Private Equity, also known as Private Capital, is a type of financial activity carried out by institutions that invest essentially in companies that are not yet listed on the stock exchange, that is, they are still closed to the capital market, in order to raise funds for achieve company development.
These investments are made via private equity companies, which manage the private equity funds (FPE)
Main forms of action
Venture capital: investment in founding a new company or expanding a small company; Buy-out: acquisition of a significant part or even control of a more mature company in its development stage; Extraordinary investment situations in companies experiencing financial difficulties or impacting changes, such as regulatory changes and market trends. They are usually carried out in larger emerging companies with great potential. Most of them are constituted in private contractual agreements between investors and managers, not being offered openly to the market, but through a private placement.
Companies
Companies in this financial activity invest directly in companies (listed or not), with the aim of managing them and disinvesting in a long-term period. In the world, KKR and Blackstone Group stand out as the largest managers in the segment. In Brazil, the managers with the largest investment volume in this market are Advent, GP Investments and Crescera Investimentos. The largest managers in Portugal in 2013 were Portugal Ventures and PME Investimentos.
Looking for support for your company's growth? Contact us:
Comments