Private Equity and Employment
Private equity houses are normally structured in the form of private partnerships, with the silent partners, typically institutional investors and the odd wealthy individuals providing the financing, while the general partners choose the firms to be acquired. The general managers charge a fixed mana...
| Autores: | , , |
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| Tipo de recurso: | capítulo de libro |
| Fecha de publicación: | 2012 |
| País: | España |
| Institución: | IE |
| Repositorio: | Repositorio IE |
| OAI Identifier: | oai:repositorio.ie.edu:20.500.14417/3653 |
| Acceso en línea: | https://doi.org/10.1007/978-3-030-38738-9_40-1 https://hdl.handle.net/20.500.14417/3653 |
| Access Level: | acceso abierto |
| Palabra clave: | ODS 8 - Trabajo decente y crecimiento económico |
| Sumario: | Private equity houses are normally structured in the form of private partnerships, with the silent partners, typically institutional investors and the odd wealthy individuals providing the financing, while the general partners choose the firms to be acquired. The general managers charge a fixed management fee for their efforts and they also receive a percentage of the profits – confusingly called carried interest – when the private equity house exits an investee firm. Investee firms are typically acquired through debt finance with a fairly minor share of the financing being in the form of equity (Brealey et al. 2022). Private equity acquisitions – or for that matter, even for the growing number of firms where private equity merely takes a minority stake – may have quite profound effects not only on financial performance but also on the long-term sustainability of the firm, and indeed, on a wide range of stakeholders, most notably employees (Goergen 2022).... |
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