The recent buyout and equity growth tea of JPMorgan Partners, CCMP Capital, has closed with more than $3.4 billion capital committed at first independent fund. Therefore, there are five questions for CCMP CEO and President Stephen Murray.
1. This was the first independent effort by your tea without any diversified independent strategy or JPMorgan that included mezzanine, venture capital, and Latin America. Can you explain the process?
Murray: In the recent past, we’ve been facing questions that we are very neutral. We didn’t know what or track record was. As a matter of fact, the source of our deals was not yet clear. We also relied on the bank on numerous things. For this reason, we underwent considerable discussions. However, we found our ultimate base on strategy, capabilities, and differentiation to achieve the best.
There were many controversial forces against our development as a young company whose father is vast. In the end, the fundraising was successful compared to what we expected. Our good strategy can be shown on the success acquired in the fundraising events that took place last month. CCMP Capital also shows the track record of our proven capability. Moreover, we also did get our deals to the bank. Therefore, our company had no liability.
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2. You say the fundraising had more success than expected. However, you fell short of your target. What is the clarification?
Murray: our earlier debate was about our targets. We discussed whether to have $3.25 billion or $3.5 billion. The bank gave us most of the initial capital in operation. Our target came down because we fell short of time. While this money came out from individual investors, many things affected its yield. Therefore, we have realized that we need a new circle of relationships regarding new numbers.
3. Let me know about your team. Why and when did you take over management from CEO and President Jeffrey Walker?
Murray: I think it all happened at the beginning of the year. We advertised the position on our website. However, there was no one as qualified as I was on this matter.
4. You explained to me that CCMP Capital has an initial plan of hiring operating partners. What is the status of this issue?
Murray: this was a joint decision made by the bank and our company. When we pulled off from the bank, it was made to expire.
5. Any changes involving your banking strategy?
Murray: it is our long-term plan for a company.
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