Private equity lawyers are concerned that they are not
getting access to the information they require. One-third of
specialists questioned at IFLR's Private Equity Forum last
month identified a lack of information as their chief anxiety.
This applied equally to lawyers undertaking new transactions
and those attempting to restructure existing positions.
A theme of distress unites the two. With many of the most
attractive opportunities for private equity currently in
trouble, lawyers are having to do more rigorous due diligence
to mitigate the risk of fraud and the impact that would have on
the profitability of an investment. As one lawyer comments:
"Nothing destroys value like a corruption case hitting the
Pay your dues However, as another laments: "Due diligence
depends on the quality of information provided. You have to
start from the position that there is a fraud to uncover and
then decide how much pressure...