'Patient, smart capital tools' entice Paul

Running somebody else's company, in the end, is no match for being part of a creative process that generates a lot of churn.

The "manthan" could lead to obscene profits or losses, but also create new technologies, business models and companies that could change lives for the better or for the worse.

Into this cauldron of turnarounds, leveraged buyouts and re-capitalisations (all at a price), Vivek Paul has taken a plunge, leaving his "best-manager" job as chief executive of Wipro Technologies behind. He helped make it India's third largest exporter of IT services.

On Thursday, Texas Pacific Group (TPG), a private equity company that is investing $5.3 billion right now, its fourth fund, named Paul, partner in its venture funds, "specialising in technology and life sciences."

TPG said in a statement, he will "work closely with the professionals of Texas Pacific Group and its Asian affiliate, Newbridge Capital."

Fort Worth headquartered TPG, a 12 year old venture capital firm, and its "Asian affiliate", Newbridge Capital, manage some $20 billion in capital. Answers.Com, an online portal says, among TPG's prominent deals were the leveraged buyout of Burger King, in July 2002 with Bain Capital and Goldman Sachs Capital Partners, and the Sony Corp. led $2.9 billion acquisition of a media company, Metro Goldwyn Mayer, one of whose subsidiaries was Hollywood's MGM Studios. This sale was completed in April this year, the portal says.

"Global private equity firms represent patient, smart capital pools," Paul said, "and TPG is among the most global of them."

The funds were structured "in a way that allows me to apply my operating experience" to multiple situations - with diversity in industry sectors, investment life cycle and geographic location. "This is an extraordinary opportunity to join forces with a firm that is helping to reshape global business," he said.

William S Price, one of three founding partners of TPG, said, "We have known Vivek for years and admired his spectacular achievements everywhere he has been. As part of discussing interesting opportunities in business services, we learned Vivek was interested in pursuing a career in the private equity and venture business. We both immediately recognised the great fit between his expertise and our investment strategy. With our multiple investment funds, Vivek will be able to leverage his strengths across venture start-ups, leveraged buyouts, growth investment and turnarounds, both in Asia and globally."