FOR
IMMEDIATE RELEASE
December 13, 2005
Robert
L. Johnson and the Carlyle Group to
Form Private Equity Firm Carlyle
Takes Equity Stake to Form New Strategic Alliance
Washington,
D.C. – Robert
L. Johnson, the founder of Black Entertainment Television,
today announced that he has signed a letter of intent
with The Carlyle Group to develop co-investment opportunities,
share private equity deal flow, and execute private equity
deals. The RLJ Companies, Mr. Johnson’s holding
company, through a new private equity firm, plans
to identify and make expansion and buy-out investments
with The Carlyle Group in the media, financial services
and business services industries.
The RLJ Companies
will focus on the execution of controlling investments
in the high end of middle-market companies. All investments will
be long-term in nature and will be managed by one of
the largest teams of African American professionals
in the private equity community. In addition
to participating in co-investment opportunities, The
Carlyle Group will make a seed equity investment in
the firm.
“Our strategic alliance with
The Carlyle Group will provide both parties with access
to a substantial variety of proprietary deal flow. Our
team’s proven operational experience coupled with
Carlyle’s leadership in the private equity community
will make a significant difference in the success of
the companies in which we will invest,” said
Robert L. Johnson, Chairman of the RLJ Companies.
“We
are excited to work together with Bob and The RLJ Companies
on mutual opportunities,” said David M. Rubenstein, Co-founder
and Managing Director of The Carlyle Group. “We
believe that the private equity market is ripe for a
minority-owned and operated organization that has the
team and the sponsor to execute successful private equity
strategies. Bob Johnson will leverage his tremendous
success to achieve our mutual goals.”
Through this strategic
alliance, The RLJ Companies will provide an opportunity
for entrepreneurs to benefit from Bob Johnson’s business success
and experience as the founder of Black Entertainment
Television. Mr. Johnson founded and managed Black
Entertainment Television as its CEO for 25 years and
was the majority owner of the company until 2001, when
he sold it to Viacom Inc. in a $3 billion deal.
About Robert
L. Johnson
Mr. Johnson sold BET to Viacom in 2001 in a $3 billion
transaction. He
currently serves on the boards of Hilton Hotels, Lowe’s Companies, Inc.,
IMG, and Strayer Education, Inc. Other boards include the NBA Board of
Governors, Johns Hopkins University, Board of Governors for the Rock and Roll
Hall of Fame, Jazz at Lincoln Center, and the American Film Institute. Johnson
is a graduate of the University of Illinois and holds a master’s degree
in International Affairs from the Woodrow Wilson School of Public and International
Affairs at Princeton University.
About RLJ Companies
The RLJ
Companies provides
strategic investment and direction in and for a diverse
portfolio of companies in the financial services, real
estate, hospitality/restaurant, professional sports,
film production, gaming and recording industries. An
innovative business network, The RLJ Companies seeks
to target undiscovered or underserved markets, then
exercise solid management and achieve results.
The RLJ Companies’ core
businesses include: RLJ Development, a privately held hotel
real estate investment company, and the RLJ Urban Lodging
Fund with $315 million under management from public
and private pension fund investors, which together make up
more than $800 million in assets under management;
RLJ Hedge Fund of Funds, a joint venture with Deutsche Bank;
Rollover Systems, a financial services company providing
retirement plan rollover services; NBA Charlotte Bobcats,
WNBA Charlotte Sting and Charlotte Arena Operations;
Caribbean Gaming and Entertainment (C.A.G.E.), with
entertainment and nightclub venues in the Caribbean; and
Three Keys Music, a jazz recording company.
About The Carlyle Group
The Carlyle Group is a global
private equity firm with $35 billion
under management. Carlyle invests in
buyouts, venture capital, real estate
and leveraged finance in Asia, Europe
and North America, focusing on aerospace & defense, automotive & transportation,
consumer & retail, energy & power, healthcare,
industrial, technology & business services and telecommunications & media.
Since 1987, the firm has invested $14.9 billion of equity
in 439 transactions for a total purchase price of $51.9
billion. The Carlyle Group employs more than 630 people
in 15 countries. In the aggregate, Carlyle portfolio
companies have more than $30 billion in revenue and employ
more than 131,000 people around the world. Visit www.carlyle.com for
additional information.
Contact:
Ann Walker Marchant
The Walker Marchant Group
202-466-6040
Christopher Ullman
The Carlyle Group
202-729-5399 |
