Brian P. Friedman, President
Mr. Friedman, 58, has served as a director and our President since March 1, 2013.
Mr. Friedman has been a director and executive officer of Jefferies since July 2005, and has been Chairman of the Executive Committee of Jefferies since 2002.
Since 1997, Mr. Friedman has served as President of Jefferies Capital Partners (formerly known as FS Private Investments), a private equity fund management company now controlled by Mr. Friedman in which Jefferies has an ownership interest.
Mr. Friedman was previously employed by Furman Selz LLC and its successors, including serving as Head of Investment Banking and a member of its Management and Operating Committees.
Prior to his 17 years with Furman Selz and its successors, Mr. Friedman was an attorney with the New York City law firm of Wachtell, Lipton, Rosen & Katz.
As a result of his management of various private equity funds and the significant equity positions those funds hold in their portfolio companies, Mr. Friedman serves on several boards of directors of private portfolio companies, and since May 2012 has served on the board of directors of Fiesta Restaurant Group, Inc., a public company that owns and operates two restaurant chains.
Mr. Friedman also serves on the boards of directors of various of our subsidiaries and investee companies.
Mr. Friedman served on the board of the general partner of K-Sea Transportation L.P. from 2004 through 2011, and served on the board of directors of Carrols Restaurant Group from June 2009 through May 2012.
has managerial, transactional and investing experience in a broad range of businesses.
He also has experience serving on the boards of directors of both public and private companies.
and Steinberg, each of the other director nominees is independent of us and our management.
Following the completion of our combination with Jefferies, Mr. Handler became our Chief Executive Officer, Mr. Friedman became our President, and Mr. Steinberg became our Chairman of the Board.
and Steinberg to provide our senior leadership.
operate as a closely paired team as they fulfill their responsibilities.
and Steinberg, acting together, of approval for matters below that threshold.
has invested in three private equity funds managed by companies controlled by Mr. Friedman
, and has acquired interests in the profit participation earned by two management companies that manage these three funds.
These two management companies (“Fund Managers”) serve as the managers of the three private equity funds (“Private Equity Funds”) and have varying profit participations and other interests in those funds.
founded the business of the Fund Managers before he
became associated with Jefferies; and, the Board of Jefferies
approved these arrangements years prior to consummation of our combination with Jefferies
As of December 31, 2013, Jefferies
had committed an aggregate of approximately $146.8 million to the Private Equity Funds and had funded approximately $107.8 million of these commitments and committed an aggregate of $9.8 million to a Fund Manager and had funded approximately $5.8 million of this commitment.
As a result of those investments, commitments and profit participations, Jefferies
received distributions from the Private Equity Funds in fiscal year 2013, of approximately $29.9 million.
Included in the $1.24 billion in total equity committed to funds over which Mr. Friedman
has control are individual investments of certain of our named executive officers.
As a result of their individual commitments, as of December 31, 2013, Mr. Handler, our Chief Executive Officer and one of our directors, had an aggregate interest in the total committed capital in such funds of 0.1% and Mr. Friedman had an aggregate interest of 4.3%.
In addition, Mr. Friedman
has a substantial economic interest in the Fund Managers and, directly and indirectly, in the carried interest paid by the Private Equity Funds.
On September 30, 2010, Jefferies
became the lender to one of the Private Equity Funds managed by companies controlled by Mr. Friedman
, under a credit facility assumed from Bank of America
In fiscal 2013, Jefferies
received $3.1 million in fee income for investment banking and other services performed for companies in which the Private Equity Funds and other funds overseen by Mr. Friedman
During fiscal 2013, $515,627 was paid to Jefferies Finance, LLC
, an entity in which Jefferies
has a 50% ownership interest and shares control with an independent third party, with respect to loans to companies in
which the Private Equity Funds and other funds overseen by Mr. Friedman
As of December 31, 2013, the aggregate principal amount of those loans was $6,409,479.
employs and provides office space for all the Fund Managers’ employees under an arrangement Jefferies entered into with Mr. Friedman
and Jefferies Capital Partners
in 2005 and previously under an agreement entered into in 2001.