FDIC chair Shiela Bair today held a five-hour, closed session with select members of the private equity industry, to discuss proposed rules that would govern future PE investment in banks. To say that many of these rules are unpopular with private equity pros would be an understatement, particularly capital requirement and cross-guarantee provisions. As Wilbur Ross accurately told the WSJ last week, the guidelines are "harsh and discriminatory." So it was with some surprise that Ross was even one of the 26 invitees to today's roundtable, let alone asked to lead the section on capital requirements. He left with his strong objections intact, but also believing that the meeting was "highly productive." "Sheila Bair seems truly interested in getting people's views," Ross told me during a phone conversation earlier tonight. "It was pretty obvious what my reaction had been, but she still had me chair part of the conversation and seated me next to her at lunch. I think it shows that the proposals really are still proposals at this point, and that she and others at the FDIC are serious about wanting input from people in the private equity industry."
The FDIC today held a roundtable discussion with various PE industry players, regarding last week's proposed guidelines related to private equity investment in banks. The session was closed, but a little birdie tells me that most of the PE representation was attorneys rather than dealmakers [Update: FDIC has sent over a list of invitees -- printed after the jump -- and plenty of PE principals were among them]. My guess is that the attorneys delivered a fairly simple message: These proposals are nutty, baselessly punative and totally counterproductive if the goal is to encourage PE investment in banks. I get a bit more in depth during a Reuters Insider spot I did earlier today (on tape from the laundry room adjacent to the home office):
The Paul Green School of Rock Music, operator of 49 performance-based rock music schools, has received a growth equity investment from Sterling Partners. No financial terms were disclosed. PRESS RELEASE The Paul Green School of Rock Music (or “School of Rock”), recognized for changing the way music is taught in America, today announced that it has received a growth capital investment from Sterling Partners. The capital will be used to provide the resources, systems and tools necessary to build additional performance-based music schools to serve the growing interest from students around the country. The investment will also help enhance the company’s brand and fine tune the consumer experience.
AMSTERDAM (Reuters) – V&D, a Dutch department store chain partly owned by private equity firm Kohlberg Kravis Roberts & Co., has asked staff to delay a pay rise to save jobs in the recession. V&D, part of Dutch retail group Maxeda, asked staff to delay a 3.3 percent wage increase until Feb. 1 to limit […]
WILMINGTON, Del. (Reuters) – An operator of 56 Dunkin’ Donuts locations filed for bankruptcy on Monday, the latest in a growing list of franchise operators to seek court protection due to a steep drop-off in sales. Kainos Partners Holding Company LLC of Greer, South Carolina, operates the donut-and-coffee franchises in New York, South Carolina and […]
CHICAGO (Reuters) – The Ricketts family has reached a deal to buy the storied Chicago Cubs baseball team from bankrupt media company Tribune Co for slightly less than the original $900 million bid, a source familiar with the deal said on Monday. “There is a deal between the Ricketts and Tribune Co,” said the source, […]
LONDON (Reuters) – A consortium of three debt investors has won control of French roofing materials group Monier, forcing previous owner PAI Partners to take a 256 million euro ($358 million) hit. Apollo Management [APOLO.UL], TowerBrook and York Capital secured the backing of Monier’s senior lenders at the end of last week, a spokeswoman for […]
Energy Investors Funds has acquired the largest equity stake in Astoria Energy II LLC, a company created to develop, construct, own and operate a new natural gas-fired power plant in the Astoria neighborhood of Queens. No financial terms were disclosed.
(Reuters) – Auto parts supplier Proliance International Inc (PLI.A) filed for bankruptcy protection in a Delaware court Thursday and said it agreed to sell all its U.S. assets to Centrum Equities XV LLC for $21.5 million. The company, which makes aftermarket heat exchange and temperature control products, said the sale would be supervised by the […]
Access Intelligence LLC, a Rockville, Md-based B2B information and marketing company backed by , has acquired Contexo Media, a Salt Lake City-based provider of medical coding and reimbursement books and software to the medical billing industry. No financial terms were disclosed. Access Intelligence is a portfolio company of Veronis Suhler Stevenson.