July 18 A federal judge has allowed investors to
pursue a closely watched lawsuit accusing several of the world's
largest private equity firms of colluding to drive down prices
on companies they sought to buy.
While dismissing two defendants from the case, U.S. District
Judge Edward Harrington in Boston on Thursday said there are
open issues as to whether eight other defendants were part of an
"overarching" conspiracy to drive down prices on roughly a
quarter trillion dollars of takeovers.
Harrington rejected requests by Bain Capital Partners LLC,
Blackstone Group LP, Carlyle Group LP, Goldman
Sachs Group Inc's private equity arm, KKR & Co,
Silver Lake Partners, Thomas H. Lee Partners LP and TPG Capital
Management LP to be dismissed from the lawsuit.
Apollo Global Management LLC and Providence Equity
Partners Inc, in contrast, won dismissal.
The plaintiffs include shareholders in formerly publicly
traded companies that were bought by the private equity firms
between 2003 and 2007.