But things are changing much more slowly in Europe than they did in the U.S. Every European country has its own business climate, union rules and regulatory system, and bankruptcy law isnt always clear enough for a manager like GSO to get the assurance it needs to invest in a troubled company. The big Swiss bank wanted Goodmans leveraged-finance business as well as DLJs merchant banking and real estate groups. The firm seeks to create differentiated high yield exposure through primarily private equity backed, US non-large cap high yield issues, where WDO sees potential for price . As it turned out, GSO had done thorough credit analysis and structured the debt appropriately, and it made 1.5 times its investment in two years, with every company paying off its debts. In July 2007, he sold American Lawyer Media to Incisive Media for about $630 million in cash. But they dont want to commit their capital. 1185 Avenue of the Americas He was appointed Chief Compliance Officer in January 2017. He now manages its hedge fund. At a bank youre working for anonymous shareholders, trying to make as much money as you can, he explains. It was keeping up-to-date in its credit work on certain companies and identifying potential situations for investment. The GSO team has been through the ups and downs of numerous credit cycles, and theyre always worried and trying to protect the downside, says Timothy Walsh, chief investment officer of the $74billion New Jersey Pension Fund, which has committed to $1.1billion in investments in five GSO funds. Prior to founding DC Capital in 2007, Mr. Campbell was a Partner of Veritas Capital Management, LLC from 1992 through 2006 having been a Co-Founder of The Veritas Capital Fund, L.P. and one of the two Managing Members of the successor fund, The Veritas Capital Fund II, L.P. In 1993, Goodman hired Smith from Salomon Smith Barney, where he worked on restructurings. News team looks for companies going through some sort of upheaval, such as a covenant breach, debt maturation, regulatory change, bankruptcy or a legal dispute like MBIAs battle with BofA. Mr. Dutton earned a Masters degree in Economics from University College Dublin and a joint Honors degree in Business and Economics from Trinity College Dublin. His research and publications focus on international development with a special focus on capacity building in health care and biopharmaceutical production in emerging economies. Work with portfolio companies to integrate sustainability considerations into their business plans, as applicable. Mr. Lauder is currently the Chairman of Clinique Laboratories, a division of The Este Lauder Companies. He holds an AB from Princeton University. I dont feel like Im going to get my throat ripped out when I call GSO, says one CEO who has done multiple deals with the company. At its peak, GSO had $475million in hedge fund exposure to homebuilders and related industries and put out $600 million in financing across private market vehicles. On day one Credit Suisse gave the firm more than $500million to manage a big part of the approximately $3billion it had raised from outside investors, including the Bass brothers, Blackstone, Cornell University, K2 Advisors, MetLife, Notre Dame and Quellos Group (now owned by BlackRock). Sustainable Business. That makes GSO Blackstones fastest-growing business in terms of both earnings and assets. All Rights Reserved. Contact Details Address:1301 Avenue of the Americas, 44th FloorNew York, NY 10019United States Phone/Fax:Phone: 212-702-600Fax: 212-702-635 Other Contact Details:Website: PWP provides comprehensive financial restructuring and capital structure advice in connection with stressed and distressed situations, including amendments, debt exchanges, financings, distressed M&A, and balance sheet recapitalizations. The top skills needed for this position are business management, market analysis, finance and accounting, problem-solving, data . Business Video. We have a reputation for identifying and . Mr. Bagaria also held responsibilities related to secondary trading, investment team development, portfolio company work-outs and the development of Apollos energy lending and aviation investment platforms. Now the emergence of alternative credit mirrors tools that equity investors have had with private equity, says TPGs Coulter. His company had been bleeding money for six years and had used up every penny of its capacity to issue secured debt. Mr. Bagaria is a co-founder and serves on the Board of Directors of The Manitou School, a private elementary school located in Cold Spring, New York. 1 underwriter for high-yield bonds, a distinction it would keep for 12 years. We conduct our buyout investment activities through the Wasserstein Partners family of funds. In 2008, Blackstone, looking to diversify, paid $1billion to acquire GSO, which then had a $3.2billion credit hedge fund, $500million in mezzanine investments and a $4.8billion collateralized loan obligation business. The strategy of Alta Semper is to invest flexible and strategic capital into market-leading business models in the . Hard work got him noticed at Drexel, as well as a meeting with Moran. Mr. McLellan was hired by Mr. Bagaria and initially worked within AIC from 2004 2006 before moving into the Strategic Value Fund. In furtherance of this ethos and in accordance with our responsibilities to our clients and other stakeholders, EagleTree is committed to identifying and considering ESG issues, risks and opportunities associated with potential portfolio company investments and engaging with portfolio companies on these matters during our ownership. Blackstone allowed us to take our business from being three years old to ten overnight, Ostrover says. Our investment activities are focused on middle-market leveraged buyout investments and related investment activities. Hints and clues to help you with today's Wordle. The firm was launched in May 2013 by Rajay Bagaria with backing from Wasserstein & Co. Wasserstein & Co. is a private investment firm and the family office of the late Mr. Bruce Wasserstein, with offices in New York and Los Angeles. The group invented concepts such as payment-in-kind toggle bonds, with which an issuer can defer interest payments in return for a larger coupon in the future, and IPO carve-outs, whereby the parent company sells stock of a subsidiary to the public. Jones received his MBA from the Yale School of Management and his B.S. Credit investors, on the other hand, are pessimists, aware that the upside of their investments is limited, evaluating everything that can go wrong in an effort to protect their principal. Mr. McLellan earned a B.S. Wasserstein Perella & Co., sometimes referred to as "Wasserella" [citation needed], was a boutique investment bank established by Bruce Wasserstein, Joseph R. Perella, Bill Lambert, and Charles Ward in 1988, former bankers at First Boston Corp., until its eventual sale to Dresdner Bank in 2000 for some $1.4 billion in stock. At the same time, Blackstone had relationships with almost every major institutional investor in the world, a group that had, on average, $200million in assets invested with the firm. But Goodman shunted humility aside at least temporarily during his lunch with Moran. He holds graduate and undergraduate degrees in life sciences and humanities from Villanova University, studied medicine and epidemiology at the Hahnemann Medical College, and has an MBA from the Wharton School of the University of Pennsylvania and a Doctorate in Business Administration from the Fox School of Business at Temple University. He also engineered a $479 million purchase of home security company SecurityLink by Chicago private-equity . Offered through a separated managed account platform exclusively for family offices and institutional investors, Proven regulatory capital efficient solution for insurance companies, #1 performing leveraged loan strategy inception to date in the eVestment database (out of 60 funds). Wasserstein Debt Opportunities Management, LP ("WDO") is a New York-based SEC-registered investment advisor focused predominately on leveraged loans and high yield bonds. In 2008, Mr. Parsons served as a member of then-President-Elect Barack Obamas Economic Transition Team. The up-gunned, tracked MT-LBs are further evidence of the Kremlins worsening equipment crisis as it struggles to make good its losses in Ukraine. Ara Hovnanian, CEO of Hovnanian Enterprises, knew little about GSO Capital Partners before the credit-oriented alternative asset manager offered the struggling homebuilder a lifeline last year. About Wasserstein family. Mr. Bagaria was a board director of LVI Services, Inc., Generation Brands and Playpower, Inc. During the most recent recession, Mr. Bagaria was a manager of a multi-billion dollar senior loan vehicle. Portfolio, This content is from:
In the U.S. banks provide about 30 percent of lending, with capital markets and investors providing the remainder. Mr. Montana joined Wasserstein Debt Opportunities Management, LP in 2014 as a Finance Associate. The firms long-only strategies include a $24billion CLO business, making GSO the largest institutional investor in leveraged loans, as well as closed-end and other funds. Mid-market firm Wasserstein & Co. has closed its latest flagship fund, Wasserstein Partners IV, on $790 million, according to a source familiar with the matter. Balkan Advisory Company, Sofia, Bulgaria. It was the first of many overtures Blackstones executives would make to him. GSOs hedge fund invested in public securities, mezzanine debt and distressed debt and provided some rescue lending for companies going through liquidity problems. Thats where you wanted to land a job if you were a Harvard Business School student. She is a graduate of the University of Pennsylvania's Wharton School where she earned her BS in Economics. The firm seeks to create differentiated high yield exposure through primarily private equity backed, US non-large cap high yield issues, where WDO sees potential for price inefficiency. That also plummeted in value. But unlike activist equity managers or loan-to-own credit funds, GSO doesnt seek to change management unless something goes wrong and it has no choice. New York, NY 10036 The firm was formed in January 2001, when the merchant banking group of Wasserstein Perella & Co., Inc., a global investment banking firm, spun out to become an independent firm upon the acquisition of the remainder of Wasserstein Perella by Dresdner Bank. Before becoming President and Chief Investment Officer of Wasserstein Debt Opportunities Management, LP, in 2013, Mr. Bagaria was a Partner and Investment Committee member of Apollo Investment Management (Apollo), the investment manager of Apollo Investment Corporation (AIC), a publicly traded business development company. Prior to that, he worked for 14 years in Senior Hedge Fund operations positions for top tier firms, including IFS State Street and HSBC. document.write(new Date().getFullYear()); Prior to that time he was a Senior and Founding Member of the Merchant Banking Group of Wasserstein & Perella Co., Inc. since its inception in 1988. The honeymoon was over quickly, though. Mr. Montana joined Wasserstein Debt Opportunities Management, LP in 2014 as a Finance Associate. Before that she worked at Apollo Global Management, the private equity firm, where she evaluated . Prior to joining Alta Semper, Zachary was a Senior Associate at Emerging Capital Partners where he covered infrastructure and consumer / retail investments in Kenya. Process, was the least enthusiastic about the tie-up, concerned that they were trading away their autonomy. In the 1990s, GSOs three founders, then working for Hamilton (Tony) James at DLJ, took up where Drexel left off, building that firm into the No. The world had changed, and the firm needed a partner. PWP provides financial and structuring advice in connection with capital raising alternatives, including debt, equity, and hybrid capital, identifying alternative sources of growth capital, including SPACs and private capital, and assisting with identifying investors, developing terms and structuring the transaction. degree in Finance and Economics from the City University of New York with a concentration in Investment Analysis. The deal wouldnt have happened without Goodman, Smith and Ostrovers former boss, Tony James, who had joined Blackstone as president in 2002 after Credit Suisse bought DLJ and who manages the firms day-to-day operations. Convene 117 West 46th Street, New York, April 19-20, 2023
Europe currently offers GSO the greatest opportunities. The firm seeks to . Joseph H. Lauder Institute of Management and International Studies. 1 salesperson by a third-party consulting firm, and Goodman and Moran decided to steal him away the day the news came out. But although most Wall Street firms pulled out of the high-yield business, DLJ stayed in, doing some secondary trading and working with companies that felt they had been abandoned. 17.5B
Acquisition of Stake in Deutsche Telekoms German and Austrian Tower Business, $6B
Acquisition of Ortho Clinical Diagnostics, $22.2B
Combination with AT&Ts WarnerMedia, $525M
Growth Equity Investment from Blackstone, $1.1B
Senior Secured and Convertible Notes. Credit jumped off the page.. Credit geeks Goodman, Ostrover and Smith nonetheless went to Blackstones extravagant road show at New Yorks Pierre hotel in the spring of 2007, the first time that granular detail about the private equity firm was available to the public. What the SPR Refill Means for Oil Futures, The Radical, Lucrative, and Controversial Company Hiding in Stephen Schwarzmans Pocket, Oats: From the Original Energy Contract to Trendy Dairy Alternative, Modern Slavery Act Transparency Statement. EagleTree intends to engage with clients and stakeholders, from time to time, in dialogue regarding how we can manage ESG issues in a way that is consistent with their initiatives. With nearly 400 . Marina is based in Alta Sempers Cairo office. The GSO team is confident that the bright future investors are anticipating will lose its luster sooner or later, whether its because of inaction in Washington or rumblings from North Korea, Israel or Iran. Well before the downgrade of the U.S.s credit rating in August 2011, GSO was busy preparing for the possibility that markets would freeze up if the rating agencies made good on their threats. Register now to read this article and more for free. Today, the firm manages approximately $2 billion of capital on behalf of institutional and individual investors, including public and corporate pension funds, foreign governmental entities, endowments and foundations and high net worth individuals. Mr. Bagaria began his career in the leveraged finance market in 1999. Convene 117 West 46th Street, New York, May 23-24, 2023
Its a different kind of satisfaction walking into the CIOs office for the Bass brothers.. After James joined Blackstone, Goodman took over CSFBs alternative capital division. Mr. Dutton has been working in the Hedge Fund Industry since 1997 and joined Wasserstein Debt Opportunities Management, LP in June 2013. Upon Dresdner Bank's acquisition of Wasserstein Perella in January 2001, Wasserstein & Co. was spun off as an independent company owned by Bruce who . No one has represented Blackstones opulence more than its billionaire co-founder Schwarzman, who in 2000 reportedly paid $37million for a 34-room triplex on Park Avenue and has owned vacation properties in the Hamptons; Jamaica; Palm Beach, Florida; and Saint-Tropez. At PWP, we seek talented people capable of broad and creative thinking with the drive to provide the highest quality advice to our clients. In 1992, Goodman hired Ostrover from Grantchester Securities, the high-yield arm of boutique investment bank Wasserstein Perella & Co., to run DLJ's sales and trading. High cash-on-cash returns with capital appreciation potential. A -. Lets face it, if a company can tap the public markets, they will, and theyll get a much better deal.. GSO has a view on about 1,000 companies through its CLO business, garnering leads that can be passed on to the hedge fund or other vehicles. 99 Canal Center Plaza | Suite 400 Fully 80 percent of GSOs senior management team is from DLJ. 1185 Avenue of the Americas, 39thFloor She previously served as Partner at Wall Street Technology Partners LP and Director of the Dresdner Kleinwort Wasserstein Private Equity Group. Goodman liberally quotes from his uncle, Skip Bertman, a former head coach at Louisiana State University who has the best baseball record in the National Collegiate Athletic Association and who took an influential role in Goodmans life after his father passed away when he was five years old. This ESG Policy (the Policy) amends, restates and supersedes EagleTrees ESG Policy that was first formally adopted in 2017. This website uses cookies so that we can provide you with the best user experience possible. degree in Finance and Government from the University of Notre Dame in 2002, graduating magna cum laude. In its five years in the Blackstone fold, GSO has gone from having two fund products to managing 27. The future looks bright for credit investing. In February 1990, Drexel filed for bankruptcy; two months later Milken pled guilty to lesser charges, agreeing to pay a $600million fine and serve ten years in jail. The private equity business of the investment firm was not included in the sale and was . He also serves on Semper Capitals Risk Management and Compliance committees. Work with portfolio companies to advance EagleTrees ESG principles with the goal of improving long-term performance and minimizing adverse impacts in these areas. The firm manages capital on behalf of institutional and individual investors. Previously, Mr. Jones was Head of West Coast Investment Banking at Wasserstein Perella and, prior to that, was Managing Director at Salomon Brothers from 1988 through 1994. The then-54-year-old CEO figured he had little to lose by listening to Ostrovers pitch. Rescue lending has returned an annualized 15.2 percent since inception in September 2009. Dealmaker Bruce Wasserstein, famously nicknamed "Bid 'em up Bruce," died at the age of 61 in 2009, leaving his heirs a fortune wrought from years of fierce deal making. It was a good time for Goodman, Smith and Ostrover to start their own firm.