Lee & Stone’s clients benefit from the firm’s experience in sophisticated transactions as well as our understanding of the latest issues and trends

Lee & Stone represents a trio of prominent family offices on structuring matters

Dallas – August/September 2011 – Further underscoring its position as a premier Texas firm counseling family offices on investment advisor and fund related matters, Lee & Stone was engaged by an additional three prominent local family offices to advise them on various issues, including restructuring existing family office organizational arrangements and existing investment partnerships. The family offices called on Lee & Stone given its expertise and reputation in investment advisor work and the new family office rules under Dodd-Frank, as well as its discretion and its responsiveness. Lee & Stone has been told that its active role in shaping the new federal rules relating to family offices resonates with family offices.

Lee & Stone principals make strategic investment in marketing services company

Dallas – August 2011 – In furtherance of the firm's goal to provide additional value to its clients, the principals of Lee & Stone have made a strategic investment in a marketing and public relations consulting business focused exclusively on investment advisors.  Many clients of Lee & Stone have sought its counsel on legal issues in connection with fund marketing, and - in the process - it became clear to the principals of the firm that there was a significant unmet need in providing industry-specific, compliant communications and positioning services to investment advisors.  Additionally, the impending registration of investment advisors to private funds (March 2012) is likely to open up additional avenues for marketing by newly registered investment advisors.  In providing seed capital and regulatory expertise to the firm, Lee & Stone's desire is to support the unique business model of the firm as it grows and to be in a position to offer its targeted clients a broader spectrum of high quality relevant services.  Lee & Stone had prior success with strategic investments in value-added service businesses for its core client base.

Lee & Stone engaged as lead counsel on sale

Dallas – July 2011 – Lee & Stone has been engaged to represent a private equity backed company on the disposition of a non core subsidiary.  Lee & Stone was selected for the ten figure transaction because of its principals' significant mergers & acquisitions experience, as well as its accessibility, creativity and responsiveness.  Like many transactions, Lee & Stone’s counterpart “across the table” was a well known international law firm. The transaction is simply another example of the benefits and strengths of the Lee & Stone model: guide hedge fund and PE managers through the launch process and then provide ongoing support on transactions and related matters over time.

Lee & Stone represents credit manager on fund launch

Dallas/New York – June 2011 – Lee & Stone was engaged to represent a talented emerging investment manager on the launch of new credit focused hedge fund. The manager selected Lee & Stone because of its proven track record and success with fund launches, its experience, its relationships and its responsiveness.  Lee & Stone's work involved all aspects of the fund's launch, including structuring and marketing. Lee & Stone also handled the registration of the investment manager with the State of Texas. The retention represents simply another example of Lee & Stone's franchise in hedge fund launches.

Lee & Stone engaged to represent another local investor on seeding and launch of registered investment manager

Dallas – April 2011 – Lee & Stone has been engaged to represent another leading local investor on the seeding and launch of a registered investment manager. The manager will use a specialized equity based strategy focused on separate accounts. The structure to be implemented will involve sophisticated capital availability and control relationships. Positive reviews of Lee & Stone from other leading local investors, plus Lee & Stone's experience - particularly with respect to seeding and support transactions for investment advisors -- were key reasons for its engagement. As opposed to firms that simply "do investment docs" or handle SEC or state registrations, Lee & Stone – by virtue of its deep deal and financing experience, plus in-house experience with managers themselves – is in a unique position to be able to conceptualize and structure innovative arrangements that balance the needs of investors providing launch capital with the real world needs of investment managers. Leading investors also value the relationships that Lee & Stone brings to the table.

Lee & Stone represents controlling stockholder in Schedule 13e3 transaction

Dallas – March 2011 – Lee & Stone represented a controlling stockholder of a sophisticated, multi-step "take private" transaction. Lee & Stone was selected because of its principals' deep experience with Schedule 13e3 transactions (including its understanding and familiarity with the issues raised by the SEC, which the firm took an active and effective role in responding to), its familiarity with the business of the company, its long standing relationship with the principals and its creativity. Lee & Stone worked closely with an accomplished global law firm on the transaction. The assignment further underscores a number of Lee & Stone's strengths: its ability to handle complex transactional assignments for investment managers, the sophistication of its representation in a small firm setting, its ability to partner effectively with other leading law firms and its strong, results orientation.

Lee & Stone engaged to represent investment advisor on launch of innovative tax-efficient real estate fund structure

Los Angeles – February 2011 – Lee & Stone has been engaged to represent an investment manager on the launch of a fund investing in distressed residential real property in a highly tax-efficient structure. The managers will be using their proprietary deal flow to access attractive residential real estate portfolio opportunities for the fund. The innovative structure leverages Lee & Stone's core strengths: familiarity with sophisticated investment strategies, creativity in fund structuring and experience across the capital structure (capital of the fund will employed as both equity and secured debt). Lee & Stone's experience with both emerging and experienced managers, including the firm's accessibility and its cost-effectiveness, were also key reasons for its selection to assist the manager in this exciting launch.

Lee & Stone engaged as lead counsel on sale of private company

Austin – January 2011 – Lee & Stone has been engaged as lead legal advisor to the majority stockholder in the sale of private equity backed manufacturing business. Lee & Stone was selected because of its principals' mergers & acquisitions experience, strong trust of the client, the firm's familiarity with the business and its overall responsiveness. Lee & Stone is partnering on the transaction with a leading full service international law firm, and is running "point" in structuring and negotiating across the table from a world class New York based international law firm. The assignment underscores the strength and versatility of the Lee & Stone model: representing hedge fund and PE managers on their launch, and providing counsel on significant transactions central to the managers' strategies as the managers grow and mature, including both buy side and exit transactions.

Lee & Stone represents up-and-coming advisor in activist situation

Atlanta – December 2010 - Lee & Stone was engaged by an advisor on an activist project concerning a large public company. Lee & Stone’s experience with shareholder activism, as well as its business orientation and ability to act and respond quickly and effectively, were vital to the client. Like similar engagements, the client was highly discriminating in its choice of counsel, seeking “big firm” counsel in a smaller firm setting. The client was also focused on retaining counsel with a tactical orientation, along with the ability to communicate complex issues to the target’s board, regulators and the marketplace.

Lee & Stone submits comment letter to the SEC regarding family offices

Dallas - November 2010 – Lee & Stone submitted a comment letter to the SEC regarding the family office exemption under Dodd-Frank. On behalf of the Securities Committee of the State Bar of Texas, George Lee of the firm spearheaded efforts to respond the SEC’s proposed rules on the definition of “family offices”. The letter was endorsed by the current and past leadership of the Securities Committee and is available on the SEC’s website at http://www.sec.gov/comments/s7-25-10/s72510-27.pdf. Lee & Stone’s comments underscore the firm’s deep involvement with family offices.

Lee & Stone representing another accomplished manager on fund launch

Austin – October 2010 – Lee & Stone has been engaged to represent another accomplished investment manager on the launch of new hedge fund. The manager selected Lee & Stone because of its proven track record and success with fund launches, and its partner level responsiveness. Lee & Stone's work will involve all aspects of the fund's launch, including the creation of the management company as well as the structuring and marketing of the fund. The retention represents simply another example of Lee & Stone's leading franchise in hedge fund launches.

Lee & Stone engaged by private equity backed companies

Austin, Dallas – October 2010 – In three separate engagements, Lee & Stone is working with a trio of private equity backed technology companies on various corporate matters, including shareholder arrangements, the issuance of new equity and sophisticated contract issues. The respective companies selected Lee & Stone over larger firms because of Lee & Stone's experience with securities and capital structure issues in a private equity or venture capital context, its practical legal advice and its ability to offer partner-level attention at all times. The engagements underscore that Lee & Stone is increasingly a top choice of private equity backed middle market firms for complex corporate assignments.

Lee & Stone engaged as acquisition counsel by industry luminary

New York - September 2010 - Lee & Stone was engaged by a leading figure in the financial services industry to advise on the acquisition of the mutual funds business of a well known public company. Lee & Stone was selected for the engagement because of its experience with investments funds, mergers and acquisitions and shareholder activism. Lee & Stone's highly strategic approach, together with its strong business orientation, was highly attractive to the client, together with the firm's ability to execute quickly and creatively in a fast moving situation. The client indicated that it was highly discriminating in its choice of counsel on this basis and sought "big firm" counsel in a smaller firm setting.

Lee & Stone engaged by leading private client executives

Dallas – September 2010 – Lee & Stone has been engaged to assist experienced private client executives with the launch of their new advisory platform. The executives previously worked at a leading international firm and determined the time was right to create an independent firm leveraging the executives' strong clientele and advisory services. Lee & Stone was selected because of its significant experience in the industry, its sensitivity to "launch" issues, the sophistication of its work and its highly professional approach working with seasoned executives.

Lee & Stone engaged by manager on complex, cross border financing

Dallas - August 2010 - Lee & Stone has been engaged by a Texas-based investment manager to represent it on a complex cross-border structured loan transaction. The manager is providing multi-million dollar financing to a publicly-traded international company with significant intellectual property assets. The loan is collateralized by payments on the company's patent license portfolio, as well as other assets. Lee & Stone was selected for the engagement because of its strong reputation with investment advisors, as well as its significant experience in complex transactional assignments, including structured lending. Lee & Stone's ability to execute quickly and carefully in a fast moving situation was also important to the manager.

Lee & Stone now representing leading third party marketer

New York – August 2010 – Lee & Stone has been engaged to represent a prominent third party marketer on its solicitation arrangements with leading fund group clients. The marketing firm, which had significant experience with leading law firms and other firms that specialize in investment advisor work, identified Lee & Stone, a boutique, as an alternative to New York based law firms. The client's priorities – which it recognized in Lee & Stone - were deep experience in investment management matters, partner-level attention at all times, responsiveness and a strong commercial orientation in its counsel. The retention represents another engagement by marketing professionals and underscores Lee & Stone's significant experience with marketing and capital raising matters for investment advisors.

Lee & Stone engaged by leading manager

Atlanta – August 2010 – Lee & Stone has been engaged to act as regular counsel to a leading regional investment advisor to a hedge fund and managed accounts. The advisor, which previously used a large international law firm, desired the responsiveness of a boutique firm for its day-to-day matters, including but not limited to advice related to compliance matters, marketing and fund raising, SEC filings and specific positions. In addition, since the advisor will be required to register as an investment advisor with the SEC pursuant to the requirements of the recently enacted Dodd-Frank Act, the advisor believed it was paramount to develop a deeper, regular relationship with a firm that specializes in the investment advisor area which would be strongly familiar with its business and organization.

Lee & Stone representing dual registrant

Dallas – July 2010 – Lee & Stone has been engaged to represent the broker dealer and investment advisor arms of a leading professional services firm in structuring its advisory engagements. The principals of the firm sought legal counsel that could provide regular advice on specialized matters for the broker dealer, as well as other corporate matters. The engagement added to the growing list of financial services and investment advisor clients for Lee & Stone, which has rapidly developed market share in the area based on its experience, responsiveness and reputation for high quality work.

Lee & Stone representing investment manager on separation arrangements

Houston – July 2010 – Lee & Stone was engaged to represent a leading investment manager in a split up with the manager's current fund organization. Lee & Stone was selected because of the firm's significant experience in operational and employment matters at leading funds, its deep understanding of rights and obligations in a split-up or wind up context, and its delicacy and discretion in sensitive matters such as the engagement. Like many of Lee & Stone's assignments, a prominent international law firm represented the other side of the transaction, and Lee & Stone worked closely and effectively with the firm.

Lee & Stone representing investment partnership on complex private tender offer

Austin – June 2010 – Lee & Stone is representing a leading fund organization on a complex private tender offer. Lee & Stone has been called on to assist an investment manager and its majority-owned portfolio company in providing liquidity to investors in a synthetic side pocket structure and, in the process, repurchasing economic interests in the portfolio company. Lee & Stone was selected for its deep understanding of specialized investment structures, combined with its creativity, responsiveness and deep experience in acquisition related transactions, including tender offer structures.

Lee & Stone engaged by sub-manager to leading New York quantitative manager

Austin - May 2010 - Lee & Stone has been engaged by a Texas-based investment manager to assist with the establishment of its compliance program. The manager is acting as a sub-advisor for leading New York based investment manager specializing in quantitative strategies. The sub-advisor recently moved to Texas because of the multiple advantages of being located in Texas (including a high quality of life combined with a lower relative cost of living and no state or local income tax). Lee & Stone was selected for the assignment, based on a referral from a leading international law firm, because its expertise in the fund and compliance area, its local presence and its reputation for working with emerging managers

 

Lee & Stone engaged to represent up and coming investment manager on launch of hedge fund

Dallas – May 2010 – Lee & Stone has been engaged to represent an up-and-coming investment manager on the launch of a new hedge fund. The manager has significant fund and investment experience at leading firms, including a prominent local family office. Lee & Stone's experience with young and emerging managers, including its accessibility, its cost-effectiveness and its ability to employ the right architectural balance (i.e., a relatively simple fund structure, with a capacity to grow and adapt as larger institutional capital is raised) was a key reason for its selection to assist the manager in its launch.

 

Lee & Stone representing investment manager on the merger of two hedge funds

Dallas – May 2010 – Lee & Stone is representing a leading investment manager on an innovative transaction involving the merger of two unaffiliated hedge funds.  Lee & Stone was selected because of the firm’s expertise and reputation in investment fund work, combined with its significant transactional and acquisition experience.  This combination of skills sits at the heart of the Lee & Stone value proposition for its growing roster of clients.  Like many of Lee & Stone’s assignments, a prominent international law firm represents the other side of the transaction.

 

Lee & Stone engaged to represent investor/operator in private equity backed recapitalization

Philadelphia – April 2010 – Lee & Stone has been engaged as counsel to a principal investor/operator in the recapitalization of multi-million dollar middle market services company. Other principals in the transaction included prominent private equity and strategic investors with national reputations. Lee & Stone was selected because of the firm's significant experience in similar transactions and its strong commercial orientation, i.e., ability to identify and focus on the key issues of importance to the investors and the firm's sensitivity to a delicate negotiation. The firm achieved a successful outcome for the investor/operator.

Lee & Stone engaged as lead counsel on private equity backed, middle market acquisition

Dallas – April 2010 – Lee & Stone has been engaged as lead legal advisor to a private equity backed manufacturing and design business for the acquisition of a complementary business. Lee & Stone was selected because of its principals' significant mergers & acquisitions experience, its creativity and its reputation for accessibility and responsiveness. The proposed acquisition – at the eight figure level – underscores the strength and versatility of the Lee & Stone model: representing hedge fund and PE managers on their launch, and providing counsel on significant transactions central to the managers' strategies as the managers grow and mature.

 

Lee & Stone completes seed negotiation on behalf of manager being funded by distinguished family office

Dallas – March 2010 – Lee & Stone successfully completed the negotiation of a large seed investment by a distinguished family office in an emerging manager. Lee & Stone sat "across the table" from a leading international law firm representing the seed investor, achieving a strong outcome for the manager. In the process, Lee & Stone demonstrated its specialized understanding of seeding terms and its sensitivity to the complex dynamics of seeding negotiations.

 

Lee & Stone engaged as principal outside legal counsel to manager launching a "fund of managers"

Santa Barbara - March 2010 - Lee & Stone acted as principal legal advisor to another California-based investment manager launching a "fund of managers" (master fund investing in multiple separate accounts, as opposed to pooled funds). Lee & Stone was instrumental in structuring this innovative product, which included multi-class off-shore and on-shore vehicles feeding into dual master funds, which in turn will invest in separate accounts with seasoned managers. Given Lee & Stone's expertise and creativity, Lee & Stone was ideally suited for this cutting-edge assignment. Lee & Stone was also chosen for the work because of its commitment to meet the tight fund launch schedule mandated by a large seed investor, which was achieved.

 

Lee & Stone engaged by investor in Austin based company on debt financing and recapitalization

Austin – February 2010 – Lee & Stone has been engaged by a lead investor in an Austin, Texas based company to represent it on a debt financing and recapitalization transaction. Lee & Stone was selected by the investor because of its experience representing investors in similar transactions; strong trust and rapport with the principals; and the firm's ability to develop creative, highly customized solutions in a complex situation.

 

Lee & Stone engaged by Texas based investment managers to advise on registration and compliance

Dallas - February 2010 - Lee & Stone has been engaged by three Texas-based investment managers to assist with the launch of their investment advisory business, including SEC registration and establishment of a compliance program. The advisor is currently being seeded and preparing for launch. Lee & Stone's experience and growing market share in handling state and federal registration and compliance assignments for emerging managers steered the managers to Lee & Stone.

 

Lee & Stone engaged by highly respected manager to advise on compliance and marketing

Dallas – January 2010 – Further demonstrating that leading individual managers are choosing Lee & Stone, a highly respected Dallas based investment manager with experience at top hedge fund organizations turned to Lee & Stone to assist him on compliance and other launch related work, including legal advice relating to marketing and fund-raising. The manager met with Lee & Stone, immediately recognized its strengths and engaged the firm to provide highly specialized advice in connection with the launch of a new fund.

 

Lee & Stone engaged by leading wealth manager to assess investor rights for fund of funds investment

Dallas - January 2010- Lee & Stone has been engaged to assist a leading Texas based asset management firm to advise on investor rights in an existing fund of funds investment. Lee & Stone's "real world" experience dealing with issues of concern to LPs (including redemption related issues), made it ideally suited to provide thoughtful and practical advice in a complex situation.

 

Lee & Stone engaged by promising young investment managers on launch of new firm focused on separate accounts

Beverly Hills - January 2010- Lee & Stone has been engaged by a trio of California based investment managers to assist with the launch and SEC registration of their investment advisory business, including advice on the structure of their managed account agreements. The advisor will be focusing initially on separate accounts employing various international strategies. Lee & Stone's reputation for working with emerging managers in an accessible, straightforward and cost effective manner, made it the clear choice for these promising young advisors.

 

Lee & Stone engaged by another distinguished family office to assist with formation of new fund of funds

Dallas – December 2009 – Underscoring its growing franchise in working with leading family offices on investment advisory assignments, Lee & Stone was engaged by another well known family office to assist it with the formation of a fund of funds involving outside investors (including a number of other prominent investors). The family office called on Lee & Stone given its expertise and reputation in the area, as well as its responsiveness in a fast moving situation.

 

Lee & Stone engaged by prominent family office to assist with launch of new hedge fund and registration with the SEC

Dallas- November 2009- Lee & Stone has been engaged to assist a portfolio manager for one of Dallas' most prominent family investment offices with the launch of a new hedge fund and registration as an investment adviser with the Securities and Exchange Commission under the Investment Advisers Act of 1940. In addition, Lee & Stone will advise the investment adviser on establishing a compliance program meeting the requirements of the Investment Advisers Act. Lee & Stone was chosen over a number of larger law firms given its reputation for responsiveness, its knowledge of the industry and the consistency of its partner level attention to the engagement.

 

Lee & Stone represents investor in sale of stake in private equity backed company

Miami- November 2009-An investor in a successful private equity backed company was referred to Lee & Stone to advise him on the sale of a minority stake in the company. The principals' strong background in mergers & acquisitions at leading law firms (e.g., Skadden Arps, Akin Gump), was instrumental in the referral and the client's decision to use Lee & Stone. The client's goals included negotiating an optimal price for the client's stake and structuring, in a cost effective manner, the sale to protect the client's interests.

 

Lee & Stone advises another registered investment adviser in connection with offering of interests in out-of-state hedge fund

Dallas-November-2009- A registered investment adviser affiliated with a prominent Dallas based investor engaged Lee & Stone to advise it in connection with raising additional capital for an out-of-state hedge fund managed by the investment adviser. The investment adviser has engaged Lee & Stone to review all offering documents, including the fund's investor presentation, private placement memorandum and subscription documents, as well as the adviser's Form ADV Part II. Lee & Stone will also assist with compliance with Regulation D, including the filing of Form D with the SEC and notice filings with the applicable states.

 

Lee & Stone assists another leading hedge fund adviser on restructuring

Dallas-November 2009- A prominent hedge fund adviser selected the specialized services of Lee & Stone to assist it in restructuring its management company partnership, which includes facilitating the transfer of partnership interests to a new portfolio manager and structuring a complex partnership agreement between two highly seasoned investment professionals. The client recognized that Lee & Stone, given its expertise and familiarity with complex partnership issues in the investment advisory context, was strongly suited to step in and help facilitate this sophisticated transaction.

Lee & Stone advises another leading hedge fund adviser on compliance procedures and conducts onsite mock audit

Dallas- October 2009 - A leading Texas based hedge fund adviser requested that Lee & Stone review and counsel the adviser on its compliance policy and procedures. The fund adviser recognized the critical advantages of using Lee & Stone, as a law firm, to advise on compliance matters, particularly because the attorney-client relationship brings with it -- among other things -- duties of loyalty and confidentiality that are not required of compliance firms not owned by lawyers. In addition, the adviser valued the fact that the managing partners of Lee & Stone are able to give real world compliance advice based on their experience as inside and outside general counsel to leading hedge fund advisers.

 

Lee & Stone advises leading private equity-backed portfolio company on joint venture arrangement and international distribution deal

New York-September 2009- A portfolio company of a prominent New York-based private equity group called on Lee & Stone to advise the company on (1) the creation of a joint venture with another worldwide manufacturer and (2) the structuring of a distribution arrangement with an international supplier. The client expressed strong satisfaction with the speed and responsiveness of Lee & Stone and the principals’ strong familiarity with commercial issues given their in-house experience at leading fund groups.