Comments on: Technology buyouts come of age http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/ News About Tech, Money and Innovation Wed, 25 Nov 2009 16:28:31 +0000 http://wordpress.org/?v=2.8.5 hourly 1 By: Nina Moric http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-677280 Nina Moric Thu, 13 Dec 2007 17:12:33 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-677280 Hey!...I found your site via Yahoo! when i was searching for cash flow model, and this post regarding Technology buyouts come of age really sounds very interesting to me.. Thanks. Hey!…I found your site via Yahoo! when i was searching for cash flow model, and this post regarding Technology buyouts come of age really sounds very interesting to me.. Thanks.

]]> By: Michael Faught http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16945 Michael Faught Thu, 23 Nov 2006 16:28:41 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16945 Gerald, you're certainly correct about PE firms and their growing focus on technology buyouts. In my opinion however there is another, at least as big, opportunity in the space between venture capital and technology buyouts....technology-driven growth acquisitions. This is a buyout, not venture model, focusing on acquiring cashflowing but mundane "me too" operating companies (at commodity multiples) and utilizing (pre-sourced and "turnkey") technological innovation to immediately decommoditize the target acquisition's product or service. In turn, this enables the capture of market share (driving up revenue) and premium pricing (driving up margins) which, obviously, drives cashflow improvement, profitable exits (at premium multiples) and outsized returns to investors. By virtue of the fact that we focus on acquiring these boring “going nowhere” commodity companies, we avoid auctions and buy right….ultimately, this is all about legitimately proprietary dealflow. Gerald, if you (or any other VentureBeat readers) are at all interested in this strategy, I'd love to discuss this with you in more detail. Feel free to contact me at MFFaught@aol.com. I'm in Los Angeles. Gerald, you’re certainly correct about PE firms and their growing focus on technology buyouts. In my opinion however there is another, at least as big, opportunity in the space between venture capital and technology buyouts….technology-driven growth acquisitions. This is a buyout, not venture model, focusing on acquiring cashflowing but mundane “me too” operating companies (at commodity multiples) and utilizing (pre-sourced and “turnkey”) technological innovation to immediately decommoditize the target acquisition’s product or service. In turn, this enables the capture of market share (driving up revenue) and premium pricing (driving up margins) which, obviously, drives cashflow improvement, profitable exits (at premium multiples) and outsized returns to investors. By virtue of the fact that we focus on acquiring these boring “going nowhere” commodity companies, we avoid auctions and buy right….ultimately, this is all about legitimately proprietary dealflow. Gerald, if you (or any other VentureBeat readers) are at all interested in this strategy, I’d love to discuss this with you in more detail. Feel free to contact me at MFFaught@aol.com. I’m in Los Angeles.

]]> By: VentureBeat » VC investors doing well, mega buyout guys doing even better http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16715 VentureBeat » VC investors doing well, mega buyout guys doing even better Mon, 30 Oct 2006 18:36:27 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16715 [...] But then you’ll see that the next best performing group is “mega buyout.” Those investors spend billions to buyout major companies, are reporting a 28.5 percent uptick in their investment performance over the past year alone. That shows you why there’s so much excitement in this buyout area, and Silicon Valley is seeing its share of action. [...] [...] But then you’ll see that the next best performing group is “mega buyout.” Those investors spend billions to buyout major companies, are reporting a 28.5 percent uptick in their investment performance over the past year alone. That shows you why there’s so much excitement in this buyout area, and Silicon Valley is seeing its share of action. [...]

]]> By: john b. http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16640 john b. Tue, 17 Oct 2006 00:04:15 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16640 very interesting. thanks for the insights. very interesting. thanks for the insights.

]]> By: Darrel Dawkins http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16639 Darrel Dawkins Mon, 16 Oct 2006 18:01:54 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16639 smart & good looking, how about a visit to Planet Lovetron smart & good looking, how about a visit to Planet Lovetron

]]> By: Krish http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16637 Krish Mon, 16 Oct 2006 12:56:30 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16637 Buyout firms will survive at any time so long as they are good at cherry picking. While being in India, I know the transformation that's happening only too well...! There are enough and more funds sloshing around here even as our market is at its historical peak - just that the difference is that it's only the stocks that constitute the Benchmark indices ( SENSEX and NIFTY ) which are soaring...beneath which there is one helluva' choice for mid cap corporates with attractive valuations. Gerald, if you would like to focus on this part of the world, just get in touch. Buyout firms will survive at any time so long as they are good at cherry picking. While being in India, I know the transformation that’s happening only too well…! There are enough and more funds sloshing around here even as our market is at its historical peak – just that the difference is that it’s only the stocks that constitute the Benchmark indices ( SENSEX and NIFTY ) which are soaring…beneath which there is one helluva’ choice for mid cap corporates with attractive valuations.

Gerald, if you would like to focus on this part of the world, just get in touch.

]]> By: Alexander Muse http://venturebeat.com/2006/10/13/technology-buyouts-come-of-age/comment-page-1/#comment-16632 Alexander Muse Sat, 14 Oct 2006 23:23:39 +0000 http://www.venturebeat.com/contributors/2006/10/14/technology-buyouts-come-of-age/#comment-16632 This story is a bit bigger here in Dallas. Turns out there might be quite a bit more to the story at Sevin Rosen than first came out. Dan Primack is suggesting that they pulled a snow job on the New York Times: http://texasvc.weblogswork.com/2006/10/14/dallas-vc-caught-in-snow-job This story is a bit bigger here in Dallas. Turns out there might be quite a bit more to the story at Sevin Rosen than first came out. Dan Primack is suggesting that they pulled a snow job on the New York Times:

http://texasvc.weblogswork.com/2006/10/14/dallas-vc-caught-in-snow-job

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