Private Equity in Franchising

Guest post by Nick Jones, R. James Straus and Jason C. Williams of Frost Brown Todd LLC

Private equity (“PE”) involvement in the franchising world has increased in recent years. Though historically PE firms have focused primarily on investment in franchisors, PE firms have in recent years increased their focus on franchisee-side investment. Understanding the franchisor’s perspective on PE investment into its franchisee community can help PE firms more effectively negotiate their relationship with the franchisor.

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How to assure a successful physician practice investment or acquisition

Guest post by Patricia S. Hofstra of Duane Morris LLP

As physician practices, health care entities, private equity and venture capital firms consider physician practice investments and acquisitions, the players need to address the unique nature of physicians and physician practices in order to assure a successful deal. Peter Drucker is quoted as saying that “Only three things happen naturally in organizations: friction, confusion and underperformance. Everything else requires leadership.” With respect to physician practice investments and acquisitions, communication is key to the ultimate success of the transaction.

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Pension Plan Withdrawal Liability Presents A “Risky Gambit” to Private Equity Funds

Guest post by Michael T. Bindner of Frost Brown Todd LLC

A Federal District Court recently called investments in private companies that participate in a multiemployer pension plan (MPP) a “risky gambit” because of the potential for exposing the MMP’s investors to withdrawal liability[1]. This type of liability is sometimes referred to as a “hidden liability” because, in some situations, investors may have exposure for the liability even if they did not affirmatively assume the liability under a purchase agreement.

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10 Tips to Help Companies Prepare for and Manage a PE Investment

Guest post by Angela Humphreys and Michael Geldart from Bass, Berry & Sims PLC and Excellere Partners

In an article published in the ACC Docket, the official publication of the Association of Corporate Counsel, Bass, Berry & Sims attorney Angela Humphreys and co-author Michael Geldart, Chief Compliance Officer and Partner at Denver-based private equity investment firm Excellere Partners, provided 10 tips on how companies can prepare for private equity investment and manage the private equity relationship post-transaction.

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Recent Trends in Shareholder Activism

Guest post by Richard J. Grossman and Alexander J. Berg of Skadden, Arps, Slate, Meagher & Flom LLP and Affiliates

Shareholder activism remains pervasive in the corporate landscape, as many companies continue to face new, and sometimes more sophisticated, activist situations. Recent activism-related trends indicate that the landscape is continually shifting, and companies’ strategies for dealing with activism should therefore also evolve and adapt.

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Private Equity, Venture Capital, and Hedge Funds May Get Boost from SEC

Guest post by Alexandra M. Fenno , Lauren C. Jackson , John I. Sanders , Jeffrey T. Skinner from Kilpatrick Townsend & Stockton LLP

On June 18th, the SEC issued a concept release (the “Concept Release”) seeking public comment on ways to simplify, harmonize, and improve the rules related to private securities offerings.[i]  The Concept Release contains several elements, three of which suggest that the SEC may take action that would benefit private investment funds:

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