Transcript 2008 Pan-European Private Equity & Venture Capital Activity

2008 Pan-European Private Equity & Venture Capital Activity
EVCA, The Voice of European Private Equity Industry since 1983
Funds raised and investments - evolution
€ billion
Funds raised
Investments (industry statistics)
120
112
100
81
80
72
71
79
74
60
54
48
47
40
40
37
35
25 25
24
28 28
27 29
2002
2003
27
20
0
1999
2
2000
2001
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2004
2005
2006
2007
2008
Private equity activity – quarterly evolution
(Q1 2007 = 100)
110
100
90
80
Funds Raised
70
Investment
60
Divestment
50
40
30
20
2007-Q1
3
2007-Q2
Source: PEREP_Analytics
2007-Q3
2007-Q4
2008-Q1
2008-Q2
2008-Q3
2008-Q4
Private equity funds raised - evolution
(industry statistics – incremental closings during year)
€ billion
120
112.3
100
80
81.4
79.6
2007
2008
71.8
60
48.0
40.0
40
25.4
27.5
27.0
27.5
2002
2003
2004
20
0
1999
4
2000
2001
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2005
2006
Funds raised – quarterly evolution
(Q1 2007 = 100)
120
110
100
90
80
Venture capital
70
Buyout & growth
All private equity
60
50
40
30
20
2007-Q1
5
2007-Q2
Source: PEREP_Analytics
2007-Q3
2007-Q4
2008-Q1
2008-Q2
2008-Q3
2008-Q4
Funds raised > €1 bn accounted for €51.3 bn in 2008
6
Amount raised
during 2008
(€ bn)
Firm Name
Fund name
CVC Capital Partners
CVC European Equity Partners V
Advent International
GPE VI
6.6
PAI Partners
PAI Europe V
5.4
Bridgepoint
Bridgepoint Europe IV
4.8
Nordic Capital
Nordic Capital Fund VII
4.3
Charterhouse Capital Partners
Charterhouse Capital Partners IX
3.6
Bain Capital
Bain Capital Europe III
3.5
Candover Investments
Candover 2008 Fund
2.9
Altor Equity Partners
Altor Fund III
2.0
Oaktree Capital Management
OCM European Principal Opportunities Fund II
1.8
HgCapital
HgCapital 6
1.5
Exponent Private Equity
Exponent Private Equity Partners II
1.1
Advent International
ACEE IV
1.0
Ares Life Sciences AG
Ares Life Sciences
1.0
Summit Partners
Europe Private Equity Fund
1.0
Source: PEREP_Analytics
10.8
Funds raised by fund stage focus
(incremental closings during year)
€ billion
70
60
50
40
30
20
10
0
Early-stage
Later stage
venture
Balanced
Total venture
2007
7
Source: PEREP_Analytics
2008
Growth capital
Buyout
Mezzanine
Generalist
Funds raised by type of investor
(incremental closings during year)
2007
2008
Academic Institutions
0.3%
Banks
11.5%
Unknown
24.5%
Capital Markets
7.3%
Academic Institutions
0.2%
Banks
6.7%
Unknown
17.5%
Corporate Investors
2.4%
Private Individuals
4.6%
Pension Funds
17.5%
Other Asset Managers*
4.4%
Endowments and
Foundations
1.6%
Family Offices
1.5%
Funds of Funds
11.1%
Government Agencies
5.3%
Insurance Companies
8.1%
*(including PE houses other than Funds of Funds)
8
Source: PEREP_Analytics
Private Individuals
4.9%
Capital Markets
1.6%
Corporate Investors
2.9%
Endowments and
Foundations
4.5%
Family Offices
4.2%
Funds of Funds
14.4%
Pension Funds
25.1%
Government Agencies
4.9%
Insurance Companies
6.6%
Other Asset Managers*
6.4%
Funds raised by type of investor in 2004-2008
(incremental closings during year)
Unknown
12.8%
Academic Institutions
1.8%
Banks
13.1%
Private Individuals
6.4%
Pension Funds
23.6%
Other Asset
Managers*
2.4%
Insurance Companies
9.2%
*(including PE houses other than Funds of Funds)
9
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
Capital Markets
2.8%
Corporate Investors
3.7%
Endowments and
Foundations
1.4%
Family Offices
1.3%
Fund of Funds
14.5%
Government Agencies
7.2%
Funds raised by type of investor – 5 year trends
(incremental closings during year)
100%
Academic Institutions
90%
Banks
Capital Markets
80%
Corporate Investors
70%
Endowments and Foundations
60%
Family Offices
Fund of Funds
50%
Government Agencies
40%
Insurance Companies
30%
Other Asset Managers*
Pension Funds
20%
Private Individuals
10%
Unknown
0%
2004
2005
2006
*(including PE houses other than Funds of Funds)
10
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2007
2008
Funds raised by type of investor in 2008 – by country
(incremental closings during year)
100%
Academic Institutions
Banks
80%
Capital Markets
Corporate Investors
Endowments and Foundations
60%
Family Offices
Fund of Funds
40%
Government Agencies
Insurance Companies
20%
Other Asset Managers*
Pension Funds
0%
*(including PE houses other than Funds of Funds)
11
Source: PEREP_Analytics
Sp
ai
n
an
y
G
er
m
Sw
it z
er
la
nd
Sw
ed
en
Fr
an
ce
Un
i
te
d
Ki
ng
do
m
Eu
ro
pe
Private Individuals
Unknown
New funds raised - by geographic origin (LP
country) and by fund country in 2008
€ billion
50
46.3
45
40
35
30
24
25
20
15
11
10.8
10
6
6.6
5
1
0.0
3.1
5
2.4
4
2.2
1
0
USA
United Kingdom
France
Sweden
By country of private equity firm
12
Source: PEREP_Analytics
Switzerland
By country of origin
Germany
Spain
Funds raised in 2008 – independent funds by fund
stage focus
(cumulative amount at final closing)
€ billion
# of funds
70
60
60
50
50
40
2007 Amount
40
2007 Number of funds
30
30
20
20
10
10
0
0
Early-stage Later stage Balanced
venture
13
2008 Amount
Source: PEREP_Analytics
Total
venture
Growth
capital
Buyout
Mezzanine Generalist
2008 Number of funds
Funds raised in 2008 – independent funds by country
(cumulative amount at final closing)
€ billion
€ million
1,400
40
35
# 33
1,200
30
1,000
25
Amount
800
Average fund size
20
600
15
400
10
# 24
5
0
United Kingdom
14
200
#5
Source: PEREP_Analytics
France
Sweden
#6
# 17
#8
Switzerland
Germany
Spain
0
#
Number of funds
Funds raised in 2008 – independent venture capital
fundraising
(cumulative amount at final closing)
€ million
€ million
180
1,000
160
800
#8
140
120
#9
600
Amount
100
80
400
60
#9
40
200
#1
#3
#3
0
0
United Kingdom
15
20
Source: PEREP_Analytics
Germany
France
Norway
Finland
Spain
Average Fund Size
#
Number of funds
Funds raised in 2008 – independent buyout & growth
fundraising
(cumulative amount at final closing)
€ million
€ billion
3,500
40
3,000
# 22
30
2,500
Amount
2,000
Average Fund Size
20
1,500
1,000
10
# 12
500
#2
#5
0
United Kingdom
16
France
Source: PEREP_Analytics
Sweden
Switzerland
#3
Italy
#4
Norway
0
#
Number of funds
Funds raised in 2008 – independent funds by stage
focus
(cumulative amount at final closing)
Average fund sizes
Independent funds raised
No sectoral focus
Life sciences
All private equity
ICT
Venture Capital
Financial services
Buyout, Growth &
Mezzanine
Energy and environment
Consumer products, services and retail
Business and industrial products and services
0
200
400
600
800 1,000 1,200 1,400 1,600 1,800 2,000
in € million
17
Source: PEREP_Analytics
Investments - evolution
(industry statistics)
Number of companies
financed
12,000
in € billion
80
73.8
71.2
70
10,000
60
54.1
8,000
50
47.1
Amount invested
40
30
36.9
35.0
27.6
25.1
6,000
29.1
24.3
4,000
20
2,000
10
0
0
1999
18
2000
2001
2002
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2003
2004
2005
2006
2007
2008
Number of companies
Investments by stage - evolution
(industry statistics)
€ billions
80
70
60
Seed
50
Start-up
Later stage venture
40
Growth capital
Replacement capital
30
Buyout
20
10
0
2004
19
2005
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2006
2007
2008
Investments by stage focus - evolution
% of amount
(industry statistics)
100%
80%
Seed
Start-up
60%
Later stage venture
Growth capital
Rescue/Turnaround
40%
Replacement capital
Buyout
20%
0%
2004
20
2005
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2006
2007
2008
Investments by stage focus - evolution
% of number of companies financed
(industry statistics)
100%
80%
Seed
Start-up
60%
Later stage venture
Growth capital
Rescue/Turnaround
40%
Replacement capital
Buyout
20%
0%
2004
21
2005
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2006
2007
2008
Investments by stage focus in 2008 – by country
% of amount
(market statistics)
100%
80%
Seed
Start-up
60%
Later stage venture
Growth capital
Rescue/Turnaround
40%
Replacement capital
Buyout
20%
0%
Europe
22
United
Kingdom
Source: PEREP_Analytics
France
Germany
Sweden
Italy
Spain
Investments by stage focus in 2008 – by country
% of number of companies financed
(market statistics)
100%
90%
80%
Seed
70%
Start-up
60%
Later stage venture
50%
Growth capital
Rescue/Turnaround
40%
Replacement capital
30%
Buyout
20%
10%
0%
Europe
23
United
Kingdom
Source: PEREP_Analytics
France
Germany
Sweden
Italy
Spain
Investments by stage focus in 2008
% of amount
(market statistics)
Seed
0.6%
% of number of companies financed
(market statistics)
Start-up
4.6%
Seed
10.0%
Later
stage
venture
7.9%
Replacement
capital
2.9%
Growth
capital
13.5%
Rescue/
Turnaround
0.5%
Buyout
70.1%
24
Source: PEREP_Analytics
Replacement
capital
2.8%
Buyout
18.2%
Rescue/
Turnaround
1.1%
Start-up
30.1%
Growth
capital
11.6%
Later
stage
venture
26.1%
Investments by sector focus in 2008
amount as % of total private equity
(market statistics)
all private equity - % of amount
(market statistics)
AgricultureAgriculture
Business and
Business and industrial
products
industrial
Business and
Business and industrial
services
industrial
Chemicals and
Chemicals and materials
materials
Communications
Communications
Computer and
consumer
Construction
Construction
Consumer
Consumer goods and retail
goods
and retail
Consumer
Consumer services: other
services:
Energyother
and
Energy and environment
environment
Financial
Financial services
services
Life sciences
Life sciences
Real estate
Real estate
Computer and consumer electronics
Transportation
Transportation
Unknown Unknown
20%
15%
10%
5%
0%
0%
20%
40%
60%
venture deals
25
Source: PEREP_Analytics
80%
100%
buyout deals
Investments by sector focus in 2008 – by segment
venture capital - % of amount
(market statistics)
buyout & growth - % of amount
(market statistics)
Agriculture
Agriculture
Business and
Business and industrial products
industrial
Business
and
Business and industrial services
industrial
Chemicals and
Chemicals and materials
materials
Communications
Communications
and
Computer and consumerComputer
electronics
consumer
Construction Construction
Consumer
Consumer goods and
retail
goods and retail
Consumer services: Consumer
other
services: other
Energy and
Energy and environment
environment
Financial services Financial
services
Life sciences Life sciences
Real estate
Real estate
Transportation
Transportation
Unknown
25%
20%
15%
10%
5%
0%
0%
2007
26
Source: PEREP_Analytics
Unknown
2008
5%
10%
15%
20%
25%
Investments by sector focus in 2008 – by segment
venture capital
% of number of companies financed
(market statistics)
buyout & growth
% of number of companies financed
(market statistics)
Agriculture
Business and
Business and industrial products
industrial
Business and
Business and industrial services
industrial
Chemicals and
Chemicals and materials
materials
Communications
Communications
Computer and
Computer and consumer electronics
consumer
Construction Construction
Consumer
Consumer goods and retail
goods and retail
Consumer
Consumer services: other
services: other
Energy and
Energy and environment
environment
Financial
Financial services
services
Life sciences Life sciences
Agriculture
Real estate
Real estate
TransportationTransportation
Unknown
25%
27
20%
15%
10%
Source: PEREP_Analytics
5%
0%
2007
Unknown
2008
0%
5%
10%
15%
20%
25%
Equity value vs. transaction value by buyout deal size
in 2008
Market statistics
€ billion
120
1200
100
1000
80
800
60
600
Amount
(PE funds participation)
Transaction value
Number of companies
40
400
20
200
0
0
Small
28
Source: PEREP_Analytics
Mid-market
Large
Mega
Total buyout
Investments by number of employees in 2008
as % of number of companies financed (market statistics)
venture capital
500 - 999
2.1%
all private equity
1000 4999
4.9%
500 - 999
5.0%
250 - 499
2.6%
1000 4999
1.5%
5000 +
0.4%
200 - 249
1.6%
100 - 199
5.9%
5000 +
1.4%
0 - 19
53.6%
20 - 99
32.3%
250 - 499
6.6%
0 - 19
38.4%
200 - 249
3.0%
buyout
100 - 199
10.1%
1000 4999
11.3%
20 - 99
30.6%
5000 +
3.3%
0 - 19
9.9%
500 - 999
10.3%
20 - 99
27.5%
250 - 499
14.3%
29
Source: PEREP_Analytics
200 - 249
5.5%
100 - 199
18.0%
2008 Venture investments by number of employees
in € million
3,000
Market statistics
Number of companies
2,000
1,959
1,800
2,500
1,600
1,400
2,000
1,179
1,200
1,500
1,000
Amount invested
Number of companies
800
1,000
600
400
500
214
60
95
78
200
54
14
0
0
0 - 19
20 - 99
100 - 199
200 - 249
250 - 499
500 - 999 1000 - 4999
SMEs
Full-time equivalent staff by intervals
30
Source: PEREP_Analytics
5000 +
2008 Buyout investments by number of employees
Market statistics
in € million
16,000
Number of companies
2000
1800
14,000
1600
12,000
1400
10,000
1200
8,000
1000
Amount invested
Number of companies
800
6,000
534
600
4,000
349
2,000
400
277
200
193
219
200
108
64
0
0
0 - 19
20 - 99
100 - 199
200 - 249
250 - 499
500 - 999 1000 - 4999
SMEs
Full-time equivalent staff by intervals
31
Source: PEREP_Analytics
5000 +
Investments as % of GDP in Europe - evolution
0.
59
8%
0.7%
0.
41
8%
0.
35
4%
0.
28
8%
0.
25
3%
0.3%
0.
27
7%
0.
38
3%
0.4%
0.
30
7%
as % of GDP
0.5%
0.
41
9%
0.6%
0.
58
1%
all private equity
Industry statistics
0.2%
0.1%
32
Source: PEREP_Analytics
20
08
20
07
20
06
20
05
20
04
20
03
20
02
20
01
20
00
19
99
0.0%
33
Ki
Source: PEREP_Analytics
0.
04
3%
0.
03
2%
0.
03
0%
0.
08
2%
0.
07
3%
0.
20
7%
0.
19
4%
0.
19
3%
0.
18
9%
0.
16
8%
0.
14
2%
0.2%
0.
30
1%
0.
28
4%
0.
25
8%
0.
23
9%
0.
23
8%
0.4%
0.
41
8%
0.
39
4%
0.
45
0%
0.6%
1.
02
2%
1.2%
Ita
ng
do
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Sw
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en
Fr
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Eu
Sw ro p
e
it z
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No
rw
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De a l
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lg
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as % of GDP
1.
24
1%
1.4%
ly
Po
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nd
Sp
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G
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Au
st
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Ro a
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Cz
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Un
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Investments as % of GDP in 2008 – by country
all private equity
Industry statistics
1.0%
0.8%
0.0%
34
te
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do
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ed
De en
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ar
k
Fr
Ne a n
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th
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Hu s
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ar
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rw
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m
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Po
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G d
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e
Au
st
ria
Un
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as % of GDP
0.6%
0.5%
0.4%
0.2%
Source: PEREP_Analytics
0.
21
5%
0.
21
4%
0.
20
4%
0.
19
8%
0.
16
5%
0.
15
5%
0.
12
5%
0.
11
5%
0.3%
0.
46
6%
0.
44
9%
0.
42
3%
0.
40
4%
0.
40
4%
0.
37
0%
0.
35
2%
0.
34
1%
0.
31
2%
0.
29
7%
0.
67
4%
0.7%
0.
48
9%
0.8%
0.
74
2%
Investments as % of GDP in 2008 – by country
all private equity
Market statistics
0.1%
0.0%
te
d
35
Source: PEREP_Analytics
ly
G
re
ec
e
0.
08
3%
0.
06
6%
0.
06
5%
0.
04
7%
0.
04
2%
0.
04
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0.
04
1%
0.
02
4%
0.
02
1%
0.
01
9%
0.
01
4%
0.
01
4%
0.
01
2%
0.0%
0.
03
1%
0.0%
0.
05
5%
0.
05
3%
0.1%
0.
07
0%
0.
07
0%
0.1%
0.
05
9%
0.1%
0.
09
1%
0.
14
5%
0.2%
Ita
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do
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Fi
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Fr
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Au
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Po
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as % of GDP
Venture investments as % of GDP in 2008–by country
venture capital
Market statistics
0.1%
0.1%
0.0%
36
d
K
in
g
Source: PEREP_Analytics
ly
tr i
a
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la
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e
in
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Au
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G
0.1%
0.
14
8%
15
1%
16
2%
17
4%
17
4%
09
6%
11
2%
07
3%
0.
0.
0.
0.
0.
0.
0.
0.2%
0.
33
4%
35
1%
32
7%
26
6%
29
4%
0.
40
2%
41
1%
38
4%
32
8%
26
4%
0.
0.
0.3%
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0.4%
0.
0.5%
42
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0.
52
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0.6%
0.
0.
as % of GDP
0.
65
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0.7%
C
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ga
N
et
he r y
rla
nd
s
Eu
ro
pe
Fi
nl
an
d
G
er
m
an
y
U
ni
te
Buyout investments as % of GDP in 2008– by country
buyout
Market statistics
0.0%
Investments - industry versus market statistics in 2008
€ billion
25
Industry statistics (by country of private equity firm)
22.5
Market statistics (by country of portfolio company)
20
15
13.5
10
8.8
9.2
9.1
7.1
5.4
5
3.4
2.2
3.1
1.8
2.3
0
United Kingdom
37
Source: PEREP_Analytics
France
Germany
Sweden
Italy
Spain
Investments by country of portfolio company
(market statistics)
United Kingdom
Germany
2008
France
Italy
Netherlands
Rest of
Europe
15.0%
Spain
Sw eden
United
Kingdom
25.8%
Sw eden
4.3%
Denmark
Norw ay
Spain
4.5%
Sw itzerland
Finland
Netherlands
5.1%
Belgium
Poland
Italy
10.4%
Hungary
Germany
17.6%
Czech Republic
France
17.4%
Portugal
Austria
Greece
Ireland
2007
2008
Romania
0
38
2
Source: PEREP_Analytics
4
6
8
10
12
14
16
18
20 22
€ billion
Investments in 2008 - regional market share
(by % of amount)
Industry statistics
NonEuropean
3.2%
Market statistics
Benelux
4.9%
CEE
2.1%
DACH
15.2%
Benelux
7.0%
UK &
Ireland
25.8%
CEE
4.6%
DACH
19.8%
UK &
Ireland
40.0%
France
15.5%
Southern
Europe
10.0%
39
Source: PEREP_Analytics
Nordics
9.1%
Southern
Europe
15.8%
Nordics
9.9%
France
17.1%
Geographical flows of investments in 2008
€ billion
60
3.2
1.3
50
40
Local PE firms investing into portfolio
companies outside the country
Foreign PE firms investing in portfolio
companies in the country
30
50.9
50.9
Industry statistics (location of private equity
firm)
Market statistics (location of portfolio
company)
20
10
0
40
Source: PEREP_Analytics
Domestic investments by local PE firms
Divestments at cost - evolution
(by country of private equity firm)
Number of exited
companies
in € billion
35
6000
33.1
29.8
30
5000
27.1
25
4000
19.6
20
Amount at cost
3000
15
13.9
13.6
12.5
10.7
10
8.6
2000
9.1
1000
5
0
0
1999
41
2000
2001
2002
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2003
2004
2005
2006
2007
2008
Number of companies
Divestments at cost - evolution
(by country of private equity firm)
€ billion
35
30
Divestment by Trade Sale
25
Divestment by Public Offering
Divestment by Write-Off
20
Repayment of Silent Partnership
Repayment of Preference Shares/Loans
Sale to Another Private Equity House
15
Sale to Financial Institution
Sale to Management (Buy-back)
10
Divestment by Other Means
5
0
1999
42
2000
2001
2002
2003
Source: PEREP_Analytics for 2007 & 2008;
Thomson Reuters/PwC for previous years
2004
2005
2006
2007
2008
Divestments by exit route in 2008
(by country of portfolio companies)
Venture capital - % of amount at cost
All private equity - % of amount at cost
Write-Off
5.8%
Trade Sale
39.4%
Write-Off
10.2%
Public
Offering
5.4%
Trade Sale
38.3%
Repayment of
Silent
Partnership
1.0%
Repayment of
Preference
Shares/Loan
s
6.2%
Other Means
8.6%
Repayment of
Silent
Partnership
3.3%
Repayment of
Preference
Shares/Loans
6.8%
Sale to
Management
(Buy-back)
9.1%
Sale to Another
Private Equity
House
10.0%
Sale to
Financial
Institution
2.9%
Other Means
6.6%
Sale to
Another
Private Equity
House
27.0%
43
Public Offering
9.6%
Source: PEREP_Analytics
Sale to
Financial
Institution
5.2%
Sale to
Management
(Buy-back)
4.6%
Buyout & growth - % of amount at cost
Public Offering
4.3%
Write-Off
4.7%
Repayment of
Silent
Partnership
0.4%
Repayment of
Preference
Shares/Loans Sale to Another
Private Equity
6.0%
House
31.1%
Trade Sale
38.0%
Other Means
6.2%
Sale
to
Sale to
Financial
Institution
5.8%
Management
(Buy-back)
3.5%
Divestments at cost in 2008 - by country
€ billion
6
by country of private equity firm
5.2
by country of portfolio company
5
4
3.5
3
2.4
2.5
2.2
1.8
2
1.0
1.0
1
1.1
0.9
0.9
0.6
0.4
0.4
0
United Kingdom
44
Source: PEREP_Analytics
France
Germany
Netherlands
Sweden
Italy
Spain
Divestments at cost in 2008 - by exit route
amount at cost as % of total private equity
(by country of portfolio company)
Divestment by trade sale
Divestment by public offering
Divestment by write-off
Repayment of silent partnerships
Repayment of principal loans
venture capital
buyout & growth
Sale to another private equity house
Sale to financial institution
Sale to management (MBO)
Divestment by other means
Total divestment
0%
45
Source: PEREP_Analytics
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Divestments at cost by exit route - by segment
venture capital - % of amount
(by country of portfolio company)
buyout & growth - % of amount
(by country of portfolio company)
Trade sale
Trade
sale
Public offering
Public offering
Write-off
Write-off
Repayment
of silent
partnerships
Repayment
of silent
partnerships
Repaymentof
of principal
principal loans
Repayment
loans
to another
private
equity
house
Sale toSale
another
private
equity
house
Sale to
institution
Sale
to financial
financial
institution
Saletotomanagement
management (MBO)
Sale
(MBO)
Other means
Other means
50%
40%
30%
20%
10%
0%
0%
2007
46
2008
10%
20%
30%
40%
Divestments at cost by exit route - by segment
buyout & growth
% of number of exited companies
(by country of portfolio company)
venture capital
% of number of exited companies
(by country of portfolio company)
Trade sale Trade
sale
Public offering
Public offering
Write-off
Write-off
Repayment
silentpartnerships
partnerships
Repayment
ofofsilent
Repayment of
loans
Repayment
ofprincipal
principal
loans
to another private equity house
Sale Sale
to another
private equity house
Sale to financial institution
Sale to financial institution
Sale to management (MBO)
Sale to management (MBO)
Other means
Other means
25%
47
20%
15%
10%
5%
0%
0%
2007
2008
10%
20%
30%
Bu
sin
e
Bu ss a
nd
sin
Ag
es
in
d
s
a n ust ricu
ria
lt
d
l p u re
Ch ind
r
o
em ust
Co
ria d uc
i
c
ts
ls
m
al
pu
s
er
an
vic
te
ra
d
es
m
C
nd
at
om
er
co
ia
ns mu
um nic ls
at
er
io
Co
el
n
e
ns
ct s
um
Co r on
er
ns ics
go
tru
o
ct
Co d s
io
n
En
ns an
d
um
er
re
gy
e
ta
il
an r se
d
r
e n vic
es
Fi
na viro
nm
nc
ia
l s ent
er
Li
fe vice
s
sc
ie
n
ce
Re
s
al
es
Tr
an
ta
te
sp
or
ta
t
Un io n
kn
ow
n
Divestments at cost in 2008 - by sector focus
(by country of portfolio company)
€ million
3,000
2,000
1,000
0
48
Source: PEREP_Analytics
Number of exited
companies
450
2,500
400
350
300
250
1,500
200
150
500
100
50
0
Amount at cost
Number of companies
Divestments at cost in 2008 - by sector focus
(by country of portfolio company)
amount as % of total private equity
Agriculture
Business and industrial products
Business and industrial services
Chemicals and materials
Communications
Computer and consumer electronics
Construction
Consumer goods and retail
Consumer services
Energy and environment
Financial services
Life sciences
Real estate
Transportation
Total divestment
0%
10%
20%
30%
40%
venture capital
49
Source: PEREP_Analytics
50%
60%
70%
buyout & growth
80%
90%
100%
Divestments at cost by sector focus – by segment
venture capital - % of amount
(by country of portfolio company)
buyout & growth - % of amount
(by country of portfolio company)
Agriculture
Agriculture
Business and
Business and industrial products
industrial
Business
and
Business and industrial services
industrial
Chemicals and
materials
Communications
Communications
Computer and
Computer and consumer electronics
consumer
Construction Construction
Consumer
Consumer goods and retail
goods and retail
Consumer
Consumer services: other
services:
Energyother
and
Chemicals and materials
Energy and environment
environment
Financial
services
Life sciences Life sciences
Financial services
Real estate
Real estate
TransportationTransportation
Unknown
25%
20%
15%
10%
5%
0%
0%
2007
50
Unknown
2008
5%
10%
15%
20%
25%
Divestments at cost by sector focus – by segment
venture capital
% of number of exited companies
(by country of portfolio company)
buyout & growth
% of number of exited companies
(by country of portfolio company)
Agriculture
Agriculture
Business and
Business and industrial products
industrial
Business and
Business and industrial services
industrial
Chemicals and
Chemicals and materials
materials
Communications
Communications
Computer and consumer Computer
electronicsand
consumer
Construction Construction
Consumer goods andConsumer
retail
goods and retail
Consumer
Consumer services: other
services: other
Energy and
Energy and environment
environment
Financial
services
Life sciences Life sciences
Financial services
Real estate
Real estate
TransportationTransportation
Unknown
25%
51
20%
15%
10%
5%
Unknown
0%
2007
2008
0%
5%
10%
15%
20%
25%
Geographical flows of divestments in 2008
€ billion
16
14
0.6
0.2
12
Local PE firms divesting portfolio companies
located outside the country
10
Foreign PE firms divesting portfolio
companies in the country
8
13.3
13.3
Divestment by location of private equity
firm
Divestment by location of portfolio
company
6
4
2
0
52
Source: PEREP_Analytics
Domestic divestments by local PE firms