Bulletin: The Carlyle Group L.P. Ratings Unaffected By Corporate Conversion Announcement

NEW YORK (S&P Global Ratings) Aug. 1, 2019--S&P Global Ratings said today that its ratings on The Carlyle Group L.P. (BBB+/Stable/--) are unaffected by the company's announcement that it will convert to a corporation from a partnership. The expected effective date for this conversion is Jan. 1, 2020. Along with the conversion, Carlyle is making several other notable changes. All of its private units and common units will be exchanged for one class of common shares. However, even after this occurs, senior employees will retain control of Carlyle through their majority ownership of the new common shares. Specifically, senior employees will own approximately 60% of the common shares and generally assign their voting rights for up to five years to

...August 1, 2019 NEW YORK (S&P Global Ratings) Aug. 1, 2019--S&P Global Ratings said today that its ratings on The Carlyle Group L.P. (###+/Stable/--) are unaffected by the company's announcement that it will convert to a corporation from a partnership. The expected effective date for this conversion is Jan. 1, 2020. Along with the conversion, Carlyle is making several other notable changes. All of its private units and common units will be exchanged for one class of common shares. However, even after this occurs, senior employees will retain control of Carlyle through their majority ownership of the new common shares. Specifically, senior employees will own approximately 60% of the common shares and generally assign their voting rights for up to five years to the existing general partner. The general partner will exercise those votes as a block. Furthermore, the company is setting a fixed annual dividend of $1 per share, reducing the amount it pays out to equity holders (it declared a distribution...

Bulletin