McDermott Comment: BVCA Letter to the FT on Support Schemes for Private Equity-Backed Companies
Tom Whelan, partner at law firm McDermott Will & Emery, said:
“I was pleased to see the BVCA respond in such a measured and positive way to the FT article.
The BVCA rightly points out that the private equity industry is playing its part in ensuring that private equity backed businesses survive the crisis intact as far as possible, and whether with or without the help of government. In fact, private equity has a good track record of surviving and building successful businesses during previous recessions and crises without government handouts, and expects to maintain this track record during the current crisis. I don’t believe that the private equity industry is generally sticking out a begging bowl for government loans, and so far most private equity backed businesses have survived the current crisis without access to such loans generally.”