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Tuck School of Business Professor Colin Blaydon on BNN's "Trading Day."
July 9, 2010

Interview

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Private Inequity
The Economist
May 6, 2010

Professor Colin Blaydon comments on the changing relationship between private equity firms and their investors.

"Regulations could change these dynamics, says Colin Blaydon, a professor at Tuck School of Business at Dartmouth. A proposal being considered by Congress to treat general partners' profits as income rather than capital gains, wihch are taxed at a lower rate, could cut into margins and make them less willing to make concessions to limited partners."

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Bonderman Buys American Tire as
Buyout Trade Picks Up
By Cristina Alesci, Zachary Mider and Jason Kelly
Bloomberg Businessweek
April 22, 2010

Professor Colin Blaydon comments on the appeal of transactions between private equity firms.

"The pitch is, 'We have the capital ready, we can do a transaction quickly, we can negotiate special terms, make whatever arrrangements, and we can do it fast,'" said Colin Blaydon, director of the Center for Private Equity & Entrepreneurship at Dartmouth College's Tuck School of Business in Hanover, New Hampshire. "That has an appeal to a lot of sellers."

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Exit Time for Investors?
By Vince Galloro
Modern Healthcare
April 5, 2010

Professor Colin Blaydon comments on the private equity industry in an article about private equity firm ownership of hospital companies.

"The key to understanding the investment horizon that private-equity firms work on is to know the terms on which they raise capital, says Colin Blaydon, director of the Center for Private Equity and Entrepreneurship and a professor of management, both at Dartmouth University. Typically, the firms raise capital from investors in funds that often specify what sector or sectors they will invest in and over a specified time period, usually 10 years, Blaydon says."

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Tuck School of Business Professor Colin Blaydon on BNN's "Market Morning."
March 12, 2010

Interview

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How To Finance A Business With Angel Investors
By Kenneth H. Marks
Forbes.com: Expert View

March 1, 2010

Professors Fred Wainwright and Michael Horvath's work on angel investors is cited in a piece on the role of angel investors in financing early-stage companies. The article uses their definitions of different types of angel investors – guardian angels, operational angels, entrepreneurial angels, hands-off angels, control freaks and lemmings – and describes the characteristics of each.

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How Private Equity Could Rev Up the U.S. Economy
By Peter Carbonara and Jessica Silver-Greenberg
BusinessWeek
May 7, 2009

Professor Colin Blaydon comments in a Businessweek cover story about the future of the U.S. economy and the private equity industry.

"There is every reason to believe that private equity will have tremendous opportunity once we hit bottom," says Colin Blaydon, director of the Center for Private Equity & Entrepreneurship at Dartmouth's Tuck School of Business.

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Writing a Winning Business Plan
By Kathleen Ryan O'Connor
Fortune Small Business - CNNMoney.com
March 4, 2008

Professor Fred Wainwright comments on what constitute the most important elements in writing a successful business plan.

"The key section [of a business plan] is 'management,' because investors are highly concerned about the relevant skills and experience of the CEO and their ability to interact effectively with the CEO and executive team as the company grows quickly or requires challenging decisions," says Fred E. Wainwright, adjunct associate professor of business administration at the Tuck School of Business at Dartmouth and the executive director of the school's Center for Private Equity and Entrepreneurship. "The relationship between an entrepreneur and investors on the board of directors of a company is in many ways like a marriage - rapport, patience, and communication skills are essential."

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Voting With Their Mice
By Andy Guess
Inside Higher Ed
December 10, 2007

Openvote, an Internet startup that began as part of a class project, is the brainchild of two students at Dartmouth’s Tuck School of Business. Their concept is simple: that traditional telephone polling skips over most college students, and that no free service currently gauges their opinions in matters of politics, preferences and other weighty (or not so weighty) issues of the day. But rather than the traditional top-down model, students poll each other.

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Tuck School of Business Professor Colin Blaydon on CNBC's "PowerLunch."

Interview

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Perform or Perish
By Emily Thornton
BusinessWeek
November 5, 2007 - Cover Story

Tuck School of Business Professor Colin Blaydon speaks to BusinessWeek about the changing enviroment being faced by Private Equity firms and the pressure CEO's are under to perform.

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Why Buy Chrysler?
By Steve Inskeep
NPR: Morning Edition
May 15, 2007

Cerberus, the private equity firm that's buying Chrysler, has been trying to make an inroad into the auto industry for years. A company which buys troubled corporate castoffs now appears to be assembling one of the world's biggest automotive companies. It's put together a group of auto-related assets, including General Motors's former financing unit and the company that owns the Alamo and National Car Rental chains. Which raises the question whether Cerberus can save Chrysler.

We put that question to Colin Blaydon, Director of the Tuck Center for Private Equity and Entrepreneurship at Dartmouth.

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Is Cerberus Bidding for Chrysler?
By Katie Benner
Fortune
April 2, 2007

Still, the steady pace of Cerberus's deals and the strategic targets lead some to believe that it could be attempting to restructure the troubled U.S. auto industry. "The most successful buyers in the auto arena are the ones who will be quite clear about what they must accomplish. It's like when Wilbur Ross went into the steel industry and got agreements from workers to restructure major assets in a way that was profitable," says Colin Blaydon, director for the Center for Private Equity at Dartmouth. "It was something most strategic buyers couldn't figure out. Now we're seeing same thing in the automotive industry and Cerberus could end up being that Wilbur Ross figure."

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Tale of the Tape: Why Wall Street
Loves/Hates Blackstone
By Jed Horowitz
Dow Jones Newswires
April 2, 2007

"There is still anxiety and unease among VCs, but pressure is now coming from auditors and accounting firms," says Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

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Capital Calls - NewsWeekly
Private Equity Realistic Pricing
By Vyvyan Tenorio
TheDeal.com
April 2, 2007

"There is still anxiety and unease among VCs, but pressure is now coming from auditors and accounting firms," says Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

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Investors Capitalize on Equity Explosion
By David Dagan
Central Penn Business Journal
March 30, 2007

The modern history of private equity began in the 1980s, when restrictions on pension funds’ investment decisions were loosened, said Colin Blaydon, director of the Center for Private Equity at Dartmouth College in New Hampshire. Pension funds are key private-equity investors. The industry has exploded in the last three or four years, fueled by low interest rates that have allowed private-equity firms to borrow heavily to finance their deals, Blaydon said.

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One on One with Colin Blaydon
By Susie Gharib
Nightly Business Report, PBS
March 27, 2007

Goldman Sachs said today it plans to raise as much as $20 billion for its next private equity fund. CEO Lloyd Blankfein told shareholders at Goldman's annual meeting that amount could be a little more or a little less. The Goldman mega-fund would be larger than most of its current private equity clients, suggesting the investment bank could soon be competing for deals with those clients. The announcement comes just days after rival private equity firm Blackstone Group said it plans to go public later this year.

Joining us now for more analysis about the Goldman announcement and the private equity boom, Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. Colin, a pleasure to have you on the program.

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Goldman LBO Fund to Raise About $20B
By Joe Bel Bruno
Associated Press
March 27, 2007

Colin Blaydon, a professor at Dartmouth's Tuck School of Business and head of its private equity department, said conflicts would manage themselves. First off, competition between Goldman and private equity clients like Blackstone would be settled because an increasing amount of leveraged buyouts are being orchestrated by groups of private equity firms.

"Its not just one firm against another, it is three or four private equity firms banding together," he said. "But, for the companies that use Goldman for merger advisory, we're really not seeing the era of hostile takeovers any longer," he said. "The company by and large is still in the driver's seat...it might even be a benefit."
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Blackstone Files for $4 Billion IPO
By David Weidner
MarketWatch
March 23, 2007

The company plans on keeping its status as a limited partnership, a designation the firm said will exempt it from some New York Stock Exchange rules, including requirements for inclusion of independent directors on the board, nominating and compensation committees. Blackstone also will not have annual meetings for shareholders, the filing said.

Blackstone "certainly [is] not becoming a public firm -- not by any stretch of the imagination," commented Colin Blaydon, dean of the business school at Dartmouth University.

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Has Success Spoiled Private Equity?
By Sharon Reier
International Herald Tribune
March 23, 2007

Blackstone and several rivals have been exploring IPOs in the wake of the successful stock-market listing of hedge fund Fortress Group in January. The speed of Blackstone's decision is surprising and may reflect the belief of Stephen Schwarzman, Blackstone's co-founder and chief executive officer, that market conditions are worsening. Both Mr. Schwarzman and Blackstone President Tony James have in recent weeks been privately and publicly warning about a turn in financial conditions, especially in terms of their own firm's ability to finance acquisitions via cheap and ever-plentiful financing offered by Wall Street banks. "They're monetizing the reputation that they've built," said Colin C. Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth University's Tuck business school. "That often means you're at the top."

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Big Buyout Firm Prepares to Sell Stake to Public
By Dennis K. Berman & Henny Sender
The Wall Street Journal
March 17, 2007

Certainly over the past few years private equity has delivered superior, and sometimes outstanding, returns on investment. Long-term the funds look for 15 percent returns after fees, better than investors have done in the equities markets, said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. But over the past three years, some of the better-known firms like Blackstone and The Carlyle Group have achieved annual returns of 40 percent and higher on some deals.

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Chrysler Suitor Adds Auto Execs to Roster
Former Top Officials Bernhard and Rewey Will Help Cerberus Compete With Potential Bidders for Automaker
By Bill Vlasic
The Detroit News
March 17, 2007

Buyout experts said private-equity firms often rely on industry veterans to help evaluate the management, operations and financial condition of a targeted company.

"Private equity needs experienced people in the industry to help understand the challenges," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

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Private Equity Practitioners Gather at Tuck to Discuss Careers and Industry Trends
By Kim Keating
Tuck Press Release
March 16, 2007

The second annual Private Equity and Growth Ventures Conference attracted some 180 industry practitioners, students, and alumni to the Tuck School of Business at Dartmouth in February. Panel and roundtable discussions gave senior industry professionals a forum to speak candidly about such topics as hedge funds, venture capital, LBOs, and entrepreneurship.

The event was hosted by the Tuck Student Private Equity Club and the Center for Private Equity and Entrepreneurship. Colin Blaydon, director of the center, delivered welcoming remarks. Fred Wainwright T'02, the center's executive director, led the conference organizing committee. Win Neuger T'73, chief investment officer of AIG, spoke to the conference panelists at a private dinner the night before the event. Keynote speeches were made during the conference by Ed Glassmeyer T'68, cofounder and general partner of Oak Investment Partners, and Renny Smith T'83, managing director of TH Lee Putnam Ventures.

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Something Ventured
Industry Group Rules Raise Valuation Debate
By Tennille Tracy
Dow Jones Newswires
March 14, 2007

Given the complexity of the issue, venture capital firms may not ever be able to get on the same page regarding company valuations. "You can't expect a general partner to nail a valuation exactly," said Professor Colin Blaydon Director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. "It's part art and part science."

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PE Group Issues New Valuations Guidelines
By Tennille Tracy
VentureWire
March 13, 2007

PEIGG says private equity firms should be willing to write up or write down the value of their companies even if the last round of financing was conducted only by players participating in the previous round as well.

Some venture capitalists feel that non-round write-ups help them assign more precise company values when reporting to their investors. Jeanne Henry, chief financial officer of Atlas Ventures, said she conducts a non-round write-up when a company has matured in the months or even years since the last financing round.

"From time to time, we write up a company without an external event," she said. "As companies mature, they're generating revenue, and they become cash-flow positive."

But most venture investors object to such write-ups, and as a result have elected not to adopt the guidelines. According to a 2005 survey conducted by the Center for Private Equity & Entrepreneurship at Dartmouth's Tuck School of Business, only 19% of fund managers said they follow the PEIGG recommendations.

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How Private Equity Ownership Could Reshape Chrysler
By Bradford Wernle & Robert Sherefkin
Automotive News
March 12, 2007

These guys are rich and aggressive. Wouldn't a Chrysler takeover be a piece of cake? No way. The highway is littered with the corpses of outsiders who thought they could transform the car business. There's no guarantee well-funded private investors could find a way to deal with Chrysler's massive legacy liabilities, its unions, its factories and its dealers.

"This is the single biggest challenge for a private equity firm," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. "This is not generally the kind of challenge they go looking for."

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Chrysler Gets New Bid Prospect
By Bill Vlasic
The Detroit News
March 9, 2007

One private equity expert said any of the three firms pursuing Chrysler will have to weigh the automaker's potential against other investment opportunities.

"All of these guys have large amounts of capital to invest," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

"It's going to take tough negotiations to get it done."

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Inside Chrysler's Pitch to Suitors
By Bill Vlasic
The Detroit News

March 8, 2007

On Wednesday, representatives of the Blackstone Group toured the Tech Center, met with Chrysler CEO Tom LaSorda, and dined with his executive team amid classic cars at the Walter P. Chrysler Museum.

Earlier in the week, buyout experts from Cerberus Capital Management got the same treatment as they kicked the tires on the U.S. division of DaimlerChrysler AG. For Blackstone and Cerberus, the on-site visits offer a critical first look at the finances, operations and leadership of Chrysler, which was made available for sale last month by DaimlerChrysler. It's audition time for execs. The meetings are also an audition of sorts for LaSorda and his senior managers if either Blackstone or Cerberus emerges as the new owner of Chrysler.

"This is a very important job interview for management, but the question is whether they're the right team for Blackstone or Cerberus going forward," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

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The Apprentice Approach
By Colin Blaydon
Private Equity Manager

March 2007

Ten years ago, Tuck School of Business began offering a private equity elective course as part of its two-year MBA program. Today the program has expanded with supplementary courses and placement programs. Private Equity Manager spoke recently with Tuck's Colin Blaydon about training the next generation of private equity leaders.

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New Wall Street Buyout Tool Seen Carrying Risks
By Joseph A. Giannone
Reuters
February 27, 2007

NEW YORK - In their eagerness to participate in the biggest buyouts, Wall Street banks are committing more of their own capital up front, a practice that carries significant risks if markets drop.

Texas's largest utility, TXU Corp. , agreed on Monday to be acquired by buyout giants Texas Pacific Group (TPG) [TPG.UL] and Kohlberg Kravis Roberts & Co. (KKR) [KKR.UL] for $32 billion. The largest-ever leveraged buyout (LBO) will require investment banks to underwrite about $24 billion in debt.

"When the music stops, somebody is not going to have a chair to sit in," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business.

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KKR Back in Buyout Record Books with TXU Offer:
Firm's Famous RJR Nabisco LBO Eclipsed by Blackstone for Only Short Time

By Alistair Barr
MarketWatch
February 26, 2007

Blackstone's purchase exceeded KKR's famous hostile takeover of RJR Nabisco in 1988, which was valued at $31 billion including debt and stood as a record in the buyout industry for more than two decades.

Private-equity firms don't spend much time worrying about who's done the biggest deal, according to Colin Blaydon, a professor at the Center for Private Equity at Dartmouth's Tuck School of Business.

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Carlyle Changes Its Stripes: By Diversifying into A Broad Range of Assets and Deals It Aims to Flourish
Long After the Buyout Boom Fizzles
By Emily Thornton
BusinessWeek
February 12, 2007

So what, exactly, is Carlyle? Part buyout shop, part investment bank, part asset-management firm, it has set out on a course all its own. "There are going to be some major financial institutions that emerge from the phenomenal growth [in private equity] of the last years," says Colin Blaydon, director of the Center for Private Equity & Entrepreneurship at the Tuck School of Business at Dartmouth. "Carlyle is very deliberately moving in that direction. It looks a bit like the mid-'80s, when a handful of big, multiline investment-banking firms emerged as the bulge bracket."

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BUYOUT BINGE WILL BE FELT IN AUSTIN
Private Equity Groups are Reshaping the Corporate Finance Landscape
By Dan Zehr
Austin American-Statesman

February 11, 2007

"They embraced the 'private equity' label because the label 'leveraged buyout shop' had such a bad odor," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. "There's no doubt they work very hard to make the deal collaborative and not hostile."

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The Biggest-ever Private Equity Buyout of
Equity Office
The NEWSHOUR with Jim Lehrer
February 8, 2007

Professor Colin Blaydon recently appeared on The NEWSHOUR with Jim Lehrer discussing how the biggest-ever private equity buyout of Equity Office Properties by Blackstone has effects far beyond Wall Street.

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Silver Lake to Raise $10 Billion for Technology Fund
By
Miles Weiss and Brett Cole
Bloomberg
February 6, 2007

"The size of the fund indicates technology companies worth more than $20 billion could be targets for a leveraged buyout," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth in Hanover, New Hampshire. "I'm quite sure they will get their $10 billion as they invented the technology buyout and now everyone has jumped on the bandwagon."

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Stock Snarls Equity Bidding: Shareholders Ponder What Offer Is Worth

By Susan Diesenhouse
Chicago Tribune

February 2, 2007

"The high stock price gives Vornado an opportunity with regard to acquisitions to act more aggressively," said Colin Blaydon, a professor who directs the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. For Equity Office, "it presents an unknown that an all-cash deal does not."

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Vornado EOP Bid Facing Deadline
By Post Wires
New York Post
February 1, 2007

"This is the first deal where aggressive competitive bidding has emerged because the parties involved - Blackstone and the Vornado group - come from different worlds," said Professor Colin Blaydon of the Center for Private Equity at the Tuck School of Business at Dartmouth.

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Equity Office Showdown Nears: Vornado-Led Consortium Has Until Wednesday to Counter Blackstone group's $38.3 Billion Takeover Bid

By Grace Wong
CNNMoney.com
January 29, 2007

"A lot of capital is available - and not just to traditional private equity firms. Strategic buyers and sellers are playing much more aggressively," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business.

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Private Equity Explores More Distant Frontiers
The Economist
January 18, 2007

Private-equity investors are as demanding in their new stomping grounds as on their home turf. A survey last year by the Tuck School of Business at Dartmouth found that they want to see returns of at least 25% on their investments in emerging economies. The will to venture into frontier markets is strong, it seems, but only if the gems gleam brightly enough.

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What B-Schoolers Lust for Now: These Days, Private Equity Is the No. 1 Object of Desire, But Jobs Are Scarce

Business Week
January 12, 2007

At Dartmouth's Tuck School of Business, six students were so desperate to snag private equity work that they passed on surfing vacations over winter break to fly to Mumbai, India, where they performed free labor for private equity firms looking for research. While there, the students knocked on doors and chatted up receptionists in the hope of getting in front of some private equity and hedge fund partners. "You have to find innovative ways to differentiate yourself," says one of the students, Shelly Rastogi.

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Are Private Equity Buyouts Good for the Economy? Deep Pocketed Investors Are Banding Together to Buy Companies, Restructure Them, and Sell Them Back to Stock Exchanges for Huge Profits

Christian Science Monitor
November 13, 2006

"I definitely think the returns [to private equity] are not going to be as robust as they've been," says Colin Blaydon, an expert on private equity at the Tuck School of Business at Dartmouth in Hanover, N.H.

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Are Leveraged Buyouts Worth the Risk? Crossing from Public to Private Carries High Rewards, Dangers
Dallas Morning News
(The (KRT) Via Thomson Dialog NewsEdge)

October 15, 2006

"If there is a significant economic slowdown, with the amount of leverage put into these buyouts, the companies will not be able to meet their interest payments," said Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth College.

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Welcome, Barbarians! How to Profit from the Buyout Craze
CNN Money

September 18, 2006

What's more, increased interest from private equity firms in public companies indicates that the dealmakers, at least, think stocks are cheap. "These deals happen because valuations of a number of companies in the market are lower than they deserve to be," says Colin Blaydon, director of the private equity center at Dartmouth's Tuck School of Business.

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Private Equity Jobs on the Rise
Tuck Today - Fall 2006
September 1, 2006

"Tuck is a pipeline for jobs in private equity," says Fred Wainwright T'02, executive director of Tuck's Center for Private Equity and Entrepreneurship. "Firms of all sizes and categories, from small regional funds to multibillion-dollar international funds, approach the center and the CDO seeking Tuck students for summer and full-time positions. This includes venture, buyout, mezzanine, hedge, natural resources, and real estate private equity funds."

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Are Valuation Facts Getting in the Way of a Good Story?
By Kirk Nielsen
The Angel Journal
August 7, 2006

"There's a lot of judgment involved," said Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. He is also executive director of Granite State Angels in Hanover, New Hampshire and North Country Angels in Montpelier, Vermont. Wainwright said that pre-revenue, pre-net income, or pre-cash flow companies are very difficult to value because you can't apply the traditional metrics: multiple of sales, multiple of net income, multiple of EBITDA (earnings before interest, taxes, depreciation and amortization). Valuation at the earliest stages, he added, often depends on the market, supply and demand, and judgment calls by investors on a company's quality, value proposition, and management team.

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Everybody Wants to Be a Buyout King
Bids & Offers: The Buzz - The Wall Street Journal
July 29, 2006

The $21 billion takeover of HCA Inc. by a group that includes Bain Capital and Kohlberg Kravis Roberts & Co. underscores the return to prominence of leverage buyout, or LBO, shops on Wall Street. Now eager-beaver business-school students are lining up to get in on the next hot buyout. This past spring, as many as half of the 240-person student body at the Tuck School of Business at Dartmouth, in Hanover, N.H., signed up for a class on private equity, eager to learn how these deals are crafted. Just 20% or so of students wanted in on the class when it got started in the late 1990s, says Colin Blaydon, director of the school's Center for Private Equity and Entrepreneurship. Coming this fall in Prof. Blaydon's course, responding to a torrent of interest from students: a special class on hedge funds.



Investors Gear Up for Takeover
By Wright Thompson
ESPN.com
July 27, 2006

"Right now, these hedge funds have more capital than they have ever, ever had," says Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. "It is going on a lot, lot more. These guys have a lot of money. They can take very big bets and take very aggressive positions. These guys have a lot of money in the war chest."

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IPOS: Don't Fear "The Flip"
By Grace Wong
CNNMoney.com
May 16, 2006

"Facilitated by expanding debt markets, private equity firms have been on a roll, scooping up closely held companies and selling them quickly. But the era of buying and "flipping" companies is over," according to Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business. "Debt markets are stable, and nobody really is flipping companies. They [private equity firms] really have to figure out how to add value and build the company and then look very carefully at where they're going to exit," he said. Private equity firms generally use their own money and borrowed funds to turnaround distressed companies. When a firm has been overhauled, it's common for the investors to either sell the company to a corporate buyer or take it public. Not so nefarious?"

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Private Equity Moving into Public Spotlight
By Jacob Freedman
CQ Weekly
May 1, 2006

Colin C. Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business, says private-equity firms see a need to tackle these issues of face tighter regulation. "The last think they want to hear is a knock on the door from Washington," he said.

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Syndicates Mean Larger Financings, Better Terms
By David Wolf
Mass High Tech: The Journal of New England Technology
April 3, 2006

HANOVER, N.H.- Entrepreneurs are often frustrated by the redundant processes of each angel group they meet. To the extent that angel groups can get together on investment criteria, due diligence and documentation, the entire fund-raising process can be significantly streamlined for the company. Fred Wainwright of Dartmouth's Tuck School of Business -- as well as both Granite State and North Country Angels -- says, "The key element underlying the concept of shared due diligence among angel groups is trust. This will take some time to build, and the more transactions we do, the sooner we'll be able to reallocate our time more effectively to finding good companies and helping them grow."

Private Equity and Growth Ventures Conference Connects Practitioners and Students
Press Release
March 28, 2006

FOR IMMEDIATE RELEASE:
CONTACT: Kim Keating-kim.keating@dartmouth.edu

HANOVER, N.H.- Private equity is a tight-knit industry, and one where relationships matter. Recognizing this, the Center for Private Equity and Entrepreneurship along with the Private Equity Club at the Tuck School of Business at Dartmouth hosted the first annual Private Equity and Growth Ventures Conference in February. The day-long event educated Tuck students and alumni about relevant issues and trends in the venture capital and buyout industries, and facilitated networking among leading private equity firms, institutional investors, and growth companies.

"Industry practitioners traveled from as far away as California, Texas, and Chicago to attend the conference, and the networking opportunities were as great for them as they were for the Tuck students," said Jeff Danley T'06, one of the conference's student organizers and moderator of the panel on Limited Partners. "I received positive feedback on the conference from senior-level GPs and LPs in attendance, and overheard deals getting done at the conference-a clear sign of a successful event! With a conference attendance ratio of 50/50-industry practitioners to students-everyone was able to get something out of attending."

"We were delighted when students approached the center with the idea for this conference, as it had been on the horizon for some time," said Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Tuck. "Together we organized an event that was rich in content and offered Tuck students and alumni access to leading industry practitioners who could answer questions on industry and career-focused issues. Our first conference was received so favorably that we had to close registration early. With the success of the event, we are confident that this will become an annual experience at Tuck."

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Going ‘Green' Gaining Steam
By Warren Johnston
Valley News
January 5, 2006

“Before energy prices got to a high enough level, it was like pushing on a string. You couldn't make it happen,” said Colin C. Blaydon, the director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth. “The recent surge in oil prices have made alternatives feasible, and investors are putting a lot of money in them,” said Blaydon, who has been involved in the energy sector for nearly 40 years. Putting money in renewable energy has become a sound investment and good business, and the trend will continue, Blaydon said. “Private equity is clearly going that way, and the large oil companies are getting into it. It will be interesting to see if the oil companies are able to be innovative and reinvent themselves,” he said. The movement of the oil companies into the renewable sector should not deter private investors “who see real opportunity with this kind of technology,” Blaydon said.

High-Priced Auctions Scare Off Some Buyout Firms
By Michael Flaherty
Reuters
November 30, 2005

''When everyone was comfortable with the debt markets, they could bid aggressively and still expect to put additional leverage on the company," said Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. "People are pretty convinced that this party is over, and it's making them uneasy about doing a deal.''

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The Great Global Buyout Bubble
By Andrew Ross Sorkin
The New York Times
November 13, 2005

''There's no question this is going to end badly for some,'' said Colin C. Blaydon, a professor at the Tuck School of Management at Dartmouth and the dean emeritus of its Center for Private Equity and Entrepreneurship. ''It's almost a classic boom-bust cycle. When you see a big boom, people see the returns, go rushing in, stuff more money in than can be dealt with. Suddenly, something will happen that makes people say: 'Oh, my God! Look at the leverage we've got on these things. Isn't this way too risky? Shouldn't we pull back?' And then the question becomes: Does it crash like a rock or is there an adjustment down over time?''

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No Surprise Here: Money Talks -- On the Street, Firms Pay Plenty in Fees to Make Deals Happen; Private Equity vs. Big Corporations
By Dennis K. Berman and Henny Sender
Wall Street Journal
October 27, 2005

Skilled deal makers that they are, the private-equity firms also know how to spread their influence for maximum effect. In a number of recent transactions, a bank might think it has an exclusive advisory relationship to a buyout client, recounts Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business. But by the time the final transaction is announced, a whole list of advisers has been added.

"I don't think there is a power struggle going on," Mr. Wainwright says. "It's more of a symbiotic relationship."

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Refco Woes Puts Spotlight on "Quick Flips"
By Michael Flaherty
Reuters
October 13, 2005

Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business, said the Bennett issue probably had nothing to do with how quickly Thomas H. Lee took it public.

But Blaydon did point out that had the problem been discovered when Refco was private, it could have been dealt with a lot more easily.

"If you had fixed this when it was a private deal and done what was necessary, there would be a lot more latitude to do it without serious destruction to the enterprise value," Blaydon said.

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Dow Jones Capital Markets Report:
Buyouts Grow Up Big, Strong & Healthy, But Still Risky
By Simona Covel
Dow Jones
September 16, 2005

"Terms are better (on new deals) because banks and other sources are competing with each other," said Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business, from hedge funds to asset-based lenders. "It's made for a better market in terms of users of these loans having more choice and having these different sources of capital competing with each other."

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Quote Of The Week
Editorial Staff
Buyouts
August 15, 2005

The mantra always was, 'You had to get it at the right price, or you weren't going to do well at the end of the day.' We are seeing a reversal of this historic norm. Financial buyers were supposed to be savvier, tougher bargainers. Strategic corporate buyers tended to pay more.

-Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth College, in the International Herald Tribune

Q & A: Why Private Equity Is Drawn to Europe
By Sharon Reier
International Herald Tribune
August 9, 2005

As director of the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth College in Hanover, New Hampshire, Colin Blaydon has direct access to the movers and shakers at top private equity firms. Private equity has become a dominant force in mergers and acquisitions, and it provides financial support for the center's research.

But that does not prevent Blaydon from casting a critical eye on the sector. He spoke recently with Sharon Reier in Paris.

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Summer School
By Deborah Solomon Reid
Tuck Today
Summer 2005

In 2003, the Center for Private Equity and Entrepreneurship launched a groundbreaking series of conferences on private equity in the post-Enron world. At the inaugural session, Private Equity Valuation and Performance Reporting, some 50 hand-picked leaders from various venture capital constituencies- practitioners like Dana Callow T'79, founder of Boston Millennia Partners, and Michael Mills, from the major U.K. firm 3i, as well as buyout-fund managers, institutional investors, accountants, attorneys, and members of the Financial Accounting Standards Board- were invited to discuss the central question of how to determine a company's worth in the absence of a public market or performance history to rely on. "The younger a company is, the more difficult it is to value- there's no net income, no cash flow," says Fred Wainwright T'02, the center's executive director.

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Innovation and New Ventures
By Doug McInnis
Tuck Today
Summer 2005

T'04s Roberto Aldworth and Igor Popovic got the idea at Tuck, but they didn't have to wait to start the business. They were able to use office space, phones, and equipment in Whittemore Hall in the Tuck Incubator Program run by Tuck's Center for Private Equity and Entrepreneurship. When they graduated, the center let them stay on for several months. "This allowed us time to raise capital, develop the business model, and decide where to locate, all of which set us on the right track," says Aldworth. "Consequently, Debbie Atuk [T'04] decided to join OmniVidia to head our film acquisition effort."

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Kaman Deal a Rare Look at Control
By Dan Haar
The Hartford Courant
July 12, 2005

It's true that many original owners give up voting rights for smaller premiums. An average is about 30 percent, said corporate valuation expert Fred Wainwright, executive director and adjunct associate professor at the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth College.

"But much larger numbers are not at all unheard of," Wainwright added.

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Portfolio For Sale
By Matthew Sheahan, Senior Editor
Venture Capital Journal
May 2005

Investment trends within the venture capital industry point to potential growth in sales of venture portfolios, says Colin Blaydon, a professor who tracks private equity for the Tuck School of Business Administration at Dartmouth College. For example, some venture firms have gravitated to less risky later-stage rounds, a type of investing that can be more capital intensive than early stage investing. Those VCs moved into this segment thinking that exits were right around the corner, but they didn't materialize and now portfolio companies need money that their VC backers may not be prepared to invest.

"For the last two years the perceived sweet spot has been growth to late-stage venture," Blaydon says. "If you have an opportunity to take a late-stage investment off the hands off someone who doesn't want to continue to fund the needs of the company to get it to a successful exit, there area lot of people out there who find that attractive."

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String of IPO Flops Adds to Private Equity Jitters
By Michael Flaherty
Reuters News
May 19, 2005

"Clearly seeing anything like Boise and Warner raises anxiety in the private equity market," said Colin Blaydon, a professor at the Center for Private Equity and Entrepreneurship at the Tuck School of Business. "But it's the jitteriness in the high-yield market that is making everybody nervous."

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SunGard Data Buyout May Be Part of Trend to Take Companies Private
By Bob Fernandez
The Philadelphia Inquirer
March 29, 2005

"There is a lot of capital that these buyout firms have to put to work," said Colin C. Blaydon, a professor of management at Dartmouth College's Tuck School of Business. He said some estimates put that available money at $1 trillion.

But he warned that the money is chasing only a few worthy deals. "There is aggressive bidding, and the prices are getting high," he said in an interview yesterday.

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CSFB Buyout Chief Dean Seeks $2 Bln for Own Fund, People Say
By Gregory Cresci
Bloomberg
March 17, 2005

Striking out as independents gives money managers a chance to keep a bigger slice of fees and profits. Many buyout funds levy a 2 percent annual fee on assets and retain 20 percent of net returns on investments.

"The individuals working for the private-equity groups may not be compensated on par with similar positions at stand-alone funds," said Fred Wainwright, adjunct assistant professor at the Tuck School of Business at Dartmouth.

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LBOs Are Back
By Michael Santoli
Barron's
March 14, 2005

Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business, says that these conditions freed LBO firms from the tight financial conditions that prevailed through the early years of this decade, and the firms rushed to take advantage.

"In the last 18 months," he says, "the stars have really aligned." Initially, the accommodating markets allowed LBO firms to liquidate seasoned investments they'd held through the downturn.

"Then people realized they could buy a company, dress it up, do some financing to leverage it up and within six months pay a dividend and in some cases execute a sale," he says.

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All Systems Grow
By Julie Monahan
Entrepreneur Magazine
March 5, 2005

Use your existing customer base to vet a new product's potential market value. A survey combined with a free gift can prompt customers to share a wealth of information. Fred Wainwright, executive director and adjunct assistant professor at the Center for Private Equity and Entrepreneurship at Dartmouth University's Tuck School of Business, says, "That preliminary research is essential to getting the pricing right, choosing the right value proposition and developing a product that meets the needs of the market."

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Goldman Scales Back Merchant Bank to Fix Buyout Relationships
By Bloomberg Staff
Bloomberg
February 22, 2005

Instead of selling its merchant bank, as Morgan Stanley did in October, Goldman is reining in its unit. The firm is putting less of its own capital in private equity and offering to invest alongside its buyout-firm clients instead of against them.

An investment bank's knowledge of its customers -- their financial resources and the properties they may want to sell -- increases the temptation to act as a merchant bank, said Colin Blaydon, a professor at Dartmouth's Tuck School of Business and director of its private-equity center.

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US Buyouts Look Up & Look Out
By Neil O'Hara
FTSE Global Markets
January/February 2005

Strong performance has helped prominent buyout firms raise record sums to tackle bigger companies. "For the first time, the large private equity investors are doing deals together on the front end; syndicated or club deals like the venture guys do," says Colin Blaydon, Buchanan professor of management at the Tuck School of Business. While Syndicates spread the risk and bring more knowledge to the table, he wonders what will happen if a company gets into trouble. "It is a new experience for these buyout guys to sit on a board with people who have a substantial investment stake from another firm," he says,"If they see things diferently, how do they work in a boardroom?"

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Big Equity Gains for the Biggest Banks
By Todd Davenport
American Banker: Market Monitor
January 24, 2005

"What you are seeing for the banks pretty much mirrors the performance of the industry in 2004," said Colin Blaydon, the director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. "The IPO market was back, if not exactly roaring, so there were some good exits."

The benefits to venture capital investors from initial public offerings tell only part of the story.

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Biotech Firm Going Public on a Budget Through Merger
By Jeffrey Krasner
Boston Globe
January 18, 2005

Still, the reverse merger hasn't completely risen above its seedy image as a financial marriage of convenience.

''There's a negative image out there about this type of transaction," said Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. ''There have been unique circumstances where individuals have created pump-and-dump type situations," he said, referring to stock scams promoters use to build excitement about a company's shares, just so they can quickly sell the shares they own at a profit.

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Smith Named Chairman of Tuck Center
Private Equity International
January 2005

A major research center focused on private equity has a new chairman who knows a thing or two about the topic. Renny Smith, a managing director at TH Lee Partners (an affiliate of Boston's Thomas H. Lee Partners), was recently named chairman of the Center for Private Equity and Entrepreneurship at the Tuck School of Business, Dartmouth College.

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Budding Businesses Get a Boost
By James M. Patterson
Valley News
Devember 19, 2004

Laurie Higginbotham, Tim Healy and John Pepper are risk takers. They are business owners who thought things through before they leaped into the entrepreneurial world. They had good ideas for their businesses, and perhaps because they hedged their bets by planning, consulting and learning, they are successful.

Higginbotham, Healy and Pepper improved their odds at the Tuck School of Business at Dartmouth. Although they attended at different times and at different stages of life, their experiences were similar, and after graduation, all were able to turn their dreams into reality.

All, too, were able to take advantage of the contacts, associations and education offered by the school's Center for Private Equity and Entrepreneurship.

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Reprinted in the Concord Monitor »

Uneven Partnerships
Private Equity Manager
November 2004

Select results from a survey of GPs and LPs conducted by the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business. Participants were asked their opinions on the limited partnership agreement (LPA) and the prospects for a 'model' document.

View the results »

Charge It! Plastic May Be the Only Way to Go; But It Comes with a High Price
By Peter Loftus
Wall Street Journal
November 29, 2004

"The issue is that almost all credit-card agreements have fine print with very sharp teeth," says Fred Wainwright, executive director of the Center for Private Equity and Entrepreneurship at Dartmouth's Tuck School of Business. "If you miss even one payment, the attractive terms can convert to over 20% annual interest rates and outrageously high penalty fees."

The lure of plastic is especially great now that banks are aggressively marketing credit cards to businesses. Many banks offer enticements like no interest for six months, plus cash rebates based on the amount of charges.

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Draw a Veil
The Economist
November 27, 2004

More accountability will require better information about the performance of private-equity portfolios. As things stand, valuations are a shambles, says Colin Blaydon of the Tuck Centre for Private Equity and Entrepreneurship. Valuation methodologies are not standardised and tend to be overly conservative, using historic cost rather than current market value; and values are rarely reduced when they should be, and are easily manipulated by general partners. But industry groups are slowly making progress with standardising valuation methodology. Herman Daems of the European Private Equity and Venture Capital Association (EVCA) points out that Europe is now well ahead of America on standardising valuations and reporting.

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Making Discoveries, Connections
By Warren Johnston
Valley News
November 14, 2004

After spending some time determining if North's discovery had marketable value, Fairbrothers hooked him up with the Center for Private Equity and Entrepreneurship at the Tuck School of Business at Dartmouth.

The Center is the entrepreneurial heart of the region, and faculty members work with startup companies to provide help and find contacts and resources. The Center also partially pays for an intern program that provides startups with the expertise of one of Tuck's experienced MBA students.

“We work a lot with Dartmouth alums, friends and family,” Center Director Colin C. Blaydon said. “We don't provide investment funding. We advise, educate and facilitate. We can put entrepreneurs with venture capital people, and we provide students through our intern program.”

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MergerTalk - Private Equity Trumps Strategic Buyers
By Daisuke Wakabayashi
Reuters News
November 11, 2004

Analysts say improving earnings and growing cash flow at manufacturers are also driving up prices.

"There is an awful lot of aggressive bidding at auction for these manufacturing companies, and everybody is getting a bit nervous that it's getting pricey," said Professor Colin Blaydon, director of the Center for Private Equity and Entrepreneurship at Dartmouth College's Tuck School of Business.

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Model Partnership Docs in the Works
Private Equity Insider
October 22, 2004

An ad-hoc committee that includes several prominent operators of private equity funds is ironing out details of a sample partnership agreement that managers, investors and attorneys could refer to when fund raising.

The 15-member committee- led by Dartmouth College Center for Private Equity and Entrepreneurship co-directors Colin Blaydon and Fred Wainwright, and Ontario Teachers' Private Capital director Mark Wiseman- is expected to complete the model agreement by early next year. The panel includes partners from Blackstone Group, Boston Millennia Partners, Carlyle Group and HarbourVest Partners.

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LBO Deal Flow Shows No Signs of Letup
By Kenneth MacFadyen
Thomson Financial, Inc.
October 4, 2004

While the flight to quality is still a driving theme, buyout investors will also dip their toes into riskier waters, such as tech or telecom. In most cases, though, the firms that do so are seasoned players in the sectors, and thus there has not been a replay of the late 90s that saw sponsors reach well beyond their core competencies. "We all saw that movie and it was catastrophic," TH Putnam Ventures Managing Director Renny Smith says. "There are some people that have an expertise and are well equipped to pursue deals in [the tech or telecom spaces], and for the most part that's who is participating in these sectors."

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Something Ventured: NEA Not Afraid to Think Big
By Mark Boslet
Dow Jones Newswires
September 29, 2004

"They are betting on their model, and it has delivered for them in the past," says Colin Blaydon, a director at Dartmouth College's Tuck School of Business. "They have a very disciplined approach to investing."

Blaydon points out that NEA has been focused on health sciences and high tech for years, and partners aren't afraid to grill each other on the merits of a deal. "They are very honest with each other."

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Relief Valve? Done Right, a Private Investment in Public Equity, or PIPE, Could Bring Your Business Much-Needed Cash
By C.J. Prince

Entrepreneur

September 2004

Once seen as the scourge of capital raising, PIPEs are not just for troubled companies anymore, says Colin Blaydon, director of the Center for Private Equity and Entrepreneurhsip at Dartmouth College's Tuck School of Business. "It's been done enough times by strong, viable enterprises that it can be justified as a sensible alternative approach to financing."

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Something Ventured: A Startup's Founders Strike Back
By Peter Loftus
Dow Jones News Service
August 11, 2004

Differences between entrepreneurs and VCs can be smoothed over when a company is performing well. But the RedEnvelope case illustrates what can happen when a company hits a rough patch. And it shows how difficult it can be for entrepreneurs to let go of their creations.

"There's always a very strong emotional attachment on the part of founders for their firms," said Fred Wainwright, who teaches private equity at Dartmouth's Tuck School of Business. "It was their original idea, they worked brutally hard in the beginning, and maybe put in their life savings."

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Join the Club? No Thanks; Private-Equity Fund IPOs Canceled Due to Little Interest
By Steve Gelsi
CBA Marketwatch.com
August 8, 2004

"All of these (IPOs) are treading new water both in the fees charged for gains and the fees inside the funds themselves," said Prof. Colin Blaydon of the Center for Private Equity and Entrepreneurship at Dartmouth University's Tuck School. "It remains to be seen how the investment community is going to receive them."

Some are even attempting to introduce lower fees to lure investors.

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Private Equity Insurance: Are You Covered If Your Jockey Takes a Spill?
By Ken MacFadyen
Venture Capital Journal
July 1, 2004

Dissention regarding the use of key-man policies will, at its most pitched, take the form of ambivalence. "It's not something we really think about until the very end," says one private-equity pro. "The salespeople won't leave you alone, but in our business you always know you can get insurance. You don't always know you can get a deal."

However, Philip Ferneau, a co-founder and managing director at Hanover, N.H.-based Borealis Ventures, warns that key man policies should not be overlooked. "It's devastating enough to lose the CEO in one of your companies, but no investor wants to compound his or her problems in that situation by also having to worry about a resulting hit to short-term cash-flow," Ferneau says. "Compared to most other risks that venture investors face, the costs of losing a CEO unexpectedly can be mitigated, at least in part, fairly easily and inexpensively with a key-person policy."

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