Sunday, June 9, 2013

Carlyle Group's PEUpont Now Axalta

WSJ reported:

Nascar driver Jeff Gordon is having a difficult year. The four-time winner of Nascar’s premier series championship is stuck in 11th place overall this season and has struggled lately for wins that used to come more frequently.

He is also getting a sort of fresh start with newly re-named sponsor Axalta Coating Systems, formerly the DuPont Performance Coatings division.

After the Carlyle Group, a private equity underwriter (PEU), purchased Dupont I jokingly referred to the company as PEUpont.  Exalted PEU Carlyle didn't go with my suggestion.  It went with Axalta. 

Gordon will debut his car's new look today at Pocono, just days after Carlyle extended its NASCAR deal with Hendrick Motorsports through 2016.  Note the use of PEU lingo in the announcement:

“We have built up so much equity in the No. 24 team over the years and Jeff Gordon is the best spokesperson any company could ask for,” said Nigel Budden, Axalta Coating Systems North America Business Director 

Watch out Hendrick for when they want to monetize their equity.  It's the PEU way.  Carlyle will cash in.  .