J.C. Flowers & Co. is an American

private equity In the field of finance, the term private equity (PE) refers to investment funds, usually limited partnerships (LP), which buy and restructure financially weak companies that produce goods and provide services. A private-equity fund is both a ty ...

investment firm, focused on investments in the

financial services Financial services are the Service (economics), economic services provided by the finance industry, which encompasses a broad range of businesses that manage money, including credit unions, banks, credit-card companies, insurance companies, acco ...

sector. The firm, founded in 2001, is based in

New York City New York, often called New York City or NYC, is the List of United States cities by population, most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the L ...

and run by billionaire J. Christopher Flowers, a former

Goldman Sachs Goldman Sachs () is an American multinational investment bank and financial services company. Founded in 1869, Goldman Sachs is headquartered at 200 West Street in Lower Manhattan, with regional headquarters in London, Warsaw, Bangalore, H ...

partner. As of 2017, the firm had invested more than $15 billion in capital. JC Flowers manages two

private equity fund A private equity fund (abbreviated as PE fund) is a collective investment scheme used for making investments in various equity (and to a lesser extent debt) securities according to one of the investment strategies associated with private equity ...

s, J.C. Flowers I LP, closed in 2002 with $900 million of committed capital, and J.C. Flowers II LP, closed in 2006 with $7.0 billion of committed capital. Both funds are focused exclusively on the

sector. JC Flowers in Europe is led by its managing director, David Morgan.

Investments

JC Flowers' most notable investments include such

companies as: * Chi-X Australia along with Chi-X Japan and Chi-Tech Hong Kong * Enstar Group *

Shinsei Bank is a leading diversified Japanese financial institution that provides a full range of financial products and services to both institutional and individual customers. It is owned by SBI Group and headquartered in Chuo, Tokyo. History SBI Shinsei ...

* NIBC Bank N.V. * Hypo Real Estate Group (Germany) (formerly 24.9%) * First Bank (Romania) (76.1%) * HSH Nordbank (Germany) (26.6%) * Fox-Pitt Kelton Cochran Caronia Waller * Equita Sim (Italy) (50,01%) * Eurovita (Italy) (78,19%) *

MF Global MF Global, formerly known as Man Financial, was a major global financial derivatives broker, or commodities brokerage firm that went bankrupt in 2011. MF Global provided exchange-traded derivatives, such as futures and options as well as over-t ...

(US) (6.8%) * One Savings Bank (UK) - Specialist Mortgage Lender

Other notable activity

JC Flowers has also been active in a number of high-profile contemplated transactions that did not occur. In mid-2007, an investor group led by JC Flowers signed an agreement to purchase Sallie Mae for approximately $25 billion (USD), giving JC Flowers and

Friedman Fleischer & Lowe FFL Partners, LLC, previously known as Friedman Fleischer & Lowe, is an American private equity firm, founded in 1997 by Tully Friedman, Spencer Fleischer, David Lowe, and Christopher Masto. The firm makes investments primarily through leveraged ...

50.2 percent of the company. This deal fell through, however. In late 2007, JC Flowers was one of the many companies bidding for the troubled British Bank, Northern Rock. They pulled out of the bidding in December. On January 21, 2008, JC Flowers made an informal bid of £4bn for

Friends Provident Friends’ Provident Insurance was a banking institution founded in 1832 to serve the needs of the Society of Friends (Quakers). Based in Bradford, it concentrated on sickness and annuity policies until its life fund acquired Century Insurance ...

. A revised bid of £3.5 billion was rejected. On March 14, 2008, JC Flowers was reported to be in talks to buy troubled US investment bank

Bear Stearns The Bear Stearns Companies, Inc. was a New York-based global investment bank, securities trading and brokerage firm that failed in 2008 as part of the global financial crisis and recession, and was subsequently sold to JPMorgan Chase. The compa ...

. On April 16, 2008, JC Flowers issued an offer to buy 24.9% of the shares of Hypo Real Estate Group at a price of €22.50 per share. At the end of 2006, JC Flowers purchased a company called PanEuroLife in Luxembourg and started to build the NewPELGroup. In July 2010 JC Flowers announced its intention to purchase a stake in the UK's Kent Reliance Building Society and this deal was completed on 1 February 2011 with the formation of OneSavings Bank Plc. In December 2012 JC Flowers was reported to have submitted a non-binding first-round bid for the 316 branches being re-auctioned by

The Royal Bank of Scotland Group NatWest Group plc is a British banking and insurance holding company, based in Edinburgh, Scotland. The group operates a wide variety of banking brands offering personal and business banking, private banking, investment banking, insurance and ...

. In July 2013, JC Flowers agreed to buy £450 million of loans belonging to struggling British bank Northern Rock. In October 2016, JC Flowers aided the acquisition of retail stockbroker TD Direct Investing Europe by a smaller rival

Interactive Investor interactive investor is a subscription-based online investment service in the United Kingdom, founded in 1995. It provides financial information, as well as investment tools. It is the UK's biggest flat-fee investment platform, with () £59 bill ...

to create the United Kingdom's second-biggest online fund supermarket. In May 2017, JC Flowers completed the acquisition of the insurance company UK General for an undisclosed sum.

References

External links

* {{DEFAULTSORT:Jc Flowers Private equity firms of the United States Financial services companies established in 2001 Privately held companies based in New York (state) 2001 establishments in New York City