Blum Capital
Encyclopedia
Blum Capital is a private equity
firm focused on leveraged buyout
, growth capital
and PIPE
investments in small cap and middle-market companies across a range of industries. The firm is known for pioneering a hybrid private equity / strategic block investment strategy in public companies.
The firm, which is based in San Francisco, was founded in 1975 by Richard C. Blum
. The firm has raised approximately $4.5 billion since inception across four institutional
private equity fund
s raised since 1998.
worked at Sutro & Co. an investment management
and brokerage firm founded in 1858. While at Sutro, Blum led a partnership that acquired the struggling Ringling Bros. and Barnum & Bailey Circus
in 1967 for $8 million and sold it to Mattel Inc. for $40 million just four years later.
Among Blum Capital's most notable investments have been Fair Isaac
, Lenovo, DHL Airways and CB Richard Ellis
.
In 1994, Blum Capital entered into a joint venture, Newbridge Capital, with Texas Pacific Group
and Acon Investments to invest in Asia and Latin America.
Private equity
Private equity, in finance, is an asset class consisting of equity securities in operating companies that are not publicly traded on a stock exchange....
firm focused on leveraged buyout
Leveraged buyout
A leveraged buyout occurs when an investor, typically financial sponsor, acquires a controlling interest in a company's equity and where a significant percentage of the purchase price is financed through leverage...
, growth capital
Growth capital
Growth capital is a type of private equity investment, most often a minority investment, in relatively mature companies that are looking for capital to expand or restructure operations, enter new markets or finance a significant acquisition without a change of control of the business.Companies...
and PIPE
Private investment in public equity
A private investment in public equity, often called a PIPE deal, involves the selling of publicly traded common shares or some form of preferred stock or convertible security to private investors. In the U.S...
investments in small cap and middle-market companies across a range of industries. The firm is known for pioneering a hybrid private equity / strategic block investment strategy in public companies.
The firm, which is based in San Francisco, was founded in 1975 by Richard C. Blum
Richard C. Blum
Richard C. Blum is an investment banker and the husband of United States Senator from California Dianne Feinstein. He is the Chairman and President of Blum Capital, an equity investment management firm that acts as general partner for various investment partnerships and provides investment...
. The firm has raised approximately $4.5 billion since inception across four institutional
Institutional investor
Institutional investors are organizations which pool large sums of money and invest those sums in securities, real property and other investment assets...
private equity fund
Private equity fund
A private equity fund is a collective investment scheme used for making investments in various equity securities according to one of the investment strategies associated with private equity....
s raised since 1998.
History
Prior to founding Blum Capital, Richard C. BlumRichard C. Blum
Richard C. Blum is an investment banker and the husband of United States Senator from California Dianne Feinstein. He is the Chairman and President of Blum Capital, an equity investment management firm that acts as general partner for various investment partnerships and provides investment...
worked at Sutro & Co. an investment management
Investment management
Investment management is the professional management of various securities and assets in order to meet specified investment goals for the benefit of the investors...
and brokerage firm founded in 1858. While at Sutro, Blum led a partnership that acquired the struggling Ringling Bros. and Barnum & Bailey Circus
Ringling Bros. and Barnum & Bailey Circus
Ringling Bros. and Barnum & Bailey Circus is an American circus company. The company was started when the circus created by James Anthony Bailey and P. T. Barnum was merged with the Ringling Brothers Circus. The Ringling brothers purchased the Barnum & Bailey Circus in 1907, but ran the circuses...
in 1967 for $8 million and sold it to Mattel Inc. for $40 million just four years later.
Among Blum Capital's most notable investments have been Fair Isaac
Fair Isaac
Fair Isaac Corporation is a public company that provides analytics and decision making services—including credit scoring—intended to help financial services companies make complex, high-volume decisions.- History :...
, Lenovo, DHL Airways and CB Richard Ellis
CB Richard Ellis
CBRE Group, Inc. , a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services firm . The Company has approximately 31,000 employees , and serves real estate owners, investors and occupiers through more than 300 offices worldwide...
.
In 1994, Blum Capital entered into a joint venture, Newbridge Capital, with Texas Pacific Group
Texas Pacific Group
TPG Capital is one of the largest private equity investment firms globally, focused on leveraged buyout, growth capital and leveraged recapitalization investments in distressed companies and turnaround situations. TPG also manages investment funds specializing in growth capital, venture capital,...
and Acon Investments to invest in Asia and Latin America.
External links
- Blum Capital (company website)