Wednesday, 1 October 2014
Last updated 7 hours ago
Jan 26 2012 | 1:23am ET
The Carlyle Group is seeking to preemptively put a stop to one of the more unpleasant aspects of life as a public company: shareholder lawsuits.
Washington, D.C.-based Carlyle revised its initial public offering documents last week. Under the new terms, all shareholders will have to settle claims against the private equity giant at arbitration. Lawsuits in both state and federal court, including class-action lawsuits, would be barred, and all investors who buy Carlyle shares would automatically accept the provision. What’s more, all arbitration proceedings and awards would remain confidential.
The provision is a novel one: None of the private equity firms to precede Carlyle in the public markets sought to prevent their future shareholders from suing.
Whether Carlyle can make the provision actually stick is unclear—some experts are skeptical. Under U.S. securities laws, investors are forbidden from waiving their rights to seek damages. The Securities and Exchange Commission must approve Carlyle’s registration statement, including the arbitration provision, before the firm can list on the Nasdaq Stock Market.
All arbitration proceedings would take place in Wilmington, Del., Carlyle said.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...