Posts Tagged ‘private equity’

Investments up in Q2 2010 – mainly due to buyouts

Friday, September 3rd, 2010

Private equity investments in Europe increased by about 16% compared to the first quarter of 2010 and doubled compared to the same period last year. Capital growth rose by 19% and venture capital by 38% since Q1 of this year.

The strong increase in investments over the second quarter of 2010 can be mainly attributed to the increase in buyouts during the same period of time. Compared to last quarter, buyouts were up 8%, with mid-market deals leading the way with an increase of 21%.

There was also a rise in the number of companies that were financed. The number of financed start-ups increased by 17%, while later-stage companies did even better, registering a 28% increase from the last quarter.

However, the fund raising side shows a much different picture. Here we see a decline in fund commitments to almost all types of funds. Private equity funds in Europe went down by 36% compared to Q1, while the commitment to venture funds even dropped by 66%. Growth capital funds and buyout funds also experienced a downturn. Mezzanine funds on the other hand increased to their highest level since the second quarter of 2007.

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Private Equity far from dead

Friday, June 25th, 2010


Even though the numbers are better than last year, this year will be a tough one for the private equity scene. In other European countries, private equity investment has already begun picking up, but Germany usually follows with a delay of up to one and a half years. Private Equity companies are going through a tough time and have to invest over 50% of their own capital and are settling for very small transactions.

However, in the PE scene investors are trying to demonstrate that private equity is not dead. It is argued, that the current state is a consolidation of the private equity market. Within 10 years it will have become a lot stronger, which is a necessity, as private equity companies are an indispensible means to stimulate the German economy.

If you want to read more, please visit: http://bit.ly/cWoRlw (Link to the “Handelsblatt”, article only in German)

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Posted in General, private equity | No Comments »

Private equity takes interest in Europe’s renewable energy industry

Tuesday, February 23rd, 2010

Good news for the European clean technology companies participating in the EVM in May: Private equity is showing an increased interest in the green energy industry. Last week, two European investment firms, HgCapital and Frog Capital, announced they have made investments in the sector.

In a Wall Street Journal article, Marietta Cauchi writes:

“HgCapital Renewable Power Partners, HgCapital’s dedicated renewable energy fund, has made three new investments–in two Spanish solar-power projects and one U.K. onshore wind project.

In the U.K., HgCapital bought a 50% interest in Scout Moor, a 65 megawatt operating wind farm near Manchester developed by Peel Energy, part of the Peel Group. In Spain it added two new projects to its existing portfolio, branded Mercurio Solar. (…)

Frog Capital, a growth capital fund, Monday said it had invested EUR3 million in agri.capital, a producer of biogas energy based in Munster, Germany. Agri.capital has grown from inception in 2004 to become Europe’s largest biogas producer, operating 46 electricity production sites with an installed electrical capacity of 29MW and three gas-to-grid sites with a biomethane production capacity of 7MW.”

You can read the entire article on: http://online.wsj.com/article/BT-CO-20100201-711947.html?mod=dist_smartbrief

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Posted in clean technology | No Comments »