A New Start for Browne

Four months after Lord Browne resigned from BP amid public scandal, he's found his way back into the energy business. It's a happy ending to yet another sad story of a talented exec brought down by personal indiscretions: the private equity firm Riverstone is able to snag an energy industry "legend," and Lord Browne can resume his professional life.

Browne resigned as chief executive of BP in May after the Daily Mail newspaper published damaging details about his relationship with a former boyfriend, exposing both Browne and BP to embarrassment and disrepute.

But over his 41 years with the company, Browne built up a formidable reputation in the energy world and is credited with renewing BP's status as a global powerhouse.

In corporate America, as in politics, the chief executive is judged as a whole entity; the corporation is vulnerable to poor personal judgments in the same way it is to poor business ones. Charisma and a clean record matter.

But private equity firms have neither public shareholders nor consumers to worry about. An unblemished personal record matters less, so bargain hunting for an industry phenom with imperfections can make a great addition to the firm.

Browne is quite the catch for Riverstone, which focuses exclusively on the energy and power sectors. He will become a managing director and managing partner of Riverstone Europe, based in the firm's new London office.

In exchange for the new full-time gig, Browne will have to give up his seat on the board of Apax Partners, an advisory position that he's held since 1999. While that private equity firm's reputation trumps Riverstone's, his new post will give him the much-desired opportunity to sink his teeth back into his area of expertise.

by Liz Gunnison