Privcap Audio: Private Capital Talk

THIS IS AN AUDIO-ONLY VERSION OF A VIDEO INTERVIEW FOUND ON PRIVCAP.COM. VIEW THE FULL VIDEO HERE: “I’ve never had a slammed door – that’s the good news.” Meet the man who represents the US private equity industry in front of Washington lawmakers. You’ll not be surprised to learn that he’s been busy of late, but he says his lobbying organization is making great strides. In an exclusive interview with Privcap’s David Snow, Steve Judge, President and CEO of the Private Equity Growth Capital Council (PEGCC), describes his organization’s efforts to bring in medium- and small-sized private equity firms as members, and the Council’s efforts to “educate” lawmakers and the media. He also takes us behind the Capitol Hill scenes to describe tough meetings and opportunities to build bridges with politicians. Judge discusses the effect that Mitt Romney’s White House run is having on the PEGCC’s efforts as well as the likelihood of legislative success with several key issues for private equity, including carried interest. Registered users of Privcap may instantly access this 18-minute, chaptered video program, full transcript, audio-only version, as well as Privcap’s entire archive of thought-leadership content.Register here – it’s free and quick

Private equity, as an asset class, is differantiated by its irregular cash flows that have to be measured and transformed into meaningful performance figures. Historically investors have relied on the IRR (internal rate of return) to capture this information. To better understand the right way and wrong way to use the IRR, Privcap's David Snow interviews Oliver Gottschalg, a leading academic and the Founder and Head of Research at PERACS, a private equity performance analytics company. The conversation begins with a question for Professor Gottschalg -  How did the IRR become the primary method for measuring performance in private equity? Topics of discussion include: The advantages and disadvantages of the IRR What about the multiple of equity invested? Distoritions that might find their way into the IRR About Oliver Gottschlag Professor Oliver Gottschalg is Head of Research at Peracs LLC, a specialized advisory firm providing advanced private equity fund due diligence and benchmarking services. He is part of the Strategy Department at HEC School of Management, Paris. He serves as HEC’s Academic Director for the TRIUM Global Executive MBA Program, Director of the Entrepreneurship Track in the HEC MBA program, directs the HEC Buyout Research Group and teaches courses on strategy, entrepreneurship, business plan design and management buyouts. He holds a Wirtschaftsingenieur Diploma from the University of Karlsruhe, an MBA from Georgia State University and a M.Sc. and PhD degree from INSEAD. His current research focuses on the strategic logic and the performance determinants of private equity investments. His work has been published in leading academic journals and in various publications for practitioners and was widely featured in the business press. He regularly presents his research at academic conferences and private equity symposia and serves as an advisor to leading investors in the private equity industry. Most recently, he served as an advisor to the European  Parliament in the context of the current debate about a possible need for regulation of the Private Equity industry

THIS IS AN AUDIO-ONLY VERSION OF A VIDEO INTERVIEW FOUND ON PRIVCAP.COM. VIEW THE FULL VIDEO HERE: Historically, there has never a powerful sense of urgency among Brazilian companies to grow, innovate and compete on the world stage. But that is changing fast and private equity is playing a pivotal role in driving a new era of entrepreneurship and innovation. This video panel discussion provides fresh insight to the impact of private equity on the Brazilian business landscape. “Sense of Urgency: Innovation and Private Equity in Corporate Brazil” is the second video in this series, which features Marcos Marinho Lutz, CEO of Cosan, and Christopher Meyn, partner at Gavea. Joining the conversation is Carlos Asciutti of Ernst 8 Young Terco in Brazil. This fascinating discussion explains the trends behind the rising popularity of private equity in Brazil and the fundamental change now taking place in the Brazilian economy. Also discussed is the prevalence of family-owned companies in Brazil and the unique challenges they pose for private equity partners. The video includes an expert Q8A with Asciutti. The panel discussion was filmed at the 2012 Congresso ABVCAP, the premier private equity event in Brazil. The first program in this Brazil series, “Sugar Startup: How Gavea Backed Cosan,” is available here. The third segment, “Change and Exits in Brazil,” is available here. This program is sponsored by Ernst 8 Young. Registered users of Privcap may access this 19-minute, chaptered video program, audio-only version, as well as Privcap’s entire archive of thought-leadership content. Register here – it’s free and quick.

THIS IS AN AUDIO-ONLY VERSION OF A VIDEO INTERVIEW FOUND ON PRIVCAP.COM. VIEW THE FULL VIDEO HERE: Brazil has Latin America’s largest private capital market, and this applies to the population of limited partners as well as the general partners. Meet three Brazilian LPs who are helping to diversify not only the portfolios of their own organizations but to educate other local institutional investors about the benefits of private equity. This video panel discussion, moderated by Privcap CEO David Snow, includes Mauricio de Rocha Wanderley, Chief Investment Officer of Valia, Patricia Freitas, Head of Investments at FINEP, and Eduardo Klingelhoefer de Sa, Head of Funds Department at BNDES. The gathered experts discuss why now is a “good moment” for Brazilian private equity, the history of the development of the local LP market, the influence of declining interest rates and inflation, today’s big appetite for diversification into equities of all kinds, including private equity, the relative paucity of funds of funds and venture capital funds in Brazil, and when local pensions will begin to allocate beyond Brazilian borders. This program is sponsored by the Brazilian Private Equity and Venture Capital Association (ABVCAP) and the Brazilian Trade and Investment Promotion Agency (Apex Brasil). Registered users of Privcap.com may access this 14-minute, chaptered video, full transcript, as well as Privcap’s entire archive of thought-leadership video programs. Register here – it’s quick and free

THIS IS AN AUDIO-ONLY VERSION OF A VIDEO INTERVIEW FOUND ON PRIVCAP.COM. VIEW THE FULL VIDEO HERE: When Sun Capital Partners acquires a deeply distressed business, its first goal is to stop the bleeding, according to Marc Leder, Co-CEO of the distressed and turnaround firm. What comes next ranges from financial triage to, a hands-on effort to instill a better corporate culture. In a wide-ranging interview with Privcap, Leder discusses the current activities of his $8 billion firm. He discusses the effects of the ongoing global financial turmoil on Sun Capital’s deal flow, the difference between trading-oriented and control-oriented strategies, how to identify a company worth saving, why his firm’s deals and exits are not “driven by the markets,” the frequency with which portfolio company managers need to be removed, what the consumer-oriented companies in his portfolio indicate about the economy, whether the “distressed” label scares away some sellers, and why Sun Capital is “very busy” in Europe and the US, but for “completely different reasons.” Registered users of Privcap may access this 13-minute, chaptered video program, full transcript, audio-only version, as well as Privcap’s entire archive of thought-leadership content. Register here – it’s free and quick