Let the Private Equity Binge Continue

So keeping up with the daily announcements of Private Equity buyouts, Alltel, Inc. today agreed to be purchased by TPG Capital (Goldman Sachs PE arm) for $27.5 billion or $71.50 per share. Look out Sprint, and US Cellular as the U.S. mobile phone industry continues to consolidate and change.

Private equity (PE) is the big thing these days due to historically low interest rates. Typically, these PE companies cut costs by laying off workers, serving salads without dressing and buying pencils without erasers.

What do you think of Private Equity, if you invest or work for PE you probably love it. As for the rest of us time will tell how many of these deals will shake out.

[Photo: NorthernChild]

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