Economy research

The private equity market has grown substantially both in Sweden and internationally during the past few years. The growth of the number of private equity firms as well as the increasing number of companies backed by private equity has led to an increased interest in the private equity industry by the general public, media, politicians, labour unions and other stakeholders. The intention of this study is to provide relevant information regarding private equity backed companies and its development to all interested parties/stakeholders.

After a somewhat weak start to the new calendar year, the value of private equity investment in cleantech companies surged by 133 per cent in February to $547m from $235m in January 2010 and significantly improved year-on-year to stand more than three times higher than the $149m recorded in February 2009, according to a report from ZEPHYR and Bureau van Dijk, compiled exclusively for NewNet

The Buyout Track 100 is the only league table of its kind in Britain, ranking private equity-backed companies, rather than private equity deals at entry or exit

Joint IESE-BCG Study Says Private Equity Firms Can Survive Only through Operational Value Creation

The recent financial crisis has resulted in a heightened interest on the part of policy-makers to understand the impact of both traditional financial institutions, such as banks and insurance companies, and alternative investment asset classes, such as private equity and venture capital, on the global economy.

Has private equity reached a crossroads?
This PricewaterhouseCoopers report shows that private equity backed companies, have not only been adversely affected by the recession, but also the burden of debt they are operating under.

The last 18 months have been characterized by an unprecedented financial crisis. The subprime crisis has led to a change in the banking sector that has never been seen before. In particular, debt issuance has decreased substantially while leverage seemed to be available in abundance in early 2007, debt volumes have come down by two thirds since then.

Evidence from New Business Creation
Using a comprehensive database of European firms, we study how private equity affects the rate of firm entry. We find that private equity investment benefits new business incorporation, especially in industries with naturally higher entry rates and R&D intensity.

” The proposed analysis provides neither support for the ‘evil’ nor for the ‘angel’s hypothesis. We could not find strong signs that private equity investments are mainly motivated by the aim to add value. At the same time, we were unable to provide support for the view of PE investors as asset strippers…”, Dörte Höppner, Secretary General, BVK.