Investment Criteria
Uniqueness & Comparative Advantages
- The Investment Committee (led by its Chairman Steve Norris, Co-Founder of The Carlyle Group, and the Partnership's Chief Operating Officer, Stewart Paperin, Senior Advisor to Soros Fund Management), has well established relationships and personal access to executives of major investment and buyout firms internationally, built over their more than 75 years of collective experience in analyzing, structuring, negotiating and closing mergers, acquisitions, and investments.
- In addition to the Investment Committee, the Partnership will have two Business Development Directors with substantial contacts to premier private equity and leveraged buyout firms. The Partnership will create an Advisory Board that will help widen the network of relationships available to the Partnership better helping the Partnership leverage the international networks and personal relationships of its members.
- Mr. Norris is well known, highly regarded and has an extensive track record of success in private equity and buyout investments having achieved at the Carlyle Group an IRR in excess of 40% on investments he originated, negotiated or materially participated. The Carlyle Group's first fund was a $105 million fund that arranged investments of approximately four times its capital by working extensively with co-investors and strategic partners.
- Co-investors are only attractive to sponsors when they can act in a timely fashion and commit significant capital. There are few investors that are able to co-invest significant amounts of capital ($50 and more) in a timely manner.
- By pooling the participations of investors, the Partnership can commit large sums of capital, with no single investor having to commit the entire amount, thereby permitting the Partnership to co-invest in the "Big" deals.
- By not originating investments, the Partnership will not "compete" with any sponsoring buyout or investment firm in potential investments.
- As opposed to a fund of funds, the Partnership intends to choose from among numerous specific investment opportunities presented by leading buyout firms and will not invest "blindly" in any fund or investment. It will invest directly in deals, avoiding the doubling of fees and carry.
- The Partnership will have the benefit of an established network of relationships attractive to portfolio companies, including significant contacts in the Middle East, China and Europe, and from its unique understanding of and access to government that will give it a competitive advantage as a co-investor.
Uniqueness
