Sunday, November 8, 2009, 11:17AM ET - U.S. Markets Closed.

Venture Buyout: the Best of Two Troubled Worlds?

Posted Sep 02, 2008 04:56pm EDT by Sarah Lacy in Software and Services, Venture Capital, M and A, IPOs, Recession
Related: ca

Back in 2004, Valley venture capitalists David Helfrich and Terry Garnett embarked on a new way to invest in high tech. They called it "venture buyout" and the idea was the carve out multi-million niches of bloated, over-consolidated corporate computing companies and re-cast them as startups-- only startups with huge revenue streams. Companies weren't buying from startups as much as they used to and too much money was in venture capital, and about this time the private equity market was heating up. But Garnett & Helfrich avoided the private equity fall by eschewing debt and making bets carefully. "Spray and pray" it's not: Its inaugural $350 million fund will only invest in about seven deals.

So far, Garnett & Helfrich has done six deals so far and combined those companies are doing about $500 million in revenue. Is fund number two on the way?

Go to Tech Ticker

4 Comments

Y
Y - Tuesday September 02, 2008 09:40PM EDT

Sarah looks cute in that dress. Sarah can be a movie star indeed if she doesn't flirt with the guests.

report abuse
Joesph
Joesph - Wednesday September 03, 2008 05:02AM EDT

Almost anyone can count the seeds in a watermelon but it takes vision to count the watermelons in a seed.

report abuse
Tom
Tom - Wednesday September 03, 2008 01:24PM EDT

Dude!! He's totally staring at Sarah's chest as he's being introduced!! What an ole' pirate!!

report abuse
valueman
valueman - Wednesday September 03, 2008 03:15PM EDT

Sarah is a hottie. No doubt.

report abuse
Yahoo! reserves the right to refuse, or remove any comment that does not comply with the Yahoo! Terms of Service. The submission of spam, hateful, or obscene messages may result in the termination of your Yahoo! ID.
About Tech Ticker - Send FeedbackDisclaimer. Copyright © 2007 Yahoo! Inc. All rights reserved.
Copyright/IP Policy - Terms of Service - Privacy Policy - Help
Quotes delayed, except where indicated otherwise. Delay times are 15 mins for NASDAQ, NYSE and Amex. See also delay times for other exchanges.

Quotes and other information supplied by independent providers identified on the Yahoo! Finance partner page. Quotes are updated automatically, but will be turned off after 25 minutes of inactivity. Quotes are delayed at least 15 minutes for NASDAQ, NYSE and Amex. See also delay times for other exchanges. Real-Time continuous streaming quotes are available through our premium service. You may turn streaming quotes on or off. Fundamental company data provided by Capital IQ. Financials data provided by Edgar Online. Historical chart data and daily updates provided by Commodity Systems, Inc. (CSI). International historical chart data, daily updates, fund summary, fund performance, dividend data and Morningstar Index data provided by Morningstar, Inc. Analyst estimates data provided by Thomson Financial Network. All data provided by Thomson Financial Network is based solely upon research information provided by third party analysts. Yahoo! has not reviewed, and in no way endorses the validity of such data. Yahoo! and ThomsonFN shall not be liable for any actions taken in reliance thereon. All information provided "as is" for informational purposes only, not intended for trading purposes or advice. Neither Yahoo! nor any of independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. By accessing the Yahoo! site, you agree not to redistribute the information found therein.