Carlyle Group Warns of Weak Returns, Few Deals

(Reuters) – Private equity firm Carlyle Group warned a group of its investors that they were unlikely to see returns on their money soon, the Financial Times said.

“You should expect very few distributions from us,” the paper quoted Bill Conway, Carlyle’s co-founder and chief investment officer, as saying during a conference call with more than 400 investors on Monday.

“You should also expect very few new deals,” Conway said, according to the paper.

Conway added that asset prices did not reflect grim economic realities globally, according to the paper.

Carlyle noted that it was valuing its investment in ailing semiconductor company Freescale at 50 cents on the dollar and HD Supply Inc at 65 cents on the dollar, the paper said.

The equity firm added that companies it had invested in such as Hertz Global Holdings Inc (HTZ.N: Quote, Profile, Research, Stock Buzz), the car rental company, and Dunkin Brands, owner of fast food chain Dunkin Donuts, were both flagging economic softness ahead, according to the paper.

Carlyle Group could not be immediately reached for comment. (Reporting by Ajay Kamalakaran in Bangalore; Editing by Kim Coghill)