Rougher times

01 February 2008

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The first month of 2008 has been far from uneventful. The most significant event was the sale of MySQL to SUN Microsystems for $1bn (page 26), marking one of Europe's best venture exits. The Nordic region has now placed itself firmly on the map as one of the most prominent venture communities with this and the Skype exit in 2005. However, statistics show that the Nordics are lagging behind the rest of Europe in terms of venture performance (see page 12), but I believe such stellar exits will have positive ring-effect and help to stimulate inspiration, professionalism and optimism among Nordic venture capitalists.

The word 'recession' was used for the first time in January when the public markets saw one of the sharpest drops since 9/11. One broker gave the valuable advice: "Go on a longer cruise in the Caribbean. It is a safer bet than to try to make money on the stock exchanges." It seems like some private equity firms agree, with notable IPOs scrapped recently. Apax cancelled its listing of Tommy Hilfiger and EQT delayed its listing of ISS among others.

I have also been told that the EUR10bn+ privatisation of Danish DONG Energy, and the EUR7bn sale of Vin & Sprit in Sweden are still on the radar for Nordic buyout houses. The scheduled listing of DONG was abandoned in January due to turbulence, and can open up for alternative ownership. At the time of going to press EQT was reported to be in the process of negotiating with the Government about the acquisition of Vin & Sprit.

The unquote brand started the year with a re-launch of our website. This site is a dynamic outlet for the most recent updates on the European private equity market - please visit www.unquote.com to have a look. We have also developed a search engine for private equity called private equity search which is a great tool to use when researching the market. I hope you will all appreciate our enhanced online service.

Yours sincerely,

Linn Ronning, Nordic Editor, unquote"

Tel: +44 20 7484 9824

linn.roenning@incisivemedia.com.