Daniel S. Loeb put aside discussions
with
Sony Corp. (6758) last night to be the first honoree at the first
gala for
Success Academy Charter Schools.
With a “no counterparty left behind” philosophy, and
feeling “a little bit like Don Fanucci” in “The Godfather,”
as he put it, Loeb, the chief executive officer of Third Point
LLC, rallied impressive support from the financial-services
industry. David Einhorn, Paul Tudor Jones, Rich Handler and John Griffin
were at his table; David Tepper, Paul Singer and Scott Bommer were at
others, all decorated with “Success” pencils.
John Vogelstein, managing
director and senior adviser at Warburg Pincus LLC, and Daniel S. Loeb,
CEO of Third Point LLC. Vogelstein gave Loeb one of his first jobs in
finance. Photographer: Amanda Gordon/Bloomberg
Eva Moskowitz, Success Academy
founder and CEO, David Saltzman, executive director of Robin Hood
Foundation, and Campbell Brown, a journalist. Photographer: Amanda
Gordon/Bloomberg
New Jersey Governor Chris
Christie, right, arrives at the lectern to deliver the keynote speech,
greeting Daniel S. Loeb, CEO of Third Point LLC. Photographer: Amanda
Gordon/Bloomberg
David Einhorn, president of Greenlight Capital Inc. Photographer: Amanda Gordon/Bloomberg
A screen brings the classroom to
the ballroom at the first fundraiser of the Success Academy Charter
Schools. Photographer: Amanda Gordon/Bloomberg
Margaret Loeb and Merryl Tisch, chancellor of the New York State Board of Regents. Photographer: Amanda Gordon/Bloomberg
Regina Scully, CEO of Artemis
Rising Foundation, and John Scully, co-founder of SPO Partners & Co.
Photographer: Amanda Gordon/Bloomberg
Richard Pzena, CEO, Pzena
Investment Management Inc., David Tepper, CEO of Appaloosa Management
LP, and Shahryar Mahbub, a managing director at Citigroup Inc.
Photographer: Amanda Gordon/Bloomberg
John Petry, of Sessa Capital, a
co-chairman of the Success Academy network board, and Karen Petry.
Photographer: Amanda Gordon/Bloomberg
John Griffin, president and
founder of Blue Ridge Capital LLC, Allison Mignone, and Roberto Mignone,
portfolio manager at Bridger Management LLC. All three worked together
when Griffin started Blue Ridge. Photographer: Amanda Gordon/Bloomberg
Shane Handler, a college student,
and Rich Handler, chairman and CEO of Jefferies Group LLC.
Photographer: Amanda Gordon/Bloomberg
“Success is a completely disruptive business model,” Loeb
said in the ballroom of the Mandarin Oriental. “Not only does
your money go to changing kids’ lives, but if we really succeed,
we’ll set a higher bar for all schools to meet.”
The Success model includes teachers whose intensity is a
mix of Internet startup and trading desk, and a vast amount of
training, maniacal attention to data and replicable processes,
Loeb said.
“It’s the Google of charter schools. We’re growing faster,
it’s logarithmic,” he added, saying that 11,500 students will
be enrolled in two years, up from 7,000 in August.
Loeb and his wife, Margaret, have founded three Success
schools in
Brooklyn and he is a trustee of the Success Academy
Network board. Initially sparked by a screening of the
documentary “Waiting for ’Superman,’” Loeb has confidence in
Eva Moskowitz, founder and CEO of Success Academy, whom he
called a “kindred spirit, my long lost sister.”
Big Change
An activist like him, she joked that she liked his
“fiery” comments before she knew he was known for them. “Dan
has a unique way of urgently pressing for big change, but always
thinking about our kids and how to support them,” said
Moskowitz, onetime New York City council member.
Loeb, who sat next to former Florida governor Jeb Bush and
Merryl Tisch, chancellor of the New York State Board of Regents,
introduced the keynote speaker, New Jersey Governor Chris Christie.
Education “is more important than any other domestic issue
in our country we’re discussing today,” Christie said. “If we
don’t get this right, we won’t have the next generation of
entrepreneurs” creating “a middle class that’s the envy of the
world.”
Besting Scarsdale
Success Academy opened its first school in Harlem seven
years ago. In August it will have 23 elementary and middle
schools in New York City, each located in unused spaces in
public schools.
According to Success Academy, by their third year the
schools operate solely with public funding for each pupil. In
state tests, the schools have outperformed ones in Scarsdale, an
affluent New York suburb.
The gala program began with students from the Tufts and MIT
class of 2022 introducing themselves (they’re currently at
Success Academy Harlem West). Loeb spoke of his favorite high-school teacher. “I still cherish her nickname for me,” -- Milo
Minderbinder, from “Catch-22” -- “in honor of my capitalist
interests even back then.”
At “recess,” waiters served salmon. Afterward guests
convened outside the ballroom for milk and cookies.
The event raised $7 million including a $1 million gift
from the Robin Hood Foundation and a Loeb-family contribution of
$3 million. Most of the money will go toward startup costs of
new schools in the network.
(Amanda Gordon is a writer and photographer for Muse, the
arts and leisure section of Bloomberg News. Any opinions
expressed are her own.)
To contact the writer on this story:
Amanda Gordon in New York at
agordon01@bloomberg.net
or on Twitter at @amandagordon.
To contact the editor responsible for this story:
Manuela Hoelterhoff at
mhoelterhoff@bloomberg.net.