Last year, investors sold a record -made private equity in the second -hand market, because long -term trading drought encouraged pension funds and buying off groups to seek other ways to achieve investment.
In the so -called secondary market, the sales of global transactions have reached 16.2 billion US dollars, where private equity or investors of other private funds sell their shares to new investors to obtain cash, or the fund manager itself sells the company's shares itself. Give new funds.
According to the analysis of the investment bank Jefferies, the total number increased by 45 % over the previous year, and the peak value of 2021 increased by more than 20 %.
In recent years, because private equity companies have been trying to withdraw from investment through IPO or sales with sufficient attractive valuations, which has insufficient cash distribution of fund supporters.
Fund investors ("limited partners" or limited shareholders 'position-replaced by helping the secondary market, trying to find buyers' shares, and private equity companies that manage funds ("ordinary partners" or GPS also seek alternative methods Cashful their investment.
Jefferies Middle School Consulting Co., Ltd. SCOTT Beckelman said: "Last year's second volume was continued by many LP desire liquidity (cash), which continued to be lower. (Cash) drive ""
According to Jefferies, these two limited partners (usually pension funds, donation funds or sovereign wealth investors) and ordinary partners sold record -in -number institutions in the secondary market last year.
The limited partner sold a fund shares worth $ 87 billion, an increase of 36 % with the record in 2021. The lack of transactions in the first year of the first year of popularity triggered the weight of anxiety and re -balanced investment portfolio. Towards private equity.
Fund investors usually sell their shares at a discount price, but Jefferies said that the gap last year has narrowed 6 percentage points of the value of net assets of acquisition of fund stocks from the 9 percentage point gap in the previous year.
Jefferies said that rising prices indicate confidence and private equity managers can soon sell basic investment portfolios, because Wall Street's transactions under the second Trump administration return.
In recent years, in Europe and the United States, the acquisition of funds is related to the muscle anti -Toraz regulator. However, in the main competitive departments in the United States, the main competitive authorities of the European Union and the United Kingdom have changed the guards, which can be used as a prelude to the higher -free method of merging and acquisitions, and it can help promote exit.
The price of the private credit fund's share price is more obvious than the price of the acquisition of the vehicle, from 77 % to 91 % of the value of the assets, and the private debt funds are invested in the purchase of new funds to purchase second -hand shares.
The pricing of real estate and venture capital is slightly reduced, which are 72 % and 75 % of the values of basic assets, respectively.
Todd Miller said: "You have a lot of basic records saying: 'My venture capital portfolio is not distributed for more than 24 months," Todd Miller said.
Private capital companies also turned to the secondary market. Generally, partners sold $ 75 billion in assets in 2024, more than 44 % over the previous year.
The vast majority of these ($ 63 billion) from those managers sold their assets from one of their funds to a new fund managed by the same company, which is a so -called continuation tool.
Continuous vehicles have become a popular choice for private stock companies to return money to a fund investor without having to find buyers for the entire investment portfolio company, especially when such sales may not bring good valuations to the manager. Down.
Three export activities of the three European private equity companies involved the transfer of shares between EQT funds last year, but those familiar with the matter told the Financial Times, although the three people also brought external investors.