Article: AUSTRALIAN LEGISLATORS TO PROBE PRIVATE EQUITY FUNDS.

CANBERRA, March 29 Asia Pulse - Private equity funds are to be the subject of a parliamentary inquiry.

The government today backed Australian Democrats senator Andrew Murray's attempt to have the Senate's economics committee investigate the impact of private equity groups on the economy, particularly any risks they may pose to investors.

Funds like Kohlberg Kravis Roberts, a potential buyer of Coles Group, raise capital with which to take over companies, restructure them and then sell them at a later date.

"Private equity funds are legitimate market participants that add variety and choice to investment vehicles. But Australia has to be aware ...

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