Wednesday, September 24, 2008
Priavte equity firms still have a lot of fund
Private-equity firms are sitting on more than $400 billion in uninvested capital, according to London-based data provider Preqin. Several firms have raised dedicated funds for investing in banks and other distressed financial assets, with much of the money coming from pension funds and sovereign wealth funds. TPG has raised more than $7 billion for a financial-sector investment fund and Carlyle Group is targeting about $3 billion for a similar vehicle. Private-equity firms have looked at investing in distressed banks, but often pulled back. This summer, several private-equity firms including MatlinPatterson Global Advisers LLC and Fortress Investment Group looked at investing in BankUnited Financial Corp., based in Coral Gables, Fla., but didn't pull the trigger.