The quarterly Capital Briefing helps you keep current on private equity trends and data, including fundraising, acquisitions
exits. It also provides perspectives on the global M&A market, cross-border deal flows, initial public offerings (IPOs) and debt and bond markets.
- Fundraising activity remained strong in 1H18, albeit off last year’s record levels. PE firms have closed 376 funds so far this year with aggregate commitments of US$267.8b.
- Activity was driven by closings from a number of large funds. The average size of PE funds closed in 1H18 increased by 27% versus a year ago.
- Buyout funds remain the most active strategy, accounting for 36% of funds raised in 1H18, followed by real estate (20%) and infrastructure (13%).
- Investment activity grew markedly in 1H18 versus the same period last year, jumping 61% to US$250b across more than 800 deals.
- It was the busiest first half of the year in more than a decade.
- Activity in the Americas grew the most, increasing by 71% versus a year ago, followed by EMEA and Asia-Pacific, where acquisition activity increased by 59% and 42% respectively.
- PE exits have witnessed a modest decline so far this year, with 526 deals valued at US$178b, down 6% from a year ago.
- Declines in exit activity were evident in both M&A and IPOs.
- Overall, PE exits are falling, although secondaries are increasing as PE firms seek ways to deploy dry powder.
- From a regional perspective, while the Americas and EMEA regions saw declines in exits, activity in Asia-Pacific increased substantially.