners.com
STATS
STATS
CEO and Principal Founder: Marleen

Groen
Managing Partner Europe: Marshall W.

Parke
Employees: 45
AuM: 5bn ($12bn worldwide)
LOCATIONS
Offices: London
LOCATIONS
Offices: London Boston Menlo Park
New York (HQ)
CAREERS CONTACT
mail@greenparkcapital.com
CAREERS CONTACT
ewilde@lexpartners.com
313
Nova Capital
Paul Capital
11 Strand
London WC2N 5HR
United Kingdom
Tel +44 (0)20 7389 1540
4th Floor, Mellier House

26a Albemarle Street
London W1S 4HY
United Kingdom
Tel +44 (20) 7514 0750
www.nova-cap.com
www.paulcapital.com
STATS
Founder & Managing Director: David
Williamson
AuM: 600m
LOCATIONS
STATS
Founder: Philip S. Paul
company
AuM: $4bn in total, about half in buyout
and growth secondaries
Offices: London Essex (US)
LOCATIONS
CAREERS CONTACT
info@nova-cap.com
314
Offices: London Paris New York

(HQ) San Francisco Toronto
Pomona Capital
Vision Capital
16 Hanover Square
London W1S 1HT
United Kingdom
Tel +44 (0)20 74 08 94 33
54 Jermyn Street
London SW1Y 6LX
United Kingdom
Tel +44 (0)20 7389 6410
www.pomonacapital.com
STATS
STATS
Founder and CEO: Michael Granoff
(strategic partnership with ING)
Employees: 17
AuM: 850m ($4bn worldwide)
Chief Executive: Julian Mash

professionals)
AuM: 600m
LOCATIONS
CAREERS CONTACT
Offices: London
info@pomonacapital.com
CAREERS CONTACT
info@visioncapital.com
315
FUND OF FUNDS
Access Capital Partners
Adam Street Partners
121, avenue des Champs-Elyses

75008 Paris
France
Tel +33 1 56 43 61 00
20 Grosvenor Place
London SW1X 7HN
United Kingdom
Tel +44 (0) 20.7823.0640
www.access-capital-partners.com
www.adamsstreetpartners.com
STATS
STATS
Chairman & Managing Partner:

Dominique Peninon
professionals)
AuM: 2.1bn
Chief Executive: T. Bondurant French

Employees: 80
AuM: $15bn
LOCATIONS
LOCATIONS
Offices: Paris Brussels Munich
CAREERS CONTACT
acp@accesscp.com
316
Offices: Chicago (HQ) London

Menlo Park Singapore
Adveq Management AG
AIG Private Equity
Affolternstrasse 56
CH-8050 Zurich, Switzerland
Tel +41 (0)43 288 32 00
Baarerstrasse 8
CH-6300 Zug
Switzerland
Tel +41 41 710 70 60
www.adveq.com
www.aigprivateequity.com
STATS
Board of directors: Allan S. Bufferd,
Andr P. Jaeggi & Bruno E. Raschle
company
AuM: $3bn (2007)
STATS
Chairman: Eduardo Leemann
Employer Type: Public company (listed
APEN on SWX)
AuM: CHF 600m (out of $27bn
worldwide)
LOCATIONS
Offices: Zurich Frankfurt New York
Beijing
LOCATIONS
Offices: Zug
CAREERS CONTACT
CAREERS CONTACT
info@adveq.com
info@aigprivateequity.com
317
ALPHA Associates
Altamar Private Equity
Talstrasse 66, P.O. Box 2038

Tel +41 43 244 30 00
28046 Madrid, Spain
Tel +34 91 310 7230
www.alpha-associates.ch
www.altamarcapital.com
STATS
STATS
Chief Executive: Peter Derendinger

Employees: 16
AuM: ~500m
President: Claudio Aguirre Peman

company
Offices: Madrid
AuM: 655m (2007)
LOCATIONS
Offices: Zurich
CAREERS CONTACT
altamar@altamarcapital.com
318
Amanda Capital Plc

Aleksanterinkatu 15 A, PO Box 896
00101 Helsinki
Finland
Tel +358 9 6829 600
www.amandacapital.fi
ATP Private Equity

Partners
Sjaeleboderne 2
DK-1122 Copenhagen
Denmark
Tel +45 33 19 30 70
www.atp-pep.com
STATS
Employer Type: Public company (HSE)
AuM: 1.6bn
LOCATIONS
STATS
Managing partner: Torben Vangstrup
AuM: 3bn
Offices: Helsinki
LOCATIONS
Offices: Copenhagen New York
CAREERS CONTACT
info@atp-pep.com
319
Bregal Investments
2-5 Old Bond Street
4th floor
London, W1S 4PD
United Kingdom
Tel + 44 207 408 1663
CAM Private Equity

Consulting & VerwaltungsGmbH
Zeppelinstr. 48
50667 Cologne, Germany
Tel +49 221-93 70 85-0
www.bregal.com
www.camprivateequity.com
STATS
Co-Chairmen: Louis Brenninkmeijer &
Yves de Balmann
AuM: 3bn
LOCATIONS
STATS
Executive Partner: Constantin von
Dziembowski
fund of funds
AuM: 2.7bn
Offices: London Jersey New York
LOCATIONS
CAREERS CONTACT
Offices: Cologne Munich Zurich
management@bregal.com
CAREERS CONTACT
cologne@cam-pe.com
320
Capital Dynamics
Bahnhofstrasse 22
6301 Zug
Switzerland
Tel +41 41 748 84 44
www.capdyn.com
Capital Z Investments
Partners
84 Brook Street
London W1K 5EH
United Kingdom
Tel +44 (0)20 7866 6133
www.capitalz.com/czip/index.html
STATS
Managing Director: Thomas Kubr
company
AuM: $20bn
LOCATIONS
Offices: Zug Birmingham London
New York San Francisco Hong
Kong
STATS
Chief Executive: Laurence Cheng
Employees: 15
AuM: $2.25bn
LOCATIONS
Offices: London New York Hong
Kong
321
Capman
Korkeavuorenkatu 32
00130 Helsinki
Finland
Tel +358 9 6155 800
www.capman.com
STATS
CEO: Heikki Westerlund
Employer Type: Subsidiary of CapMan
Plc, listed on HSE
Employees: 80 (28 in buyout team)
AuM: >1.3bn
Danske Private Equity

Partners
Ny Kongensgade 10
1472 Copenhagen K, Denmark
Tel +45 33 44 63 00
www.danskeprivateequity.com
STATS
Managing Partner: John Danielsen
Employer Type: Part of Danske Bank
Group
professionals)
AuM: 1.7bn
LOCATIONS
Offices: Helsinki Copenhagen
Guernsey Oslo Stockholm
LOCATIONS
Offices: Copenhagen
CAREERS CONTACT
info@danskeprivateequity.com
322
Finnish Industry
Investment
PO Box 685
Tel +358 9 680 36 80
Fondinvest Capital
33 rue de la Baume
75008 Paris, France
Tel +33 (0)1 58 36 48 00
www.fondinvest.com
www.industryinvestment.com
STATS
STATS
Managing director: Mr. Juha Marjosola
Employer Type: Government owned
Employees: 18
AuM: 360m
LOCATIONS
Offices: Helsinki
CAREERS CONTACT
tesi@teollisuussijoitus.fi
Chairman & CEO: Charles Soulignac

company
Employees: 15
AuM: 1.5bn
LOCATIONS
Offices: Paris San Francisco Tokyo
CAREERS CONTACT
mailbox@fondinvest.com
323
Gartmore Private Equity

Gartmore House, 8 Fenchurch Place
London EC3M 4PB
United Kingdom
Tel +44 (0)20 77 82 21 91
www.gartmore.com/uk/privateequity
STATS
Managing director: Peter Gale
Employer Type: Department of
Gartmore Investment Management
Employees: 14
AuM: 2.9bn (2007)
Global Vision Private

Equity
Westendstrae 16 22
60325 Frankfurt, Germany
Tel +49 (0) 69 978 400 05
www.globalvision-ag.com
STATS
Chief executive: Dr. jur. Dieter Brender
AuM: 280m
LOCATIONS
LOCATIONS
Offices: Frankfurt
Offices: London
CAREERS CONTACT
CAREERS CONTACT
lucy.warren@gartmore.com
324
info@globalvision-ag.com
Golding Capital Partners

Mhlstrasse 7
81675 Munich
Germany
Tel +49 89 419 997-0
www.goldingcapital.com
STATS
Managing director and founder: Jeremy
Golding
fund of funds
AuM: 1.1bn
LOCATIONS
HarbourVest International
Partners
Berkeley Square House, 8th Floor,
Berkeley Square
London W1J 6DB
United Kingdom
Tel +44 (0)20 7399 9820
www.harbourvest.com
STATS
Managing directors: Edward W. Kane &
Brooks Zug
Company
professionals)
AuM: 2.38bn (latest European fund)
Offices: Munich Luxembourg San

Francisco
LOCATIONS
CAREERS CONTACT
Offices: London Boston (HQ) Hong

Kong
info@goldingcapital.com
325
Henderson Equity
Partners
Horizon21 Private Equity

Holding
4 Broadgate
London EC2M 2DA
United Kingdom
Tel +44 (0)20 7818 2963
103 Wigmore Street, Nations House,

Level 6
London W1U 1QS
United Kingdom
Tel +44 (0)20 7170 9550
www.hendersonprivatecapital.com
www.horizon21.ch
STATS
Employer Type: Subsidiary of
Henderson
Employees: 10 investment executives (UK)
AuM: 1.2bn (UK)
CAREERS CONTACT
STATS
Chief Executive: Harold Weiss
Employer Type: Private Company.
Strategic alliance with Swiss Re
Employees: 130
AuM: ~CHF10bn (private equity funds
of funds)
roger.greville@henderson.com
LOCATIONS
Offices: London Bratislava Zurich
Hong Kong Cayman Islands
326
IDeA Capital Funds
INVESCO Capital
3, via Borgonuovo
20121 Milan, Italy
Tel +39 02 72 08 03 37
30 Finsbury Square
London EC2A 1AG
United Kingdom
Tel +44 (0)20 7065 4000
www.ideacapitalfunds.com
www.invescoprivatecapital.com
STATS
Managing Partner: Mario Barozzi
AuM: 400m
STATS
Chief Executive: Greg Stoeckle
Employees: 15
CAREERS CONTACT
info@ideacapitalfunds.com
LOCATIONS
Offices: New York San Francisco
London
327
Keyhaven Capital
LGT Capital Partners
1 Richmond Mews
London W1D 3DA
United Kingdom
Tel +44 (0)20 7432 6200
Schtzenstrasse 6, P.O. Box

CH-8808 Pfffikon, Switzerland
Tel +41 55 415 96 00
www.lgt-capital-partners.com
www.keyhavencapital.com
STATS
STATS
Co-founder and managing director:
Sasha van de Water
CEO: Dr. Roberto Paganoni

Employees: 100 (all activities)
AuM: $9bn (private equity worldwide)
LOCATIONS
LOCATIONS
Offices: London
CAREERS CONTACT
info@keyhavencapital.com
328
Offices: Pfffikon Dublin New York
NORDCAPITAL
Emissionshaus GmbH &
Cie. KG
Hohe Bleichen 12
20354 Hamburg, Germany
Tel +49 (0)40 3008-0
Northgate Capital
1 Jermyn Street
London SW1Y 4UH
United Kingdom
Tel +44 (0)20 7961 6480
www.northgatecapital.com
www.nordcapital.com
STATS
STATS
Chief executive: Florian Maack
AuM: 250m (Equitrust funds)
Managing partner private equity:

Dr. Hosein Khajeh-Hosseiny
Company
AuM: ~$800m
CAREERS CONTACT
vertrieb@nordcapital.com
LOCATIONS
Offices: London San Francisco Bay
Area
329
Pantheon Ventures
Limited
Norfolk House, 31 St. James's Square
London SW1Y 4JR
United Kingdom
Tel +44 (0)20 7484 6200
www.pantheonventures.com
STATS
Chief executive: Rhoddy Swire
Employer Type: Subsidiary of Russell
Investment Group, Northwestern
Mutual Life
Employees: 71
AuM: $7.9bn (world)
LOCATIONS
Offices: London Brussels San
Francisco Hong Kong Sydney
330
Robeco Private Equity

Coolsingel 120
NL-Rotterdam 3011AG
The Netherlands
Tel +31 10 224 71 36
www.robeco.com/alternatives/eng/specif
ic/rai/private_equity.jsp
STATS
Employer Type: Subsidiary of Robeco
(with public fund listed on Euronext
Amsterdam)
AuM: $2bn
RWB
RenditeWertBeteiligungen
AG
Keltenring 5
82041 Oberhaching/Munich, Germany
Tel +49 (0)89 66 66 94-0
SCM Strategic Capital

Management
Kasernenstrasse 77b
Tel +41 43 499 49 49
www.scmag.com
www.rwb-ag.de
STATS
STATS
Managing partner: Horst Guedel
Employer Type: Private company.
Partnership with Capvent
Employees: 41
AuM: 825m
CEO & Founder: Dr. Stefan Hepp

Company
AuM: $5bn (including real estate)
LOCATIONS
LOCATIONS
Offices: Zurich
Offices: Munich Innsbruck
CAREERS CONTACT
CAREERS CONTACT
scm@scmag.com
info@rwb-ag.de
331
SL Capital Partners
Unigestion
1 George Street
Edinburgh EH2 2LL
Scotland, United Kingdom
Tel +44 131 245 0055
8c avenue de Champel, PO Box 387

1211 Geneva 12, Switzerland
Tel +41 22 704 41 11
www.unigestion.com
privateequity.standardlifeinvestments.com
STATS
STATS
Chief Executive: David Currie
Employer Type: Subsidiary of the
Employer Type: Standard Life
Investments group
AuM: 5.2bn
Managing Director PE: Dr. Hanspeter

Bader
Company
Employees: 20
AuM: 8bn (all asset classes)
LOCATIONS
LOCATIONS
Offices: Edinburgh
Offices: Geneva Guernsey London

Munich Paris New York
Singapore
CAREERS CONTACT
hpbader@unigestion.com
332
VenCap International
King Charles House, Park End Street
Oxford OX1 1JD
United Kingdom
Tel +44 (0)1865 79 93 00
www.vencap.com
STATS
Chairman & CEO: Michael Ashall
Company
Employees: 18
AuM: $1.5bn worldwide
LOCATIONS
Offices: Oxford
CAREERS CONTACT
info@vencap.com
333
APPENDIX
Recommended Reading
Web Resources
Academic Sources
Industry Jargon (glossary)
About the Authors
APPENDIX
Barbarians at the Gate: The Fall of RJR Nabisco (Collins) by Bryan Burrough & John
Helyar
Damodaran on Valuation: Security Analysis for Investment and Corporate Finance (Wiley
Finance) by Aswath Damodaran
WEB RESOURCES
www.evca.com (European Venture Capital Association)
www.bvca.com (British Venture Capital Association)
www.altassets.com
www.penews.com (Dow Jones Private Equity News Europe)
www.privateequitywire.co.uk
www.candover.com/english/media-centre/barometer
ACADEMIC SOURCES
Centre for Management Buy-Out Research
www.nottingham.ac.uk/business/cmbor/
Journal of Private Equity
www.iijournals.com/JPE
Chicago GSB
www.chicagogsb.edu/capideas/may04/privateequity.html
337
Appendix
RECOMMENDED READING
INDUSTRY JARGON (GLOSSARY)

Average IRR
Catch-up
The arithmetic mean of the internal rates of

return, which is the discount rate that equates
the net present value (NPV) of an investment's cash inflows with its cash outflows.
Contract clause related to the distribution of

a private equity funds profit, on the basis of
which the management company is entitled
to a specified share of the carried interest
(catch-up), once the investors have regained
their original investment plus the hurdle rate,
until it has obtained a specified share of the
carried interest that exceeds the repayment
of the investments (usually corresponding to
the carried interest percentage). After this
the assets of the fund will be distributed to
the investors and the management company
in a proportion that depends on the size of
the carried interest.
Buy-In Management Buyout (BIMBO)

Transaction where existing management and
outside managers join forces to buyout the
company. It therefore has characteristics of
both a management buyout and a management buy-in.
Capital call
The management company asks for capital
from the investors in the fund it manages.
Usually, investors commit themselves to providing a certain amount of capital to a fund,
and the management company draws down
these commitments in several stages, as the
fund makes new investments.
Capital weighted average IRR

The average IRR weighted by fund size with
funds contributing to the average in proportion to their size. This measure is accurate
only if all investments were made at once.
Carried interest (Carry)

The percentage of profits (generally 20-25
per cent) that GPs receive out of the profits
of the investments made by the fund. Typically, paid only after LPs receive their original
investment back
Clawback
Contract clause that obliges the management
company to return capital to the fund, if it has
received more carried interest than was agreed.
Diversification
Maximum proportion of fund that can be invested in any one transaction. Typically 20-25
per cent.
Distribution of proceeds
The order in which the sale proceeds and
profits are split between GP and LP.
Distribution to paid-in (DPI)

Cumulative distribution to limited partners as
a proportion of the cumulative paid-in capital.
Dry powder
Cash reserves kept on hand to cover future
obligations. In private equity, it refers to the
uncalled but still available capital commitments.
338

Leveraged Buy-Out (LBO)
Audit of the various risks of a targeted investAcquisition of a company with (significant)

ment by an investor; it can have various indedebt financing.
pendent components focusing on financial,
legal, commercial, technological and environmental aspects that are usually outsourced to Limited Partner (LP)
specialist firms.
The partner in a private equity fund who, unlike the general partner, is not responsible for
the funds financial liabilities. Typically an instiEvergreen fund
tutional investor who gives a mandate to the
A fund with no restriction on the operating
general partner.
period.
Fund term
Life of the fund. Typically 10 years with two
one year extensions possible.
Management Buy-In (MBI)

A corporate transaction in which an external
group of managers buys the company, generally with the financial backing of a private equity investor.
General Partner (GP)

Management Buy-Out (MBO)
The partner in a private equity fund who is responsible for all the financial liabilities of the fund. A corporate transaction in which a group of
the current managers buys the company,
generally with the financial backing of a priInitial Public Offering (IPO)
vate equity investor.
First public listing of the shares of a private
company on a stock exchange.
Management fees
Period during which the GP can make investments. Typically five or six years from the
date of closing for a 10 year fund. All commitments not drawn down are cancelled
after that.
Compensation for the management of a fund's

activities, generally paid quarterly from the fund
to the general partner or the management
company. It is typically around 2 per cent of
the assets under management. It is often reduced when paid on unrealised invested capital
after the end of the investment period.
Key man clause
Mezzanine
A clause that restricts the operations of the

fund should certain key persons employed by
the management company leave the company.
Most typically, the fund will stop investing.
Financing that is senior to equity but normally

subordinated to debt provided on normal
terms. It may contain features of both debt financing and equity financing.
Investment period
339
Glossary
Due diligence
Monitoring/Directors fees
Secondary fund
Fees paid by the portfolio company to the

GP for acting as directors or for consultancy services. Often set off in whole or
part against future management fees.
Fund that acquires all or parts of existing

portfolios from other private equity funds.
Transaction fees
New York Stock Exchange
Fees paid by the portfolio company to the

GP for deal services. Often set-off against
future management fees.
Overhang
Vintage year
Uncalled capital commitments (see dry

powder).
Year of fund formation.
NYSE
P2P (Public-to-Private)
Acquisition of the majority interest in a
publicly-listed company by a public tender
offer, often followed by a squeeze out
and subsequent delisting.
Pooled IRR
A method of calculating an aggregate IRR
by summing cash flows together to create
a portfolio cashflow and calculate IRR on it.
Preferred return (hurdle rate)

Return required by the LP on realised investments (or write-downs) before the
GP can share in the profits. Crucial to
protect the downside for LPs. Typically
set between 5-10 per cent.
Residual value
Estimated value of the fund, net of management fees and carry.
340
ABOUT THE AUTHORS

Marc Kitten is an affiliate professor of finance at ESCP-EAP and a partner at Candesic Strategy
Consultants, advising private equity investors in Europe. He holds an MBA from University of
Chicago GSB.
Edward Fraser and Jonas Golze just completed their graduate trainee program at Candesic
Strategy Consultants in London. Edward holds a M.Eng. Aerospace from Nottingham University and Jonas graduated from the WFI business school at the Catholic University of Eichstaett-Ingolstadt in Germany. Edward is joining Jefferies, an investment bank, while Jonas will
complete his consulting training at Bain & Co.
342
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Vault Career Guide To Private Equity Europe

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Vault Career Guide To Private Equity Europe

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Vault Career Guide to

2009 Vault.com Ltd

2009 European Edition

Copyright 2008 by Vault.com Ltd. All rights reserved.

Vault Career Guide to Private Equity

CHAPTER 1: What is Private Equity?

Other specific cases

CHAPTER 2: The Market

Current trends and issues

CHAPTER 3: Is It the Right Job for Me?

Comparison with other elite jobs

Interview with a London director at 3i

Interview with former senior partner at London-based mid cap fund

Days in the life

CHAPTER 4: The Hiring Process

Preparing for the interview

PROFILES OF 37 REPRESENTATIVE PRIVATE EQUITY

US-ORIGINATED GLOBAL FUNDS with direct presence in Europe

The Blackstone Group

The Carlyle Group

Goldman Sachs Principal Investment Area

Kohlberg Kravis Roberts & Co. (KKR)

AXA Private Equity

Barclays Private Equity

Bridgepoint Capital Ltd.

CVC Capital Partners Limited

Duke Street Capital

Glide Investment Management

Vault Career Guide to Private Equity

Montagu Private Equity

OTHER FUNDS with more regional focus

Exponent Private Equity

Intermediate Capital Group PLC

SHORT PROFILES OF 200 OTHER PRIVATE EQUITY

LBO, growth equity and diversified PE Funds

INDUSTRY JARGON (glossary)

ABOUT THE AUTHORS

Vault Career Guide to Private Equity

We selected 37 firms that we deemed representative of Europe, not necessarily the

CHAPTER ONE: WHAT IS PRIVATE EQUITY?

PRIVATE EQUITY INVESTORS

PRIVATE EQUITY FUND

How they make money

Vault Career Guide to Private Equity

Types of PEsegmentation by stage and product

Chapter One: What is Private Equity?

TYPICAL BIG LBO FINANCING STRUCTURE (PRE-CRISIS)

Choice of high yield over

Segmentation by styledirect investors, co-investors, secondary

Vault Career Guide to Private Equity

TOP 20 DIRECT PRIVATE EQUITY FIRMS BY AuM IN EUROPE*

Assets or commitments outside Europe

Source: Candesic PE database

Chapter One: What is Private Equity?

Geographic segmentation: global, pan-European or regional players

Segmentation by financing: private vs. listed

Other specific cases

Vault Career Guide to Private Equity

Chapter One: What is Private Equity?

CHAPTER TWO: THE MARKET

Vault Career Guide to Private Equity

Chapter Two: The Market

EUROPE-PRIVATE EQUITY FUNDS RAISED AND INVESTED