Using Private Equity and Hedge Fund Structures and Strategies to Invest in Distressed Assets - Part II

A continuation of our program in April, this seminar addressed the increasing trend of private equity firms and hedge funds seeking investment opportunities in distressed assets. Realizing value from portfolios of distressed assets can be optimized by the use of appropriate fund structures and through government assistance programs sponsored by the Department of the Treasury, Federal Reserve Bank and FDIC. Our lawyers, who have been actively involved in transactions arising from these new market conditions, shared their experiences and insights on the following topics:

• purchases of portfolios of distressed assets
• the Department of the Treasury’s Public-Private Investment Program
• secondary purchases of private equity/hedge fund partnership interests
• tax rules applicable when purchasing distressed debt
• special tax considerations for non-U.S. investors