| Lionel Pincus | |
|---|---|
| Born | Lionel I. Pincus March 2, 1931 Philadelphia, Pennsylvania |
| Died | October 10, 2009 (aged 78) |
| Alma mater | University of Pennsylvania Columbia University (M.B.A.) |
| Occupation | finance executive, venture capitalist, and entrepreneur |
| Spouse | Suzanne Storrs |
| Children | Henry Pincus Matthew Pincus |
| Parents | Henry Pincus Theresa Celia Levit Pincus |
Lionel I. Pincus (2 March 1931 - 10 October 2009)[1][2] was an American finance executive, venture capitalist, and entrepreneur. He was the founder of the private equity firm Warburg Pincus, running it from 1966 to 2002,[3][4][5] and later became the chairman emeritus of the company.[1]
Contents |
Pincus was born 2 March 1931 in Philadelphia, Pennsylvania, the son of Henry (d. 1949)[6] and Theresa Celia (née Levit, d.1982)[7] Pincus.[1] His grandparents were Jewish[8] immigrants from Russia and Poland.[9] He graduated from the University of Pennsylvania with a Bachelor of Arts degree in English in 1953.[1][10] His family had apparel retailing and real estate businesses; rather than join those businesses, he pursued an MBA at Columbia Business School, graduating in 1956.[1][11]
Pincus joined Ladenburg Thalmann, an investment banking firm, in 1955, and became a partner in the firm at age 29.[9] He formed Lionel I. Pincus & Co., Inc., a financial consultancy, in 1964.[1][11][12] The following year, he joined the board of directors of E.M. Warburg & Co., founded in 1939 by Eric Warburg, and in 1966, the two firms merged.[9][12] The company was renamed to E.M. Warburg Pincus in 1970,[9] and to Warburg Pincus LLC in 2001.[13]
Pincus is a "pioneer of the venture capital megafund",[11] raising billions of dollars to invest in companies across industries. The money he raised came from, among other sources, blue chip pension funds, such as AT&T, IBM, GE, Pacific Telesis, and GM, state pension funds, and college endowments.[9][11][14]
An early venture capital fund, EMW Associates, was organized by Pincus in 1970, with $20 million in capital, about half of which came from officers of the company.[15] This was followed by successively larger funds; a $2 billion fund organized by Warburg Pincus in 1989 was described as "five times larger than any other venture partnership".[16] A later fund, closed in 2000, raised $2.5 billion, and was then described as the "biggest so far in the private-equity industry".[17] The tenth and final fund raised while Pincus headed the company raised over $5.3 billion, closing in 2002.[3][18][19]
Early investments included 20th Century Fox, Humana, and Warner, a company later acquired by Waste Management, Inc.[17] In 1984, Warburg Pincus invested in Mattel, and Pincus joined its board of directors.[20] By 2002, when Pincus ended his tenure as the hands-on leader of the company, it had overseen investments of more than $13 billion in over 450 companies in 29 countries.[18][19]
In 1999, Warburg Pincus sold its asset management division to Credit Suisse for $650 million, which also acquired an interest in the private equity division of Warburg Pincus.[21]
Pincus supported several philanthropic activities, including a $10 million donation to Columbia in 1995. He was a trustee of the university at the time.[22] In 2005, the New York Public Library renovated its main map room, principally financed and endowed by Pincus and Princess Firyal of Jordan. The renovation cost $5 million and was also financially supported by the City of New York and the U.S. Government. The division was renamed The Lionel Pincus and Princess Firyal Map Division.[23] He was recognized in 2002 for having donated more than $5 million to the Library.[24]
Pincus married the former Suzanne Storrs, a former Miss Utah winner and actress, in 1967.[9][25][26] They had two sons, Henry and Matthew. She died in 1995 at the age of 60, after a long illness.[27]
Following cancer surgery in 2006, Pincus was declared mentally and physically incompetent, and his sons became his guardians. In 2008, his 14-room, 7,000-square-foot (650 m2) apartment at The Pierre hotel was offered for sale, over the objections of Princess Firyal, his long-time companion. The asking price at the time was $50 million.[28]
|
|||||||||||||