R
Raymond
Guest
On Sep 20, 2:39?pm, Raymond <Bluerhy...@aol.com> wrote:
> Carlyle Selling Stake to Abu Dhabi
>
> By Thomas Heath and Howard Schneider
> Washington Post Staff Writers
> Thursday, September 20, 2007; 11:18 AM
>
> The Carlyle Group, the District's private-equity giant, announced that
> it is selling a 7.5 percent share of its general partnership to an
> investment group owned by the government of Abu Dhabi -- one of a
> flurry of deals today involving Arab governments and U.S. and British
> financial assets.
>
> The $1.35 billion sale to the Mubadala Development Co. marks the
> second time Carlyle has brought an outside owner into its highly
> profitable fold. The purchase price values Carlyle, a high-profile
> equity player with longstanding ties to the Middle East, at roughly
> $20 billion, less a 10 percent discount for the new partners. That is
> more than six times what Carlyle was valued when the California public
> pension system purchased about 5 percent of the company in 2000
>
> Mubadala is wholly owned by the government of Abu Dhabi, the capital
> of the oil-rich United Arab Emirates. As part of the deal, Abu Dhabi
> will make a separate $500 million investment in Carlyle funds.
>
> Founded in 1987, Carlyle raises money from private investors and uses
> it to buy and resell other companies and invest in real estate and
> other assets. The company currently has about $75 billion under its
> management.
>
> The deal is the latest in a series of transactions reshaping the
> private equity world, including the Chinese government's recent $3
> billion investment in the Blackstone Group, and Blackstone's
> subsequent issuing of public stock.
>
> The money from Abu Dhabi "will add to Carlyle's capital base,
> strategically expand our business and be used for additional
> investments," Carlyle executives said in a statement.
>
> The Carlyle deal comes on the same day that the governments of two
> other Arab states, Dubai and Qatar, announced they are buying large
> shares of the Nasdaq and London Stock exchanges -- recycling the cash
> from recent high oil prices into strategic global investments.
>
> Those deals may raise questions about foreign investment in sensitive
> U.S. assets, similar to the bid by Dubai, also one of the emirates, to
> take operating control of several major U.S. ports last year. That
> proposal prompted a political backlash among critics who worried about
> U.S. port security being left to an Arab government, and it was
> ultimately scuttled.
>
> "This deal raises serious questions that must be answered," said U.S.
> Sen. Charles E. Schumer (D-NY), chairman of the Joint Economic
> Committee. "Those questions will include -- should we allow foreign
> governments to take over our financial exchanges and how much control
> and influence should those foreign governments have?"
>
> Schumer said he would ask for a Treasury Department review.
>
> The stock exchange deals are complex and reflect developing
> competition among a number of exchanges to move into new markets and
> take advantage of expanded global equity trading.
>
> In a multi-level transaction, the Nasdaq Stock Market announced that
> Bourse Dubai would acquire a 19.9 percent interest in the tech-heavy
> exchange. Dubai, which has used its oil wealth to build itself into a
> shipping and financial center, will as part of the deal take over
> Nasdaq's 28 percent share in the London Stock Exchange.
The Iron Triangle - The Carlyle Group Exposed
http://video.google.com/videoplay?docid=7094545816220336237
> Carlyle Selling Stake to Abu Dhabi
>
> By Thomas Heath and Howard Schneider
> Washington Post Staff Writers
> Thursday, September 20, 2007; 11:18 AM
>
> The Carlyle Group, the District's private-equity giant, announced that
> it is selling a 7.5 percent share of its general partnership to an
> investment group owned by the government of Abu Dhabi -- one of a
> flurry of deals today involving Arab governments and U.S. and British
> financial assets.
>
> The $1.35 billion sale to the Mubadala Development Co. marks the
> second time Carlyle has brought an outside owner into its highly
> profitable fold. The purchase price values Carlyle, a high-profile
> equity player with longstanding ties to the Middle East, at roughly
> $20 billion, less a 10 percent discount for the new partners. That is
> more than six times what Carlyle was valued when the California public
> pension system purchased about 5 percent of the company in 2000
>
> Mubadala is wholly owned by the government of Abu Dhabi, the capital
> of the oil-rich United Arab Emirates. As part of the deal, Abu Dhabi
> will make a separate $500 million investment in Carlyle funds.
>
> Founded in 1987, Carlyle raises money from private investors and uses
> it to buy and resell other companies and invest in real estate and
> other assets. The company currently has about $75 billion under its
> management.
>
> The deal is the latest in a series of transactions reshaping the
> private equity world, including the Chinese government's recent $3
> billion investment in the Blackstone Group, and Blackstone's
> subsequent issuing of public stock.
>
> The money from Abu Dhabi "will add to Carlyle's capital base,
> strategically expand our business and be used for additional
> investments," Carlyle executives said in a statement.
>
> The Carlyle deal comes on the same day that the governments of two
> other Arab states, Dubai and Qatar, announced they are buying large
> shares of the Nasdaq and London Stock exchanges -- recycling the cash
> from recent high oil prices into strategic global investments.
>
> Those deals may raise questions about foreign investment in sensitive
> U.S. assets, similar to the bid by Dubai, also one of the emirates, to
> take operating control of several major U.S. ports last year. That
> proposal prompted a political backlash among critics who worried about
> U.S. port security being left to an Arab government, and it was
> ultimately scuttled.
>
> "This deal raises serious questions that must be answered," said U.S.
> Sen. Charles E. Schumer (D-NY), chairman of the Joint Economic
> Committee. "Those questions will include -- should we allow foreign
> governments to take over our financial exchanges and how much control
> and influence should those foreign governments have?"
>
> Schumer said he would ask for a Treasury Department review.
>
> The stock exchange deals are complex and reflect developing
> competition among a number of exchanges to move into new markets and
> take advantage of expanded global equity trading.
>
> In a multi-level transaction, the Nasdaq Stock Market announced that
> Bourse Dubai would acquire a 19.9 percent interest in the tech-heavy
> exchange. Dubai, which has used its oil wealth to build itself into a
> shipping and financial center, will as part of the deal take over
> Nasdaq's 28 percent share in the London Stock Exchange.
The Iron Triangle - The Carlyle Group Exposed
http://video.google.com/videoplay?docid=7094545816220336237