PE firms will try to raise a new fund as soon as permitted by its current fund\u2019s LPA, typically after a significant portion of the current fund (e.g., 75%) has been invested, resulting in a new fund about every three to four years. Sale and purchase of interests in a PE fund or sale and purchase of equity stakes in PE-backed companies . A line of bank credit predominantly used to fund a target\u2019s working capital needs. Transfer of a business from public to private ownership, i.e., acquisition of a state-owned company.<\/p>\n
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We wish to thank Michael Prahl and Bowen White, both INSEAD alumni, for their significant input prior to completion of this note. It is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of an administrative situation. Additional material about INSEAD case studies (e.g., videos, spreadsheets, links) can be accessed at cases.insead.edu. Please speak to a licensed financial professional before making any investment decisions. It’s a textbook written with an easy-to-read approach which is nice for a technical field like PE. Barbarians at the Gate – Bryan Burrough & John Helyar deep dive in to KKR, the RJR Nabisco deal & the players involved. Trusted by over 1,000 aspiring private equity professionals just like you.<\/p>\n
Having 20 years experience on Wall Street but only 5 in PE, it is hard to find a new position in PE without fully talking the talk and understanding every aspect of the business. This book is everything I hoped it would be – logically organized and thorough, yet approachable.<\/p>\n
Bowen’s research interests include private equity in emerging markets, the institutionalization of SE Asian financial markets, and project finance. Prior to moving to Singapore in 2009, Bowen spent five years in the New York hedge fund industry in trading and business development roles. Private Equity in Action \u2013 is a walk through private equity investment through the wise employ of Case Studies by the faculty of the INSEAD. A partner to trader<\/a> \u201cmastering Private Equity,\u201d the book is a comprehensive guide into applying the pertinent concepts to investments and portfolio companies. A total of 19, the studies sampled herein are managerial challenges and risk-reward dynamics that are common to Private Equity. The book is an ideal complement to Mastering Private Equity and allows readers to apply core concepts to investment targets and portfolio companies in real-life settings.<\/p>\n An expression of the market value of a company relative to a key statistic driving that value. Acquiring majority equity stakes in forex<\/a> mature companies under considerable operational duress with the aim of affecting change in the company to restore profitability.<\/p>\n DPI reflects the realized, cash-on cash returns generated by its investments at the valuation date. It is most prominent once the fund starts exiting investments, particularly towards the end of its life. If the fund has not made any full or partial exits, the DPI will be zero.<\/p>\n<\/p>\n
Lessons From Private Equity Any Company Can Use<\/h2>\n
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