private companies have been a major source of innovation and an engine
of growth in both the Illinois and US economies. In the 1980s, the
rapidly expanding private equity industry, with early roots in Chicago,
provided both financing and leadership to developing organizations.
of the creative innovation in the world economy in the areas of technology
and medicine has been made possible because of private equity involvement.
The industry has also played a key role in the reshaping of the US
economy through participation in major leveraged buyouts and restructurings.
its critical role as a source of risk financing for new businesses
and its crucial impact on the US economy, academic research and training
in private equity have been limited. The Office for the Study of
Private Equity and Entrepreneurial Finance addresses these limitations
and training of students for careers in the industry
and education to enhance knowledge of the evolution and growth
of the private equity industry and its impact on global capital
markets, entrepreneurship, and economic development
and seminars fostering interaction between academic researchers
and industry professionals
was established in honor of private equity industry pioneer Stanley
Golder, a graduate of the College of Business at the University of
Illinois at Urbana-Champaign. With sufficient support from an endowment,
the office is expected to be designated as the Stanley Golder Center
for Private Equity some time in 2004.
Young Professionals. The office collaborates with
industry professionals to develop a curriculum and programs to
prepare students to work in private equity and finance.
- A new
case-based graduate class engages students with academic and practical
knowledge on private equity and capital markets. Practitioners supplement
the class presentations with lecturers on such topics as structuring,
fund-raising, valuation, and exit strategies.
Research and Knowledge Development. The office provides funding
for research that broadens our understanding of entrepreneurship, transformational
management, management incentives, corporate governance, and corporate control.
Risk Measurement for Private Equity Investments
Neil Pearson, Associate Professor of Finance, University of Illinois
Private Equity and Small Firm Finance: The Legal System is
a Determinant of Firm Capital Structure
Stefan Krasa, Professor of Economics, and Anne Villamil, Professor
of Economics, University of Illinois
Forum. Conferences and seminars are opportunities
to bring together academics and industry practitioners for
cross-fertilization of ideas
and perspectives, crucial in a field of nascent study.
A 2003 conference on private equity, co-sponsored by the University
of Chicago, provides a forum to discuss key issues facing the private
equity industry. Topics include historical private equity returns
and liquidity discounts of private companies.
Office for the Study of Private Equity and Entrepreneurial Finance
340 Wohlers Hall
1206 South Sixth Street
Champaign, IL 61820
Fostering a deeper understanding of private equity and
entrepreneurial finance through research, education and outreach to
industry and society.
the pioneers of the modern private equity industry, Stanley Golder,
'51 Economics, had an influential role in the industry's evolution
into a sophisticated, dynamic, and critical segment of the capital
He began his career at First Chicago and entered the private equity field in
the early 1960s as a senior executive at First Chicago Capital Corporation. In
1980, he formed Golder, Thomas and Cressey, a $60-million fund that has evolved
into GTCR Golder Rauner, a firm that today manages in excess of $4 billion of
Stanley Golder was an active teacher and mentor, frequently lecturing at the
University and other institutions. Golder, along with his wife, Joan ('53 English),
was a generous benefactor of the College of Business, endowing a Chair in Finance