From the NYT:
Deals like Hostess have helped make the men running the six largest publicly traded private equity firms collectively the highest-earning executives of any major American industry, according to a joint study that The Times conducted with Equilar, a board and executive data provider. The study covered thousands of publicly traded companies; privately held corporations do not report such data.
The oxymoronic concept of the publicly traded private equity firm is one of the funnier ones in the world of high finance. A talking point of the private equity business is that being publicly traded degrades the efficiency and corrupts firms: The executives should use their help to take their publicly traded companies private!
But many of the most lucrative private equity firms have themselves gone public, yet continue to lavishly pay their CEOs.
For example, Stephen A. Schwarzman of the Blackstone Group paid himself $800 million last year. Blackstone went public in 2007.
You can’t say they didn’t warn you.
P.S. Here’s Michael Kinsley on the private equity game in 2007.