Venture Capital Headlines
Forbes investor doesn't think it's worth $400 million
Elevation Partners is currently carrying its minority stake in Forbes Media at an 80% discount, meaning that the entire company would be worth around $120 million. And this is actually a slight improvement from around a 90% write-down back in 2010.
PE will likely pass on Forbes Media, sources say
The Blackstone Group launched residential buy-to-rent financing business
Littlejohn & Company launching fundraising for fifth fund, targeting 1.5bn
Littlejohn closed its prior vehicle, Fund IV, on $1.34 billion in 2010, beating its $1.25 billion target. Fund III was closed in 2005 on $850 million. Fund IV was generating a 1.33x total value multiple and a 16.9 percent internal rate of return as of June 30, 2013, according to information from the Oregon Public Employees Retirement Fund. The firm, founded by Angus Littlejohn and Michael Klein in 1996, invests in middle-market companies undergoing changes in capital structure, strategy, operations or growth.
American Securities LLC has acquired Tekni-Plex, maker of packaging and tubing materials, from Oaktree Capital and Avenue Capital. No financial terms were disclosed, although an earlier Reuters story suggested that the deal could be valued at approximately $800 million.
Party City Holdings preparing for early 2014 IPO
The largest U.S. party goods retailer acquired just over a year ago by buyout firm Thomas H. Lee Partners LP for $2.69 billion, is preparing for an initial public offering.
Johnson & Johnson (NYSE: JNJ) has narrowed down the bidders for its diagnostics unit (Ortho Clinical Diagnostics) to The Carlyle Group and a joint offer from The Blackstone Group and Danaher Corp. (NYSE: DHR), according to Reuters. The final deal may be worth just south of $4 billion, compared to the $5 billion Johnson & Johnson originally sought.
A Samsung-paid-Apple-with-nickels hoax is going around. It would take 2,755 tractor-trailers to deliver $1 billion in nickels—not to mention more than the world’s entire supply of 5 cent coins.
It’s okay if your kid isn’t fluent in Mandarin. China’s growth can’t possibly last, according to Larry Summers’ latest research.
China is overhauling its accounting system. The country’s National Bureau of Statistics will bring its system for measuring China’s mistrusted economic data in line with international standards.
Baidu founder is now China’s second-richest man. Robin Li’s net worth advanced to $11.9 billionthanks to rising shares in his search engine company; he now trails only Wang Jianlin, founder of property and entertainment conglomerate Dalian Wanda Group.
World Toilet Day. This year marks the United Nations’s first official day to draw attention to the global sanitation crisis. A third of the world’s population—2.5 billion people—still don’t have access to a toilet, and poor sanitation costs countries up to 7% of their GDP.
There are four ways to fix US education and you won’t like any of them. Peter Marber argues that the country can solve its rampant unemployment only with education reform, including eliminating summer holidays, getting rid of 12th grade so students can start college sooner, and not using property taxes to fund public education.
The U.S. Treasury Department announced that it will sell its remaining 31.1 million shares in General Motors (NYSE: GM) by year-end. The stake would currently be valued at around $1.2 billion, and represents around 2% of GM’s outstanding shares. www.gm.com
JPMorgan reaches $13bn deal with US authorities
JPMorgan agreed on Tuesday to pay $13bn in a landmark settlement with the US Department of Justice and state authorities for mis-selling mortgage securities.
GDP data don’t reflect the digital economy. The growing number of big companies providing free Web services means we get a distorted picture of what goods are worth.
Inflation falls in the US. Analysts expect that consumer prices fell to around 1% in October, which would take the US Federal Reserve further away from its plans to wind down its stimulus of the US economy.
The inner workings of US toy sales at Christmas. Roberto A. Ferdman on how the risk-averse nature of retailers explains the insanely enduring popularity of Elmo dolls, and Matt Phillips on why this Christmas could be make-or-break for Toys’R'Us after losing its spot as leader of the toy world.
US garment makers tailor an industry around staying at home (attached)
Simon Evenett of the University of St. Gallen asks how labour intensive firms in Western economies can survive import competition from low wage emerging markets.
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- The Economist - best journalism out there IMO, but slightly expensive at $96 for the year. That's only slightly more than what you pay to drink at PUB for the year! Make sure you take advantage of the student discount.
- Quartz - very interesting free daily news email that covers a wide range of topics - Co-President Alina Costica highly recommends you check this out!!
Must-reads if you want to be in PE!
- peHUB Wire - is the daily must-read email providing breaking news and unique, insightful commentary on the private equity and venture capital industry
- Fortune Term Sheet - the latest on private equity, M&A, deals and movements — from Wall Street to Silicon Valley
- NYTimes Dealbook is a financial news service reporting on mergers, acquisitions, venture capital and hedge funds
Must-reads if you want to be a VC!
- TechCrunch - sign-up to receive free daily headlines and the latest technology news and information on startups
- Here is a list of venture capital blogs you might want to check out. In particular, Fred Wilson of Union Square Ventures blogs regularly at http://avc.blogs.com/
