Report: TPG Has Billions in Paper Losses on Four Big Deals

(Reuters) – Private equity firm TPG Capital had billions of dollars in paper losses on some of its biggest investments during the leveraged buyout boom, the Financial Times reported on its website.

The firm’s paper losses on four buy-outs amount to nearly $2.9 billion, the newspaper said in its electronic edition. TPG invested $4.7 billion in the deals, the newspaper said.

The four mega-deals included Energy Future Holdings, the former TXU, as well as Freescale Semiconductor, Harrah’s Entertainment [HAMLEH.UL] and Univision Communications [UVN.UL], the newspaper said.

TPG said in a report to investors it marked down the value of its equity in the former TXU to $758 million from $1.5 billion; in Harrah’s to $759 million from $1.4 billion; in Freescale to $200 million from from $1 billion, and in Univision to $293 million from $837 million, the newspaper reported.

The information was detailed in a report dated May 28 sent to investors in the TPG Partners V fund, the newspaper said.

TPG was not immediately available for comment. (Reporting by Jessica Hall; Editing by Valerie Lee)