Trends Report Shows Private Equity Activity Fell in Q3

Overall Private Equity Investment Is On Pace for Strong 2014

WASHINGTON – The investment total for 2014 is on track to be the largest by volume since 2007, according to the Private Equity Growth Capital Council’s (PEGCC) quarterly trends report.

“We saw a seasonal dip in the third quarter, but we are tracking towards 2014 having the most private equity investment volume in seven years,” said Bronwyn Bailey, Vice President of Research for the PEGCC. “Exit volumes also indicate that this will be a strong year for private equity investors.”

The report found that:

-Exit volume held steady at $50 billion in the third quarter, outpacing seven of the nine third quarters since 2005, with 2014 likely to set an annual record for the industry.

-The proportion of equity financing for leveraged buyouts increased from 37 percent to 44 percent.

-Callable capital reserves also increased significantly from the second quarter, climbing from $440 billion to $465 billion.

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.