Alltel’s new owners have wireless experience

TPG, formerly Texas Pacific Group, was founded in 1992 and manages more than $30 billion in capital, spread across private equity, venture capital and public equity/debt investing. The company describes its investment philosophy as “[creating] value by investing in change-change created by industry trends, economic cycles or specific company circumstances.”
Some of TPG’s investments include participation in the $4.9 billion buyout of Metro-Goldwyn-Mayer Inc. and the $5.1 billion buyout of Nieman Marcus Group. The company bought the third largest Greek wireless operator, TIM Hellas Telecommunications S.A. in 2005 in partnership with PE firm Apax Partners, and later added the fourth-largest Greek operator in 2006. The companies sold their Green operators earlier this year to Weather Investments SA. TPG also paid $1.6 billion in 1999 for Motorola Inc.’s semiconductor components division.
GS Capital Partners explains its investment goals as “long-term capital appreciation by committing equity to high-quality companies with superior management in a variety of situations, including [leveraged buyouts], recapitalizations and growth investments to fund acquisition or expansion.”
Goldman Sachs started the GS Capital Partners funds in 1991 and recently closed on its sixth GS Capital Partners private equity fund with $20 billion in committed capital. Some of the GS Capital Partners investments include participation in the acquisition of private post-secondary education provider Education Management Corp. for $3.4 billion and in the pending $8 billion purchase of stereo and audio equipment manufacturer Harman International Industries Inc. The company also had investments in the former VoiceStream Wireless Corp. (predecessor to T-Mobile USA Inc.) and Western Wireless Corp. (now a part of Alltel Corp.)