Saturday, February 14, 2009

Carlyle Group Banks on Obama: From Dry Hole to Gusher

The Carlyle Group couldn't own but a small chunk of a bank, not without having to convert to a bank holding company. With the stroke of a pen, Bush's Fed Chief Ben Bernanke wiped that out. President Barack Obama turned the pen into a drill bit. Private equity underwriters (PEU's) will factor large in Treasury's public-private partnerships to save banks. The nation saw how well private lifeguards worked during Hurricane Katrina.

Bloomberg reported on Carlyle's efforts to raise $3 billion for bank investments. The golden age of private equity is ahead, only they're using taxpayer's gold and government guarantees. Carlyle never liked a level playing field. It remains tilted in the PEU boys favor, with Sarkozy and Quarles about to hit their Santa Rita. Watch out boys, it's raining money! Corporafornication continues.