Fund managers are having a harder time raising the bulk of their target capital before they hold an initial close than at any time in the past six years, a sign of the continuing capital-raising difficulties faced by private funds, according to a study released Thursday.
Going-private transactions backed by private equity sponsors decreased in 2012 as political uncertainty and looming market risk left parties wary and increasingly likely to structure deals with safeguards against busted transactions, according to a survey released Monday by Weil Gotshal & Manges LLP.
A closed deal isn't a done deal. It's something every deal maker knows, but it bears repeating as mergers and acquisitions activity picks up, and a study released Tuesday shows that a growing chunk of transactions are running into issues long after the ink has dried.
Large private equity funds have begun to focus closely on middle-market acquisitions of U.S. public companies as firms look to deploy capital, according to a report published Tuesday by Schulte Roth & Zabel LLP.
In the first quarter of 2013, 665 private equity–backed buyouts with a total value of $87 billion were announced globally, a 112 percent increase from the $41 billion seen in the same quarter last year, according to a report Thursday by U.K.-based consultant Preqin Ltd.
Indemnification caps for lower- and middle-market private equity fund transactions have decreased to their lowest levels in five years, according to a recent report by GF Data Resources LLC, signaling a more aggressive attitude toward mergers and acquisitions in the sector.
Nearly all private equity limited partners expect the sale of private fund stakes on the secondary market to increase in 2013, suggesting investors are looking for liquidity as the market rallies, according to a survey by Preqin Ltd. released Thursday.
Half the deals, more than three times the dollars: The benefits of big-time mergers and acquisitions were clear in February, according to data compiled Tuesday by FactSet, and BigLaw heavyweights like Kirkland & Ellis and Skadden have reaped the rewards.
A significantly smaller percentage of in-house counsel used some form of alternative legal fee structures last year, according to a new legal survey from Fulbright & Jaworski LLP that defied previous years' upward trends and more vocal criticism in recent years of the billable hour.
Corporations beefed up their legal departments in 2012 and expect to do the same this year, according to a new report, with mounting regulatory challenges and abundant litigation combining to boost the need for in-house expertise.
In-house corporate lawyers last year rated fixed-fee legal pricing the most effective alternative fee model to the straight billable hour, according to an annual Fulbright & Jaworski LLP survey released Tuesday.
Corporate counsel singled out nearly 100 litigators as the most client service-driven in their field thanks to their innate ability to deliver solid outcomes, effectively communicate litigation strategy and prioritize their clients' business interests.
Institutional investors in Asia will lead the charge in a recovering fundraising environment for private real estate funds, with more than 80 percent planning to make new investments in the coming year, according to a Preqin Ltd. survey released Wednesday.
Florida saw a $144 million drop in venture capital investment in 2012 when compared to the previous year, while nationwide venture capital funding fell 10 percent in dollar value, according to a recent report by PricewaterhouseCoopers LLP and the National Venture Capital Association.
More than $130 billion in private equity and venture capital investments in China are locked inside deals with no easy exits for limited partners, posing a risk that the robust market for private fund investment into China could dry up, according to a report Wednesday by China First Capital.
The largest private equity fund managers in the world have been able to grow their fee-based assets under management thanks to a spike in investor demand for credit-focused funds, according to a report by Fitch Ratings Ltd. released on Monday.
Middle-market mergers and acquisitions activity is down for the first half of 2012, but the deals that have succeeded have taken much less time to close, according to a study released Thursday by Schulte Roth & Zabel LLP.
Valuations for life science companies have moved upward this year despite a falloff in venture capital investment, according to Fenwick & West LLP's survey of venture capital financings for 186 U.S.-based life sciences companies.
When dealing with high-stakes litigation, there are four top-notch firms that in-house counsel dread seeing on the other side of the courtroom, according to a new survey of corporate counsel.
Continued global financial uncertainty is leading many buyout funds to hold on to portfolio companies longer than intended, according to data released Friday by Preqin that shows only 28 percent of deals made in 2006 and 19 percent of 2007 deals have been fully exited by general partners.
The pros of using predictive coding far outweigh the cons. Given the heavy pressure on law firms and in-house counsel to reduce discovery costs, as well as the Justice Department's recent stance on the subject, it appears predictive coding will continue to emerge from the obscure world of legal technology to the mainstream of legal practice, say Michael Moscato and Myles Bartley of Curtis Mallet-Prevost Colt & Mosle LLP.
As demand for behavioral health services increases, and those individuals with need have insurance that will pay for it, the growth potential for behavioral health services is significant. Private equity investors are well-poised for jumping into this market to bring new business models and innovation to the industry, say attorneys with McGuireWoods LLP.
Title I of the JOBS Act significantly reformed the IPO process for emerging growth companies. Although it remains to be seen how and when the U.S. Securities and Exchange Commission will implement other provisions of the JOBS Act, we believe that the IPO on-ramp reforms will continue to take on greater importance as they enter their second year, say attorneys with Latham & Watkins LLP.
Public-private partnerships have been used in a wide range of sectors to provide public services, from power plants and railroads to hospitals and sanitation plants. Yet there are a variety of potential contractual arrangements and the financing of a PPP can be complex, say Maryam Khosharay and Herbert Glaser of Haynes and Boone LLP.
Not every company can be the next Facebook. But thankfully, for many startups, generating one billion users is not the end goal, nor should it be. Enter “narrowcasting” — one of a few reasons to be optimistic about venture capital, despite the first quarter of 2013 being the slowest for fundraising since 2002, says David Kaufman of Thompson Coburn LLP.
Over the last few years, provisions in credit agreements permitting the borrower’s equity sponsor and other affiliates to purchase term loans made thereunder and allowing the borrower to “repurchase” such term loans on a non-pro rata basis have become common. But many of the provisions governing such purchases do not adequately protect the non-affiliated lenders’ interests in a bankruptcy of the borrower, say Robert Finley and Ram Burshtine of King & Spalding LLP.
The decision by the Allegheny County Court of Common Pleas in In re H.J. Heinz Co. Derivative and Class Action Litigation represents a faithful application of the American Law Institute’s Principles of Corporate Governance, which were formally adopted by the Pennsylvania Supreme Court in the landmark decision Cuker v. Mikalauskas, say attorneys with Dechert LLP.
The “Veronica Mars” Kickstarter campaign has created a paradigm shift in film financing with successful crowdfunding. While crowdfunding is still a largely untouched topic by the courts, it needs to be red-flagged as an area that is ripe for litigation, says John Stephens of Sedgwick LLP.
U.S. Rep. Keith Ellison, D-Minn., recently reintroduced the Inclusive Prosperity Act of 2013, a financial transaction tax that, according to its supporters, would provide the federal government between $150 billion and $340 billion of revenue per year. The bill is, essentially, a sales tax on large Wall Street banks — however, its provisions seem to impact hedge funds and private equity funds, says David Sussman of Duane Morris LLP.
Recent remarks by Bruce Karpati, chief of the Asset Management Unit of the U.S. Securities and Exchange Commission, as well as recent enforcement cases by the SEC, demonstrate an increased focus on the private equity sector — in particular, on aggressive fundraising disclosures, conflicts of interest and “zombie funds,” among other things, say Scott Naidech and Garrett Lynam of Chadbourne & Parke LLP.