Galway Partners, L.L.C. Announces Closing of Taiwan Mezzanine Fund I, L.P.

WASHINGTON--(BUSINESS WIRE)--Oct. 2, 1997--

Fund Targets $32 Million for Investment

in Private Companies in Taiwan 

Galway Partners, L.L.C., announced the closing of the Taiwan Mezzanine Fund I L.P. (TMFI), a $31.9 million Fund that will invest in private high-tech manufacturing companies in Taiwan.

Galway, an investment and merchant bank based in Washington, is the Fund's principal U.S. sponsor.

The Fund's strategy is to invest in private Taiwanese companies that are expected to become publicly listed within three to five years of investment. The Fund attracted almost $22 million from U.S. investors, and an additional $10 million from investors in Taiwan. The U.S. investors include a major university endowment, a large international corporation, an international hedge fund, and individual investors. The Taiwan investors include major Taiwanese corporations, and individuals who are executives of major corporations.

The principal partners of the U.S. sponsor, United States Managers Group, L.L.C., include Galway Partners, L.L.C., Landon Butler and Co., ONYX International, LLC, and Williamson Associates Inc.

Ruff Fant, chairman, Galway Partners, said: "Taiwan has created an on-going economic miracle through a motivated and highly educated work force and a successful blend of careful regulations with the pro-business policies of its government. The combination of a rapidly growing middle class anxious to participate in this miracle and rapidly growing private companies has created a robust public stock market with the world's sixth highest trading volume."

The Fund will be managed by TMF Manco Inc., a team composed of the Fund's U.S. sponsors and the local Taiwanese sponsor, Taiwan International Securities Corp. (TISC), a full service securities firm and one of Taiwan's leading underwriters. The Fund's day to day operations will be guided by Taiwan International Securities, Limited (TISL), a TISC affiliate.

"Given its prominence in the Taiwan business community, our local investment advisor TISL has access to an excellent deal flow of late stage private companies. We are pleased to have the opportunity to work with this fine organization," Fant said.

Senator Pen-Tsao Chang, TISC's founder and honorary chairman, said, "We are delighted to have a distinguished group of U.S. investors join us in the creation of TMFI and we are fully committed to making this fund successful." -0- Note to Editors: Galway Partners is an investment and merchant bank based in Washington, D.C. The firm's objective is to create value by creating opportunities to develop equity positions in growth companies.

CONTACT: Galway Partners L.L.C., Washington

Ruff Fant, 202/824-6050