Carlyle Group LP agreed to buy Tyco International Ltd.’s fire and security business in South Korea for $1.93 billion, the country’s largest private-equity buyout deal in U.S. dollar value in more than five years.
Carlyle Group LP’s founders received $92.9 million each last year in pay and cash dividends, an increase of 61 percent from 2012, as the firm took advantage of rising equity markets to sell shares in companies.
The top 10 dealmakers at publicly traded private-equity firms took home at least $1.7 billion in dividends in 2013 as they seized on rallying stock markets to sell stakes in everything from a Chinese insurer to a U.S. theme-park operator to a French floormaker.
William Conway , the deal maker who helped build Carlyle Group into the world’s second-biggest private-equity firm, said the company is gearing up for a public share sale to amass permanent capital and contend with the growing challenge of raising money for buyout funds.
Oxford University’s investment chief attacked private-equity funds’ charges, saying firms such as Carlyle Group LP are more interested in collecting fees for managing money than generating top returns for their backers.
Carlyle Group LP’s three founders received at least $135 million each in 2012, almost all from dividends on their ownership stakes and distributions on personal investments made in Carlyle funds before the private- equity firm went public in May.
Carlyle Group, pressing ahead with plans for an initial public offering, is meeting privately with analysts to convince them the buyout firm is worth at least as much as its most richly valued competitor, Blackstone Group LP.
Carlyle Group LP, in a transaction nine months before it filed to go public, saddled itself with debt to pay owners including William Conway, Daniel D’Aniello and David Rubenstein a $398.5 million tax-deferred dividend.