>Finding Value in a Crowded Market

CONTENTS
China or India: Which Is the Better Long-term
Investment for Private Equity Firms?
The prospects for investment are strong in both China and India, according to Wharton faculty
and industry experts. But the debate over which country is the better venue for investing is
less important than knowing how the strengths and weaknesses of each nation would impact a
specific investment.

The End of Oil? Venture Capital Firms Raise the
Profile of Alternative Energy
Clean technology companies are hoping for blockbuster returns in the capital markets, and venture capital firms are fattening them up with equity infusions in preparation. Will the sector live up to its promise?

‘Early Matters’: Creating Value through
Operations at Portfolio Companies
According to speakers at the 2006 Wharton Private Equity Conference, the most important elements of operational performance are selecting the right management team and driving returns through management incentives, tight monitoring and forward-focused strategies.

Bad News Is Good News: Distressed for Control Investing
2005 was a record year for distressed for control transactions, and Wharton faculty and private
equity experts say “a growing wave” of bankruptcies is on the horizon, leading to what one fund
co-founder calls “an extraordinary market” for distressed for control investors.

Limited Partner Roundtable: Outlook for Private Equity
Four leading limited partners discuss the convergence of private equity and hedge funds, distressed debt, changes in venture capital, and the outlook for general partners.

Case Study in Operations: Eldorado Stone
Graham Partner’s investment in Eldorado Stone is just the kind of situation in which operations oriented firms can thrive, but not without certain risks, say industry experts. One key consideration: timing the exit.

To read the full report: Wharton Private Equity Review