October 2008 Issue

Commentary on the month's hottest private equity stories by Amanda Janis, editor of sister website PrivateEquityOnline.com.

With investment in renewable energy heating up, Nanosolar may be one of the hottest venture deals to date. Thin-film solar panel company Nanosolar's recent $300 million venture round, bringing its total capital to nearly $500 million, is perhaps the largest financing for a solar company to date. The majority of the $300 million transaction, closed in March and disclosed in August, was provided by first-time investors AES Solar, French electric energy company EDF and energy-focussed private equity firm Energy Capital Partners. Riverstone Holdings, The Carlyle Group and power company AES are all investors in Nanosolar via AES Solar. A portion of Nanosolar's equity financing was contributed by new investors including hedge fund Lone Pine Capital and foundations Omidyar Network and Skoll Foundation. Returning investors included European alternative investment manager GLG Partners, German solar investor Beck Energy and German private investment firm Grazia Equity. John Small led the transaction on behalf of two-time Nanosolar investor GLG. Small joined GLG in 2000 with a focus on media, technology and telecom and has added alternative energy as an area of expertise over the last three years. Here, he talks about his firm's involvement in Nanosolar.

The US private equity mid-market is the largest and most mature private equity market in the world, and badly in need of innovation. PEI asked its insider contacts to identify ten firms that are illuminating the market with new, unique approaches to investing. Regardless of how these groups ultimately perform, they at least will never be called JAMMBOGs.

With the outlook gloomy for global markets, the sun is shining on Nordic private equity funds as they continue to attract capital at a healthy rate. Toby Mitchenall finds out why investors look favourably on the region, even in the dark times.

Switzerland is a modestly sized but thriving private equity market.

Leading Swiss private equity professionals believe that scepticism about the future prosperity of the asset class is misplaced. Andy Thomson reports from Zurich.

A 2003 conversation between David Rubenstein and Stephen Schwarzman, chronicled by Private Equity International, revealed two highly competitive and determined entrepreneurs. David Snow goes back five years to find clues to the futures of Carlyle, Blackstone and alternative assets generally.

Different GPs have very different attitudes to risk - and produce very different performance profiles as a result. By Andy Thomson.

The domestic funds that helped deal with Japan's non-performing loans crisis are seeing distressed opportunities open up once more.

Pension adviser Cardano is keen to increase its clients' exposure to alternative assets. Its latest recruit will play a vital role.

Toby Mitchenall tells the story of New Philanthropy Capital, an organisation offering financial due diligence to the UK's charity sector.

Central and Eastern European private equity shows signs of coming of age.

According to Earlybird's Rolf Mathies, the European venture capital market is on the brink of a renaissance, but it is the firms with experience of cycles that will be able to seize the moment. Toby Mitchenall reports.

Does the end of cheap debt spell the end of Europe's exit boom?

Private equity is well positioned to cope with the credit crunch. Its main worry is what comes afterwards.

After the public embarrassment surrounding Steven Rattner's resignation, Credit Suisse turned to longtime DLJ veteran Nicole Arnaboldi to lead its in-house private equity arm, smashing a glass ceiling in the process. By Suzanne Weinstock.

Mid-market specialist American Securities gave new meaning to the phrase ‘long-term investor’ when it closed a $2.3bn private equity fund with a 25-year investment life.

What private equity could do on the way to 2018.

THIS MONTH: MEET MY NEW (SPORTS) TEAMSteady, long-term returns? Not necessarily. But sinking money into a sports franchise at least gets you noticed. PEI selects some leading examples of private equity game players.

DEBTUMENTARY 2008-10-01 Staff Writer As Warren Buffett blesses the $4.7 billion acquisition of Constellation Energy Group, a US power company, by MidAmerica Energy – a portfolio company of Buffett's Berkshire Hathaway – PEI can't help but wonder what Constellation management makes of recent comments by the g

BAKE SALE 2008-10-01 Staff Writer While lesser companies may be descending into Chapter 11, Americans can breathe a sigh of relief at the salvation of iconic US food brands such as Twinkies, Ding Dongs, Ho-Hos and Wonder Bread. Commercial baking company Interstate Bakery has inked a $469 million deal to emer

?I will fight this until the day I die ? Private equity firms have taken over America, and we will fight it.? Jon Huntsman, chairman of chemical company Huntsman, cited in the Wall Street Journal last month, on his intended reaction to Apollo GlobalManagement reneging on a $6.5bn deal to buy his company. The quote made us ponder what a rebel leader in a world overtaken by private equity would have to say. Here it is.

Room for optimism

How an entrepreneur aims to make the airport security process a little less taxing. By Matt Levin.

A brewing battle in Texas shows why state legislators hoping to tap into public pensions' appetite for infrastructure have a fine line to walk, writes Cezary Podkul.

Despite a stunted fundraising effort and limited deal flow, Carlyle's debut fund is performing well. By Suzanne Weinstock.

Aureos Capital has helped transform what was once a leading NGO into one of Uganda's most promising commercial banks. By Matt Levin.

In another month of frenetic hiring, KKR has snared Lehman Brothers veteran Makram Azar to lead its charge into the MENA region.

London's SVG Advisers has closed its first-ever Asiadedicated fund of funds and set up shop in Singapore.