SCO's press release today says:
"About Stephen Norris Partners
Stephen Norris & Co. Capital Partners, L.P. is a private equity investment partnership formed to (i) 'co-invest' alongside well established and successful private equity and leveraged buyout firms, (ii) take advantage of the business experience and relationships of its Investment Committee, including Steve Norris' long-standing relationships and substantial private equity experience."
("The SCO Group Announces Reorganization Plan to Include $100 Million Financing by Stephen Norris Capital Partners", press release dated February 14, 2008)
Stephen Norris & Co. Capital Partners, L.P. (Delaware file #4052355, formed 10/28/2005) has existed for 28 months. As of 15 months into its existence, it had thus far failed to do what it was formed to do:
"Stephen Norris, having been duly sworn, hereby deposes and states:
... 7. In late 2005 in New York, GMG and I formed Stephen Norris & Co. Capital Partners, L.P. (the 'Partnership'). Since its inception, the Partnership has conducted limited or no business operations, including any co-investment transactions.
... DATED this 4th day of January, 2007.
/s/ Stephen Norris"
("Affidavit of Stephen Norris in Support of Defendants' Motion to Dismiss", dkt #9-4, GMG Capital Investments v. Robbins et al, 2:06-cv-00876-TC, D. Utah, filed January 5, 2007)
I've made most of the rest of the filings in that case available at this page: http://scofacts.org/nefomatic-test-GMG-vs-Robbins.html
The case didn't amount to much, but (as Panglozz pointed out) the complaint makes interesting reading. According to GMG:
"17. Norris, a co-founder of one of the most successful private equity investor funds, the Carlyle Group, was a high-flying, connected investor who knew people, could open doors and make introductions (particularly in the cash-flush Middle East with its enormous oil-based wealth), but who nevertheless had been out of the private equity fund management game for ten years after leaving the Carlyle Group in 1995. Norris was eager to get back in the private equity investment community and needed a viable platform from which to launch his comeback. GMG was to serve in that role."
(Amended Complaint at p. 4)
If this paragraph and Norris's own assertions are both correct, then it seems Norris has a big hole in his resume from 1995 through January 2007 during which he had no accomplishments in the private equity game. I wonder if he's accomplished anything in the last 13 months, or if he's hoping for the SCO deal to be his first since '95.
The complaint also has fun allegations like these:
"32. GMG also paid Norris directly or advanced on his behlaf over $1.4 million to cover his lifestyle and expenses.
33. These funds were used to pay, for example, rental payments for apartments in New York City and Florida, reimbursements for Norris' monthly American Express bills (typically $20,000 or more per month), and first-class travel expenses all over the world. These expenses were necessary so that Norris was perceived as a 'player' in the high-stakes, status conscious investment community of the large private equity and buyout funds and of Norris' wealthy contacts in the Middle East."
(Amended Complaint at p. 7-8)
GMG's case was quickly dismissed for lack of federal jurisdiction, because GMG and one of the defendants (Robbins) were both citizens of the same state, Utah. I no longer have an XChange account with the Utah state courts, so I can't easily check whether the case was continued in that forum. Norris had also argued (but Judge Campbell did not reach this issue) that he did not have sufficient contact with the state of Utah to be sued there (the main point of his affidavit was to support that contention). It seems the most likely others places where the case might have been continued in a state court would be New York (where the partnership was formed) or Florida (where Norris resides, in Palm Beach County). I couldn't find anything in the New York Supreme Court (New York's trial-level court) nor in the appellate-level courts in Florida. I didn't check the trial court for Palm Beach County (Florida's 15th Circuit), because it does not have case information online.
