Private Equity Funds

In about 2007, Private equity funds (PEFs) went from being shadowy institutions about whom the general public and mainstream press either knew very little or cared less, to high profile organisations under intense political and media scrutiny, much of it accusatory and negative in tone. If one factor can be ascribed to this turnaround it is a campaign by one of the major trade unions in the UK highlighting what it sees as ‘asset stripping’ behaviour by such groups. PEFs were initially unprepared for their new found ‘celebrity’ status. When they did eventually respond it was with a combination of vigorous defence of past activities and their economic achievements, plus an acknowledgement that certain corporate governance reforms were overdue and the start of an action plan to remedy these perceived weaknesses.