POLITICALLY TIED MEGACORP MAY SELL TEN PERCENT INTEREST TO CHINESE

TOM BAWDEN, TIMES UK - Carlyle Group is in talks to sell up to 9.9 per cent of itself to China's Social Security Fund in a move that would make it the latest American buyout firm to sell a stake in its management company to the Chinese. The talks, which began over the summer, emerged five months after Blackstone Group, a key rival, sold a 10 per cent stake in itself to the Chinese Government and floated on the New York Stock Exchange.

WIKIPEDIA - The Carlyle Group is a Washington, D.C. based global private equity investment firm with more than $75.6 billion of equity capital under management. The firm operates four fund families, focusing on leveraged buyouts, venture & growth capital, real estate and leveraged finance investments. The firm employs more than 515 investment professionals in 21 countries with several offices in North America, South America, Europe, Asia and Australia; its portfolio companies employ more than 286,000 people worldwide. Carlyle has over 1100 investors in 61 countries. . .

Some of the sectors and companies in which it invests are highly sensitive to political activity; indeed, its actions may be viewed as a form of political arbitrage. This may create conflicts of interest when political decision makers have their own personal wealth linked to such investments. Carlyle is the largest private equity firm located in Washington, D.C. - its corporate headquarters are located on Pennsylvania Avenue. . .

In the book House of Bush, House of Saud, author Craig Unger states that Saudi Arabian interests have given $1.4 billion to firms connected to the Bush family. . .

HOW BUSH GOT BOUNCED FROM CARLYLE BOARD