| |
| |
| Cybersecurity insights for private equity |
| PitchBook Dealmakers Column
The SEC and other regulatory bodies have made cybersecurity a priority in their examinations. And while many PE firms have begun to take cybersecurity more seriously, others still have a long way to go.
A PE firm that is not well-armed with robust cybersecurity protocols exposes itself to direct financial ramifications of a breach (e.g., litigation, hiring consultants to fix the problem). But even more important, a cyber breach can expose a PE firm, its limited partners and/or its portfolio companies to significant reputational damage. And this could affect their ability to raise capital. |
|
Forward-thinking PE firms need to be ahead of the game when it comes to protecting themselves against a cyberattack. This means employing cybersecurity best practices that we believe regulatory bodies will be expecting from them. These should include an annual cyber-risk assessment, well-defined policies and procedures, and strong technical and process-related controls. A cybersecurity breach can wreak havoc on the operations of any business. PE firms need to view cybersecurity as a key component of their risk-management processes and a critical factor in their growth strategies.
As a seller, the installation of cybersecurity best practices will result in more favorable terms when exiting an investment. When acquiring a new portfolio company, the absence of cybersecurity best practices is an indication of increased risk and may be symptomatic of other operational weaknesses.
Most private equity firms talk about the importance of cybersecurity, but very few actually implement it. In this video, Jim Ambrosini, Managing Director, Cybersecurity at CohnReznick, addresses the risks associated with a portfolio or fund-level breach or cyberattack and how a true cybersecurity program can contribute to growth.
This article represents the views of the author only and does not necessarily represent the views of PitchBook. |
|
| | | | | | | Is Elon Musk a supervillain? |
| Darth Vader. Lex Luthor. The Joker. Elon Musk?
Look, Musk is almost definitely—like 99.9%—not a megalomaniac bent on galactic domination. But this is 2016. It seems like we should at least be prepared for the insane... |
|
| | | | | | | PE bigwigs bask in Caribbean billions |
| For some of the biggest names in private equity, nothing sounds better during the holiday season than a Caribbean vacation.
Just ask TPG, KKR and Bain Capital, all of which were recently involved in massive deals dedicated to staying and playing in the tropics... |
|
| | | | | | | | Did Apollo Global Management conspire to bring down “American Idol”? [The Hollywood Reporter]
Gillian Tan takes a look at the increasing viability of the SPAC as a weapon in a private equity firm’s arsenal. [Bloomberg]
A little late on this one, but it’s worth it: Using the Twinkie as a lens to examine how private equity executives attain such jaw-dropping levels of personal wealth. [The New York Times]
Ta-Nehisi Coates examines the inescapable thread of Barack Obama’s race that’s been woven in so many different ways through the story of America’s first black president. [The Atlantic] |
|
| | | |
|
|
| |
| Since yesterday, the PitchBook Platform added: | | 218 Deals | 1258 People | 415 Companies | 7 Funds |
| | |
|
|
| |
| |
| |
| |
| |
| |
| 2010 Vintage European Buyout Funds |
| | Median IRR | | | | Top Quartile IRR Hurdle Rate | | | | 1.27x Median TVPI | $684M Average Amount Contributed |
| | | | *IRR: net of fees | | 57 Funds in Benchmark » |
| | | |
|
|
| |
| Deals in Play & Announcements |
|
| GTCR-backed IQN and Beeline to merge |
| | Software | Jacksonville, FL | Add-on |
| GTCR has agreed to acquire Beeline from the Adecco Group (VTX: ADEN) and plans to merge Beeline with IQNavigator, a GTCR portfolio company since 2008 and a provider of non-employee workforce management services. Beeline is another provider of workforce software designed specifically for managing vendors and freelancers. |
|
| | | |
|
|
| |
| PE-backed Contegix acquires Admo |
| | Systems Management | Kansas City, MO | Add-on |
| | | |
|
|
| |
| |
| Vitruvian buys Phlexglobal from BDC |
| | Workflow Software | Amersham, UK | Secondary Buyout |
| | | | | | | Equistone enters meat business |
| | Food Products | Tilburg, Netherlands | Secondary Buyout |
| Equistone Partners Europe has agreed to acquire a majority stake in Group of Butchers from Nordian Capital Partners, which first backed the business in 2012. The company's founders and existing management will retain a stake as part of the deal. Started in 1997 as Dutch Grill Specialties, Group of Butchers combines various butcher production sites to provide meat products for grocery stores and the out-of-home market. |
|
| | | | | | | Petroleum Equity purchases Kimmeridge stake |
| | Energy Exploration | New York, NY | Add-on |
| | | | | | | BGP sponsors Finalsite's acquisition of School Website |
| | Multimedia and Design Software | Teddington, UK | Add-on |
| Finalsite, the provider of a communications platform for the education industry, has acquired School Website, the provider of SaaS-based CMS software to schools. The combined company will serve more than 2,500 schools in over 70 countries with support teams based in both London and Glastonbury, CT. Bridge Growth Partners acquired Finalsite through a secondary buyout from Spectrum Equity Investors in August. |
|
| | | | | | | Elaghmore closes first growth fund on £60M, backs SB Components |
| | Newcastle-Upon-Tyne, UK | Growth |
| Elaghmore Partners has held a £60 million final close on its debut fund. Rede Partners advised the firm during the fundraising process. In addition, Elaghmore has announced another first: the acquisition of SB Components, a supplier of commercial vehicle parts. |
|
| | | |
|
|
| |
| Star Mountain brings on Mark Weisdorf |
| | | | | | | | | Wellspring names two new partners |
| | | | | |
|
|
| |
| |
