Blackstone Group LP and Centerbridge Capital Partners LLC Private-equity firms to fund Iraq War

(Washington DC : Ucs News) With the US congress questioning the conduct of the war, President George W. Bush has asked private-equity firms to takeover. The two firms Blackstone Group LP and Centerbridge Capital Partners LLC have agreed to back the President and the Pentagon for the next 3 years.

In exchange for the 250 billion dollar cash infusion Blackstone Group LP and Centerbridge Capital Partners LLC will receive a 35% equity stake in the middle east nation. According to sources close to the deal the equity firms’ time horizon for a return is no less than 8 years.

Financial leaders are viewing the arraignments with some skepticism, according to critics the debt structure of the deal amounts to little more then a leveraged buyout of a failed state under foreign occupation. Others believe it’s a smart move for the President and the two firms.

Some industry watchers are concerned the two firms can’t handle Iraq and it’s nearly intractable civil and sectarian wars. According to Alan Greenspan, Blackstone Group LP and Centerbridge Capital Partners LLC will need the help of other firms to keep the deal afloat long term. “I can see both Exxon Mobil and the Blackwater Security getting an equity stake in Iraq before the war ends.

As the ink dries on the deal Iraq is wracked by violence and sinks deeper into chaos despite the efforts of investors. For Blackstone Group LP and Centerbridge Capital Partners LLC the war ending IPO seems far away.