PRINT THIS PAGE Business Development Companies and the new public market in mezzanine funds
17/06/2004. Source:Debevoise & Plimpton. Kenneth Berman, Colette Haider and Michael Whidden
Several high-profile private equity firms have entered the public fund arena this year by sponsoring publicly offered funds focused on making mezzanine investments. Kenneth Berman, Colette Haider and Michael Whidden of Debevoise & Plimpton, address the question of what makes the BDC an attractive vehicle for mezzanine investment firms. The reasons given include the fact that a BDC has access to a wider pool of investors than the typical private equity fund, while private mezzanine funds offer interests in private placements to a limited pool of sophisticated institutions and high-net-worth individuals. Another reason is that a BDC is permitted to charge its investors an incentive fee of up to 20 per cent.
Click here to view the full report (pdf 300kb) You need Adobe Acrobat to read this document. If you do not have it, you can download it free from www.adobe.com/products/acrobat/readstep.html
Debevoise & Plimpton, an international law firm, was founded in 1931. The firm, which now has more than 500 lawyers, provides international services in corporate, litigation, tax, and trusts and estates law. Debevoise & Plimpton offices are located in New York, Washington, DC, London, Paris, Frankfurt, Hong Kong and Moscow.
|
