Industry Analysis & Industry Trends
The United Kingdom is the largest European centre for the management of private equity investments and funds, and is second only to the United States in terms of global importance. Private equity funds focus on generating long-term returns, typically within a 10-year period. The aftermath of the financial crisis brought the industry to its knees due to plummeting investment and fund raising activity and dwindling asset valuations. As a result the industry is projected to expand from a low revenue base.
Industry revenue is expected to grow at a compound annual rate of 4% over the five years through 2016-17. Despite this, industry revenue is expected to remain below pre-crisis levels in real terms... purchase to read more
Industry Report - Industry Products Chapter
Buyouts account for 55% of private equity investment. Management buyouts, where a company's management purchases the company with support from a private equity firm, are particularly common. Management buy-ins, when an outside management team with financial backing from a private equity fund buys a company and replaces its management, are rarer.
The other major form of buyout is one in which private equity managers buy a controlling interest in a company directly. Often, some or all of the company's management team is replaced and its strategy is overhauled. This type of buyout is often used to take a public company private. When it is financed with a high level of debt, it can be referred to as a leveraged buyout (LBO). Thi.. purchase to read more