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How will Sarko make France Attractive to Private Equity

by An American in London Mon May 7th, 2007 at 09:45:09 AM EST

What laws and regulations will have to be changed by Sarko & Co in order for France to be more attractive to private equity?

What sectors dominated by public companies will be reformed in order to allow the public cos. to be either public/private partnerships or taken over by private interests?

What areas of the French economy will benefit the most from private investment?


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There's nothing equitable about Private Equity.

Exactly how would the French economy "benefit" from it?

"The future is already here -- it's just not very evenly distributed" William Gibson

by ChrisCook (cojockathotmaildotcom) on Mon May 7th, 2007 at 09:47:32 AM EST
I didn't say having private equity would be equitable but there are some areas of the French economy which may benefit from private investment.

Its payback time for Sarkozy and his French corporate masters who put him in office, will be demanding their rewards for doing so.

by An American in London on Mon May 7th, 2007 at 09:59:14 AM EST
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It's the second market for the sector in Europe after the UK.

In the long run, we're all dead. John Maynard Keynes
by Jerome a Paris (etg@eurotrib.com) on Mon May 7th, 2007 at 10:13:33 AM EST
Jerome,
What will Sarko have to do to make it the most attractive for private equity? According to my French friend who works for private equity in the City in London; France does not have the amount of private equity cos. and investment banks which permeate the City in London. My French friend says he had to move to London because the opportunities in finance in France were limited.
by An American in London on Mon May 7th, 2007 at 10:18:07 AM EST
[ Parent ]
people take jobs in private equity in the hope of cashing in personally. Typically, they have competence in a sector or an activity, but were getting only a wage, maybe wiht a bonus of some kind. Private equity gives you the possibility to do a very similar job, using the same competences, but letting you keep a slice of the profits you generate - usually the expectation is that you'll be earning several times your salary on top of the usual income.

Beyond the fact that most money to be invested in funds is already managed from London, you have the fact that this functions in English, most often using English law, and that the other players are already in London - that's where the game is.

And of course, for such big amounts of money, tax rates are more favorable in London (although it depends on your family situation: with kids, the calculation is not quite the same).

but essentially, private equity is where people hope to cash in on get-rich-quick schemes - this being driven by the asset price bubble (which means that I think today is not a great time to jump in).

In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (etg@eurotrib.com) on Mon May 7th, 2007 at 10:54:38 AM EST
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