Private equity firms are more financially stable and pose less systemic risk to the global economy than the large investment banks that went defunct during the financial crisis of 2007-2009, finds a new analysis by a financial regulation expert at the School of Law.
As a European-based conglomerate prepares to buy U.S. restaurant chain Panera Bread, a finance professor at Washington University in St. Louis says the move points to the growth of the private equity industry as a viable alternative to the public market.
A private equity acquisition of Jaguar and Land Rover might be the best thing to happen to the companies, according to a professor at the Olin School of Business at Washington University in St. Louis. “The public-equity firms will clean house,” said Anne Marie Knott, associate professor of strategy. “They will find the areas of poor performance and turn them around.”