Private Equity Investment Volume Remains Strong in Q1 2015

WASHINGTON – Private equity investment volume remained strong in Q1 despite a seasonal slowdown in overall private equity activity, according to the Private Equity Growth Capital Council’s (PEGCC)…

WASHINGTON – Private equity investment volume remained strong in Q1 despite a seasonal slowdown in overall private equity activity, according to the Private Equity Growth Capital Council’s (PEGCC) Trends Report for the first quarter of 2015. Investment volume for Q1 was $116 billion, the second highest level for first quarter reporting since 2009.

“Following a record-breaking fourth quarter in 2014, PE investment deal volume remains strong,” said Steve Judge, President and CEO of the PEGCC. “The industry is poised to continue to act on opportunities to help grow our economy and create jobs through investments in businesses.”

The report also found that:

-Callable capital reserves increased from $431 billion in December 2014 to $466 billion.

-The total percent of equity financing for leveraged buyouts remained at 42 percent.

-Even with a decrease in exit volume to $65 billion, the first quarter numbers still outpaced seven of the last nine first quarter reports since 2005.

“We usually see a seasonal slowdown in private equity activity in the first quarter,” said Bronwyn Bailey, Vice President of Research at the PEGCC. “For 2015, that trend has been tempered by stronger deal and exit volume than in previous first quarters.”

Released each quarter, the PEGCC’s Trends Report provides an analysis of key factors impacting private equity industry activity in the U.S. The full report can be found here.

About the PEGCC Private Equity Trends Report

Designed to provide a snapshot of the private equity market, the quarterly Private Equity Trends Report analyzes key factors that affect U.S. private equity investing. The Private Equity Trends Report provides analysis based on data from PitchBook, Preqin and Standard & Poor’s Leveraged Commentary & Data.

About the Private Equity Growth Capital Council

The Private Equity Growth Capital Council (PEGCC) is an advocacy, communications and research organization and resource center established to develop, analyze and distribute information about the private equity and growth capital investment industry and its contributions to the national and global economy. Established in 2007 and formerly known as the Private Equity Council, the PEGCC is based in Washington, D.C. The members of the PEGCC consist of the world’s leading private equity and growth capital firms united by their commitment to growing and strengthening the businesses in which they invest. More information about the PEGCC can be found at www.pegcc.org.