The New Tycoons: Inside the Trillion Dollar Private Equity Industry That Owns Everything (Bloomberg) by Jason Kelly

Description

Inside the Trillion Dollar Industry That Owns Everything

What do Dunkin' Donuts, J. Crew, Toys "R" Us, and Burger King have in common? They are all currently or just recently were owned, operated, and controlled by private equity firms. The New Tycoons: Inside the Trillion Dollar Private Equity Industry That Owns Everything takes the reader behind the scenes of these firms: their famous billionaire founders, the overlapping stories of their creation and evolution, and the outsized ambitions that led a group of clever bankers from small shops operating in a corner of Wall Street into powerhouse titans of capital. This is the story of the money and the men who handle it.

Go inside the private worlds of founders Henry Kravis, Steve Schwarzman, David Bonderman, and more in The New Tycoons, and discover how these men have transformed the industry and built the some of the most powerful and most secretive houses of money in the world.

• With numerous private equity firms going public for the first time, learn how these firms operate, where their money comes from and where it goes, and how every day millions of customers, employees, and retirees play a role in that complex tangle of money
• Author Jason Kelly tells the story of how thirty some years ago a group of colleagues with $120,000 of their own savings founded what would become one of the largest private equity shops in the world, completing the biggest buyout the world has ever seen, and making them all billionaires in the process
• Presents a never-before-seen look inside a secretive and powerful world on the verge of complete transformation as the industry and its leaders gain public profiles, scrutiny, and political positions

Analyzing the founders and the firms at a crucial moment, when they've elevated themselves beyond their already lofty ambitions into the world of public opinion and valuation, New Tycoons looks at one of the most important, yet least examined, trillion-dollar corners of the global economy and what it portends for these new tycoons.

Editorial Review

From the Book: Private Equity Facts and Figures

• Number of people employed by private-equity owned companies in the U.S.: 8.1 million
• Private-equity backed companies headquartered in the U.S.: 15,300
• Examples of private-equity owned companies: Toys "R" Us, The Weather Channel, Madam Tussaud's, Dunkin' Donuts, J. Crew, Outback Steakhouse, Gymboree, Guitar Center, Miramax, Sea World
• Number of private equity firms in the U.S.: 2,600
• Total assets under management in all types of private-equity funds: about $3 trillion
• Capital committed since 1990 to private-equity funds by California Public Employees' Retirement System (CalPERS): $66.8 billion
• Combined revenues of KKR-owned companies in 2011: $200 billion
• Total value of private-equity deals announced during the past decade: $3.89 trillion
• Amount Carlyle's three founders were paid in 2011, including salary, bonus and distributions from funds: $413 million

Sources: Bloomberg, Private Equity Growth Capital Council, Preqin, firm and pension websites