The holiday season is in full swing and the seasonal greeting cards and videos are filling the airways. Private equity firms are also sending their seasonal messages and Carlyle’s co-chief executive, David Rubenstein, is the star of the firm’s video, with an unlikely rap performance.
The video features David Rubenstein and Carlyle chairman, Daniel D’Aniello performing a rap performance about finance. While D’Aniello drops the beat, Rubenstein delivers a fun rap performance with the following lyrics:
It takes a lot of brains to do what we do,
Looking for a way to make some dough for you.
Energy, commodity, we do it all,
So pick up the phone and give us a call.
Corporate mezzanine, private equity,
Carlyle Group is the place to be.
We’re global, we’re mobile, we’re aiming to please.
Only goal in mind: serve the LPs.
In the end, you’ll also see William Conway Jr., the co-founder of Carlyle, saying, “See what I’ve had to put up with for the last 27 years?”
The Business Message
Perhaps the biggest focus on this fun video is all about the bright red Beats by Dre headphones Rubenstein is wearing. The rapper-cum-businessman, Dr. Dre, who is behind the headphone brand also gets a shout out from the private equity firm executive.
The video is a clear signal towards the success that Beats by Dre has provided the private equity giant. The company, which Apple bought in May, “delivered an 80 percent return” to Carlyle’s initial $500 million investment during the acquisition, according to the Huffington Post.
History of Fun Festive Greetings
This year might have set the bar high when it comes to fun, festive videos, but Carlyle has done this before. Last year the firm’s video greeting featured the executives reminiscing childhood, while reading parts of the book ‘Moneyball’.
A Carlyle spokesperson told the Huffington Post the fun videos are becoming a festive way to celebrate the season. “It’s something of a tradition over the last few years to try to send out something that’s fun,” the spokesperson said.
Analysts Aren’t as Happy over Performance
But not everything is going smoothly for the private equity firm. According to Ticker Report, analysts are constantly fearful the firm is underperforming. Despite the fears, five equities research analysts have recently rated its stock with a buy rating, while four have issued a hold rating and one analyst believes it is time to sell.
Although the firm has received lower expectations from analysts, the latest quarterly report beat all the expectations. Experts were estimating the firm would reach revenue of $660.9 million, but the firm posted results of $755 million.
More importantly, many are unhappy about the way Carlyle has been able to acquire assets in other asset classes, and how it is performing badly in real estate. Bloomberg BusinessWeek reported last week how “one Carlyle European property fund has lost 80 percent in value, and another is barely breaking even.” Investors are especially worried as the real estate operation is currently smaller in size compared to its biggest rivals, the Blackstone Group. Despite the trouble, the festive greeting has put a smile on people’s face, but it is clear investors want more than a cheerful video.