U.S. Department of Justice Comes Knocking, Raising Specter of Private Equity Antitrust Concerns

Halloween has come early this October, as the U.S. Department of Justice has raised the somewhat spooky prospect of a federal investigation into possible anticompetitive behavior among U.S. private equity firms. This development certainly is surprising for those who experience first-hand how fiercely competitive the private equity and buyout world can be for deals of all sizes. Nevertheless, the DOJ has sent out requests to some of the industry's largest and most well-known firms, asking that these firms provide information and documents relating to company auctions since 2003.