pei 300 2009 executive summary

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Executive Summary

This report presents an overview of the 2009 PEI 300, which ranks private equity firms around the world by size, using Private Equity International’s unique, apples-to-apples methodology. A complete report on the PEI 300 is featured in the May 2009 issue of Private Equity International, available only to subscribers or for individual purchase.

About the PEI 300 and PEI MediaThe PEI 300 firms are ranked based on the amount of private equity direct-investment capital each have raised or formed over a roughly five-year period beginning 1 January 2004 and ending 15 April 2009.

Private Equity International is the leading publication for the private equity industry. It is published monthly by PEI Media, which provides market intelligence and events for professionals in the private equity, real estate and infrastructure asset classes.

For more information about the PEI 300, contact PEI Media executive editor David Snow at [email protected].

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© PEI Media 2009 Copying without permission from PEI Media is unlawful

Private Equity International magazine’s proprietary ranking of the largest 300 private equity firms in the world

PEI 300 2009

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2009 PEI 300 Executive Summary page 3

The PEI 300Although 2009 marks the debut of the PEI 300, this is the third year in a row that Private Equity International has ranked the largest 50 private equity firms in the world, called the PEI 50. As with last year, the line-up of the top 50 firms has not remained static. Some firms managed to close sizeable fundraisings, which boosted their respective ranks significantly, or allowed them to debut on the top 50 list. As in prior years, the PEI 300 based its rankings on this measure: the amount of private equity direct-investment capital raised or created over the past five years. See p. 10 for greater detail on the PEI 300 methodology.

Capital raised OVer 2008 rank name Of firm Headquarters last fiVe years ($Bn) rank

1 TPG Fort Worth (Texas) $52.35 3

2 Goldman Sachs Principal Investment Area New York $48.99 2

3 The Carlyle Group Washington DC $47.73 1

4 Kohlberg Kravis Roberts New York $40.46 4

5 Apollo Global Management New York $35.18 6

6 Bain Capital Boston $34.95 7

7 CVC Capital Partners London $33.73 5

8 The Blackstone Group New York $30.8 10

9 Warburg Pincus New York $23 11

10 Apax Partners London $21.33 9

11 First Reserve Corporation Greenwich (Connecticut) $20.89 23

12 3i Group London $18.39 12

13 American Capital Bethesda (Maryland) $17.99 15

14 Hellman & Friedman San Francisco $17.9 25

15 Providence Equity Partners Providence (Rhode Island) $16.36 16

Legend: Higher rank than 2008

Lower rank than 2008 Same rank as 2008 PEI 50 debut *

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PEI 300 Executive Summary 2009

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Capital raised OVer 2008 rank name Of firm Headquarters last fiVe years ($Bn) rank

16 Advent International Boston $16.13 13

17 Terra Firma Capital Partners London $14.21 14

18 General Atlantic Greenwich (Connecticut) $14.10 21

19 Fortress Investment Group New York $14.08 20

20 Silver Lake Menlo Park $14.0 17

21 Cerberus Capital Management New York $13.9 18

22 Permira London $12.67 8

23 Clayton Dubilier & Rice New York $11.72 28

24 Lehman Brothers Private Equity New York $11.71 31

25 PAI Partners Paris $11.5 22

26 Bridgepoint London $10.87 27

27 EQT Partners Stockholm $10.82 24

28 Madison Dearborn Partners Chicago $10.6 47

29 Charterhouse Capital Partners London $10.56 30

30 Teachers’ Private Capital Toronto $10.24 29

31 Thomas H. Lee Partners Boston $10.21 32

32 Cinven London $10.17 26

33 Onex Toronto $9.59 49

34 Riverstone Holdings New York $9.4 N/A

35 AXA Private Equity Paris $9.37 34

36 JC Flowers & Co. New York $8.9 40

37 Oaktree Capital Management Los Angeles $8.85 36

38 BC Partners London $8.75 33

39 Candover London $8.45 N/A

40 Welsh Carson Anderson & Stowe New York $8.42 50

41 Nordic Capital Stockholm $8.18 N/A

42 WL Ross & Co. New York $7.77 45

43 Lindsay Goldberg New York $7.69 N/A

44 Sun Capital Partners Boca Raton (Florida) $7.5 38

45 NGP Energy Capital Management Dallas $7.47 35

46 AlpInvest Partners Amsterdam $7.26 N/A

47 Kelso & Co. New York $7.2 N/A

48 Citi Alternative Investments New York $7.08 N/A

49 Marfin Investment Group Athens $6.86 37

50 MatlinPatterson New York $6.83 44

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Legend: Higher rank than 2008

Lower rank than 2008 Same rank as 2008 PEI 50 debut *

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Capital raised OVer rank name Of firm Headquarters last fiVe years ($m) 51 TA Associates Boston $6,827

52 New Mountain Capital New York $6,687

53 EnCap Investments Houston $6,575

54 Abraaj Capital Dubai $6,493

55 Doughty Hanson London $6,396

56 Oak Hill Capital Partners Stamford (Connecticut) $6,300

57 Stone Point Capital Greenwich (Connecticut) $6,226

58 Summit Partners Boston $6,101

59 Investcorp Manama (Bahrain) $5,958

60 ArcLight Capital Partners Boston $5,800

61 Barclays Private Equity London $5,405

62 HIG Capital Management Miami $5,342

63 Leonard Green & Partners Los Angeles $5,300

64 Technology Crossover Ventures Palo Alto $5,300

65 Eurazeo Paris $4,847

66 Arcapita Manama (Bahrain) $4,839

67 Sequoia Capital Menlo Park $4,821

68 Actis London $4,442

69 CCMP Capital New York $4,318

70 LS Power Group New York $4,285

71 Altor Equity Partners Stockholm $4,158

72 Crestview Partners New York $4,150

73 TowerBrook Capital Partners New York $4,130

74 Oak Investment Partners Westport (Connecticut) $4,110

75 Citadel Capital Cairo $4,100

76 MBK Partners Seoul $4,060

77 One Equity Partners New York $4,000

78 Pacific Equity Partners Sydney $3,835

79 Lion Capital London $3,756

80 Platinum Equity Partners Los Angeles $3,700

81 Quantum Energy Partners Houston $3,665

82 Vestar Capital Partners Boston $3,650

83 Babson Capital Boston $3,636

84 The Jordan Company New York $3,600

85 New Enterprise Associates Chevy Chase (Maryland) $3,600

86 Mid Europa Partners London $3,500

87 Affinity Equity Partners Hong Kong $3,500

88 Advantage Partners Tokyo $3,433

89 Accel Partners Menlo Park $3,385

90 American Securities Capital Partners New York $3,300

91 IK Investment Partners Stockholm $3,300

92 Softbank Group Tokyo $3,263

93 GI Partners Menlo Park $3,250

94 Tenaska Capital Management Omaha (Nebraska) $3,238

95 Draper Fisher Jurvetson Menlo Park $3,237

96 Hopu Investment Management Beijing $3,232

97 Yucaipa Companies Los Angeles $3,225

98 Centerbridge Capital Partners New York $3,200

99 KRG Capital Denver $3,184

100 Court Square Capital Partners New York $3,100 *Not

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PEI 50 debut


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Capital raised OVer rank name Of firm Headquarters last fiVe years ($m) 101 Berkshire Partners Boston $3,100

102 HSBC Principal Investments London $3,000

103 Montagu Private Equity London $2,970

104 ABRY Partners Boston $2,950

105 Bohai Industrial Investment Fund Management Tianjin (China) $2,931

106 Norwest Equity Partners Minneapolis $2,900

107 Capital International London $2,868

108 Kleiner Perkins Caufield & Byers Menlo Park $2,860

109 Hony Capital Beijing $2,836

110 Clessidra Milan $2,797

111 Unitas Capital (formerly CCMP Capital Asia) Hong Kong $2,790

112 GTCR Golder Rauner Chicago $2,750

113 Irving Place Capital (formerly Bear Stearns Merchant Banking) New York $2,700

114 CDH Investments Hong Kong $2,660

115 Lime Rock Partners Westport (Connecticut) $2,633

116 Unison Capital Partners Tokyo $2,620

117 The Riverside Company New York $2,581

118 MidOcean Partners New York $2,580

119 LBO France Paris $2,576

120 GP Investments Sao Paulo $2,550

121 Golden Gate Capital San Francisco $2,414

122 Credit Suisse Private Equity New York $2,400

123 Energy Investors Funds San Francisco $2,400

124 Audax Group New York $2,400

125 Gavea Investimentos Rio de Janeiro $2,390

126 Global Investment House Safat (Kuwait) $2,378

127 Dubai International Capital Private Equity Dubai $2,376

128 Francisco Partners San Francisco $2,332

129 TDR Capital London $2,310

130 Kohlberg & Co. Mount Kisco (New York) $2,300

131 IDG Ventures Boston $2,290

132 Energy Capital Partners Short Hills (New Jersey) $2,250

133 Odyssey Investment Partners New York $2,250

134 Friedman Fleischer & Lowe San Francisco $2,250

135 BLUM Capital Partners San Francisco $2,200

136 Kayne Anderson Capital Advisors Los Angeles $2,200

137 Veronis Suhler Stevenson New York $2,151

138 Pamplona Capital Management London $2,141

139 HgCapital London $2,139

140 ChrysCapital New Delhi $2,080

141 Genstar Capital San Francisco $2,025

142 Morgan Stanley Private Equity New York $2,015

143 Insight Venture Partners New York $2,010

144 Baring Private Equity Asia Hong Kong $2,005

145 Avista Capital Partners New York $2,000

146 Investindustrial Milan $1,980

147 SAIF Partners Hong Kong $1,977

148 Catterton Partners Greenwich (Connecticut) $1,950

149 Baring Vostok Capital Partners Moscow $1,913

150 Essex Woodlands Health Ventures Palo Alto $1,900 *Not

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Capital raised OVer rank name Of firm Headquarters last fiVe years ($m) 151 Herkules Capital Oslo $1,885

152 Great Hill Partners Boston $1,850

153 Index Ventures Geneva $1,848

154 Waterland Private Equity Investments Bussum (Netherlands) $1,836

155 Diamond Castle Holdings New York $1,825

156 EnerVest Houston $1,801

157 Moelis Capital Partners Los Angeles $1,800

158 Quadrangle Group New York $1,800

159 ARC Financial Corp. Calgary $1,771

160 Exponent Private Equity London $1,753

161 Blue Ridge China Beijing $1,750

162 AEA Investors New York $1,745

163 CapMan Private Equity Helsinki $1,720

164 Energy Spectrum Partners Dallas $1,716

165 Sterling Partners Baltimore $1,703

166 Centre Partners Management New York $1,660

167 KPS Capital Partners New York $1,654

168 Cognetas London $1,650

169 Duke Street London $1,634

170 JLL Partners New York $1,600

171 Astorg Partners Paris $1,598

172 VantagePoint Venture Partners San Bruno (California) $1,585

173 Yorktown Partners New York $1,580

174 Ignition Partners Bellevue (Washington) $1,575

175 Vector Capital San Francisco $1,550

176 Mayfield Fund Menlo Park $1,536

177 Castle Harlan New York $1,531

178 Olympus Partners Stamford (Connecticut) $1,530

179 Flexpoint Ford Chicago $1,505

180 Elevation Partners Menlo Park $1,500

181 Golub Capital Chicago $1,500

182 Wind Point Partners Chicago $1,460

183 Englefield Capital London $1,450

184 Battery Ventures Waltham (Massachusetts) $1,450

185 Climate Change Capital London $1,448

186 Pine Brook Road Partners New York $1,430

187 Austin Ventures Austin (Texas) $1,425

188 Roark Capital Group Atlanta $1,416

189 General Catalyst Partners Boston $1,416

190 Navis Capital Partners Kuala Lumpur $1,415

191 Sofinnova Paris $1,403

192 Enterprise Investors Warsaw $1,396

193 Archer Capital Sydney $1,394

194 Balderton Capital London $1,365

195 Vision Capital London $1,359

196 Baird Private Equity Chicago $1,358

197 Bessemer Venture Partners Larchmont (New York) $1,350

198 Swicorp Riyadh $1,350

199 Emerging Capital Partners Washington DC $1,344

200 New Silk Route Partners New York $1,340*Not

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Capital raised OVer rank name Of firm Headquarters last fiVe years ($m) 201 Gimv Antwerp (Belgium) $1,323

202 Venrock Palo Alto $1,317

203 Vista Equity Partners San Francisco $1,300

204 Gores Group Los Angeles $1,300

205 Pamodzi Investment Holdings Athol (South Africa) $1,300

206 Code Hennessy & Simmons Chicago $1,300

207 Monitor Clipper Partners Boston $1,300

208 KERN Partners Calgary $1,296

209 Lightspeed Venture Partners Menlo Park $1,288

210 Foundation Capital Menlo Park $1,275

211 Levine Leichtman Capital Partners Beverly Hills $1,269

212 Lincolnshire Management New York $1,268

213 LD Invest Equity Copenhagen $1,256

214 InterWest Partners Menlo Park $1,256

215 AAC Capital Partners Amsterdam $1,254

216 Mercapital Madrid $1,254

217 Greenhill Capital Partners New York $1,253

218 Huntsman Gay Capital Partners Boston $1,250

219 Intel Capital Santa Clara (California) $1,250

220 CITIC Capital Hong Kong $1,246

221 US Venture Partners Menlo Park $1,225

222 Vitruvian Partners London $1,221

223 Menlo Ventures Menlo Park $1,200

224 Paine & Partners Foster City (California) $1,200

225 Spectrum Equity Investors San Francisco $1,200

226 Clearwater Capital Partners New York $1,200

227 Domain Associates Princeton (New Jersey) $1,200

228 Aisling Capital New York $1,200

229 Gilde Utrecht (Netherlands) $1,188

230 Perseus Washington DC $1,182

231 The Sentient Group Sydney $1,175

232 Benchmark Capital Menlo Park $1,175

233 Electra Partners London $1,160

234 LLR Equity Partners Philadelphia $1,160

235 Clarus Ventures Cambridge (Massachusetts) $1,160

236 Russia Partners Management (Siguler Guff) Moscow $1,135

237 Egeria Amsterdam $1,132

238 CLSA Capital Partners Hong Kong $1,130

239 Magnum Capital Industrial Partners Lisbon $1,122

240 HitecVision Stavanger (Norway) $1,116

241 Highland Capital Partners Lexington (Massachusetts) $1,108

242 Corsair Capital Partners New York $1,100

243 Aquiline Capital Partners New York $1,100

244 KSL Capital Partners Denver $1,100

245 Brazos Private Equity Partners Dallas $1,100

246 Canaan Partners Menlo Park $1,100

247 Sentinel Capital Partners New York $1,084

248 Frazier Healthcare Ventures Seattle $1,075

249 Pegasus Capital Partners Cos Cob (Connecticut) $1,066

250 Cartesian Capital New York $1,050 *Not

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Capital raised OVer rank name Of firm Headquarters last fiVe years ($m) 251 Water Street Capital Management Chicago $1,020

252 Quad-C Management Charlottesville (Virginia) $1,008

253 Ironbridge Capital Sydney $1,005

254 Lee Equity Partners New York $1,000

255 Brysam Global Partners New York $1,000

256 Greenbriar Equity Group Rye (New York) $1,000

257 Polaris Venture Partners Boston $1,000

258 Wellspring Capital Management New York $1,000

259 Weston Presidio Capital San Francisco $1,000

260 Freeman Spogli & Co. Los Angeles $1,000

261 Angelo Gordon & Co. New York $1,000

262 Mohr Davidow Ventures Menlo Park $1,000

263 ECI Partners London $993

264 HealthPoint Capital Partners New York $992

265 Alta Partners San Francisco $975

266 H&Q Asia Pacific Palo Alto $956

267 FountainVest Partners Hong Kong $950

268 Caltius Capital Management Los Angeles $949

269 21 Partners Milan $937

270 Lereko Metier Parklands (South Africa) $934

271 Investitori Associati Milan $924

272 ACON Investments Washington DC $923

273 Brait Private Equity Johannesburg $922

274 Daiwa SMBC Capital Tokyo $915

275 Viola Group Herzeliya (Israel) $913

276 Quintana Capital Houston $910

277 Aurora Capital Group Los Angeles $900

278 TSG Consumer Partners San Francisco $900

279 JMI Equity Fund Baltimore $900

280 Institutional Venture Partners Menlo Park $900

281 Sigma Partners Boston $900

282 ICICI Venture Mumbai $892

283 Palamon Capital Partners London $884

284 DCM Menlo Park $880

285 Charles River Ventures Waltham (Massachusetts) $855

286 Eos Partners New York $853

287 Oakley Capital Investments London $851

288 Ventizz Capital Duesseldorf $851

289 Aureos London $850

290 Littlejohn & Co. Greenwich (Connecticut) $850

291 Lightyear Capital New York $850

292 Bay City Capital San Francisco $850

293 Morgenthaler Partners Menlo Park $850

294 Gresham Private Equity London $846

295 GGV Capital Menlo Park $840

296 Accent Equity Partners Stockholm $831

297 HM Capital Dallas $830

298 Quadriga Capital Frankfurt $829

299 Chequers Capital Paris $825

300 Thoma Bravo Chicago $822*Not

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Rules of the gameWhat the PEI 300 does and does not measure

Would you believe that ranking 300 private equity firms by size is not an easy task?

First one needs to define “private equity” and “size”. Then one needs to gather accurate capital-formation information on hundreds of firms in what is among the most opaque markets in the world.

The result of this hard work is the PEI 300, an expansion of an earlier annual ranking conducted by Private Equity Interna-tional called the PEI 50. Responding to demand from our read-ers, we have simply applied the same rules governing the PEI 50 rankings to a much larger population of firms.

In compiling the rankings, we are certain that we missed some important details, but we are equally certain that we exhausted every available resource in sourcing the best information. Pri-vate equity remains a non-transparent asset class, but it is get-ting more transparent with each passing year. We therefore be-lieve that the PEI 300 will become more and more authoritative as a guide to the most important investment firms in the global private equity market.

A firm’s rank among the largest 300 private equity firms in the world is determined by how much private equity direct-investment capital that firm has raised over a roughly five-year window ending at our press date last month.

What is the Pei 300?

The PEI 300 is a ranking of private equity firms globally by size. It is the only apples-to-apples comparison of dedicated, direct-in-vestment private equity programmes. The rankings began in 2007 as the PEI 50 and was expanded to the PEI 300 in 2009 due to demand for more information about private equity firms globally.

The PEI 300 is not a performance ranking, nor does it consti-tute investment recommendations. The PEI 300 includes private equity firms with varying structures and strategies around the world. While the list is mostly made up of private equity firms that manage private equity limited partnerships, it also includes firms with multiple strategies and business lines, and firms with publicly traded vehicles.

However, only a defined type of private equity capital is counted in determining the PEI 300 rankings, as described be-low. The PEI 300 only measures capital raised or formed within a five-year window spanning from 1 January 2004 until 15 April 2009. Last year’s rankings were also drawn from a 64-month window, but of course last year the window started on 1 January 2003 and ended on 15 April 2008.

Where two firms have raised the same amount of capital over this time period, the higher PEI 300 rank goes to the firm with the largest active pool of capital raised since 2004 (i.e., the big-gest single fund). If there is still a “tie” after taking into account size of single fund, we give greater weight to the firm that has raised the most capital most recently.

In coming up with our key “2009 PEI 300 Five-Year Fundrais-

ing Total” figures, upon which the PEI 300 rankings are based, we rely on the most accurate information available. We give highest priority to information that we receive from or confirm with the private equity firms themselves, always on background. When the private equity firms themselves confirm details, we still seek to “trust but verify”.

Some details simply cannot be verified by us, and in these cases we defer to the honour system. In order to encourage coopera-tion from private equity firms that might make the PEI 300, we do not disclose which firms have aided us on background and which have not. Lacking confirmation of details from the firms themselves, we seek to corroborate information using any avail-able resources, including the firms’ own websites, press releases, news reports, third-party databases, limited partner disclosures, etc.

Definitions

To help answer this question – how much private equity capital has the firm raised since 1 January 2004? – we needed to set some definitions:

“Private equity”: The definition of private equity for the purposes of the PEI 300 means capital raised for a dedicated programme of investing directly into businesses. This includes equity capital for diversified private equity, buyouts, growth equity, venture capital, turnaround or control-oriented distressed investment capital, and mezzanine debt. Our rankings do not take into account funds of funds capital, capital raised for primarily real estate strategies, hedge fund capital, infrastructure and debt capital.

“Capital raised”: This means capital definitively committed to a private equity direct investment programme. In the case of a fundraising, it means the fund has had a final or official interim close after 1 January 2004. We count the full amount of a fund if it has a close after this date. We also count the full amount of an interim close that has occurred recently, even if no offi-cial announcement has been made. We also count capital raised through other means, such as LP co-investment vehicles, deal-by-deal LP co-investment capital, publicly traded vehicles and earmarked annual contributions from a sponsoring entity, when we are able to access this information. Where capital is raised in partnership with an affiliated entity, we take into consideration the economic relationship between the two entities, as well as how the fundraising was marketed to investors.

We count mezzanine debt raised by firms that are primarily en-gaged in private equity investing. We only count equity raised for these funds, not the leveraged “buying power”. Mezzanine debt frequently involves warrants for equity stakes, and has historically been counted alongside buyout capital by industry media and data services groups.

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By the numbersHow the PEI 300 firms relate to each other, to last year’s list and to the broader deal economy

Source: Private Equity International

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500

Capital raised since 2002

$545bn

$2,322bnGlobal IPOs/Follow-on offerings

PEI 50

North America 68% UK 20% W. Europe 10% Asia Pacific 2%

68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

$0

$150

$300

$450

$600

$750

$900

$813

$524

Top 50 Next 250

Five

-yea

r fun

drai

sing

tota

l ($b

n)

0

$200

$400

$600

$800

$1000

Five

-yea

r fun

drai

sing

tota

l ($b

n)

PEI 50 2007 PEI 50 2008 PEI 50 2009

$551

$810 $813

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

$0

$150

$300

$450

$600

$750

$900

$813

$524

Top 50 Next 250

Five

-yea

r fun

drai

sing

tota

l ($b

n)

0

$200

$400

$600

$800

$1000

Five

-yea

r fun

drai

sing

tota

l ($b

n)

PEI 50 2007 PEI 50 2008 PEI 50 2009

$551

$810 $813

Top 50 vs. nexT 250Over the past five years, the largest 50 firms in the world have raised some 55 percent more equity capital than the next 250 firms

Where They’re basedAlthough many of the PEI 300 firms are globally active, a look at their headquarters shows the continued dominance of North America and the UK in the private equity industry

TWo years of climbingThese top 50 firms have advanced in our rankings for two consecutive years

ouT of The 50These firms appeared in last year’s top 50 but not in this year’s top 50

sloWing aT The TopThe largest 50 firms in the world did not raise significantly more capital during the five year window ending last month than during similar windows ending in the two prior years

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

North America65%

UK11.3%

Europe ex-UK11.3%

Asia8%

MENA2.7%

Africa1% Latin America

0.7%

TPGApollo Global ManagementBain CapitalWarburg PincusAmerican CapitalFortress Investment GroupClayton Dubilier & RiceJC Flowers & Co.WL Ross & Co.Bridgepoint

Barclays Private EquityEnCap InvestmentsNew Mountain CapitalEurazeoTA AssociatesDoughty HansonAIG Investments

Source: Private Equity International


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pei 50 ouTperforms resT of The packAccording to State Street Private Edge (SSPE), the PEI 50 outperformed the next 250 largest firms and the industry as a whole, tracked by the SSPE Index. Non-US PEI 50 firms lead by a clear margin

pei 300 deals vs. The WorldAccording to Dealogic, PEI 300 firms spoke for more than 10 percent of global M&A over the past five years

sloWing deals for The Top 50The largest 50 firms did fewer deals during the five year window ending April 2009 than the previous period

hoW They spenT iTThe PEI 300 invested $1.81 trillion in a broad array of industries around the world since 1 January 2004

Where They spenT iTThe PEI 300 have invested in diverse locations around the world since 1 January 2004

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

$0

$5

$10

$15

$20

Deal

val

ue ($

tr)

Deal

val

ue ($

tr)

$1.19

PEI 50 2007 PEI 50 2008 PEI 50 2009

Deal

val

ue ($

tr)

$0.0

$0.3

$0.6

$0.9

$1.2

$1.5 $1.39 $1.37

$1.81

PEI 300

$17.41

All M&A

$0.0

$0.5

$1.0

$1.5

2.0

$2.5

$1.81

PEI 300

All PE

$2.08

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

$0

$5

$10

$15

$20

Deal

val

ue ($

tr)

Deal

val

ue ($

tr)

$1.19

PEI 50 2007 PEI 50 2008 PEI 50 2009

Deal

val

ue ($

tr)

$0.0

$0.3

$0.6

$0.9

$1.2

$1.5 $1.39 $1.37

$1.81

PEI 300

$17.41

All M&A

$0.0

$0.5

$1.0

$1.5

2.0

$2.5

$1.81

PEI 300

All PE

$2.08

Notes: Based on data compiled from 1437 private equity funds, including fully liquidated partnerships, formed between 1990 to 2008 Q3. IRR: Pooled Average IRR is net of fees, expenses and carried interest. Pooled average IRR treats sample funds as a single “fund” by adding together all cash flows and net asset values. Rather than averaging returns for each sample fund, returns are calculated on the underlying “pooled” portfolio.

Source: State Street Private Edge

Notes: Excludes real estate and infrastructure deals Source: Dealogic

Notes: Excludes real estate and infrastructure dealsSource: Dealogic

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

Telecommunications17.6%

North America58.5%

Europe34.9%

Asia5.1%

Latin America0.7%

Africa0.6% Middle East

0.2%

Healthcare13.8%

Computers &electronics

12.4%Retail11.5%

Utility &energy11.3%

Finance10%

Professionalservices

9.0%

Dining & lodging

7.9%

Transportation6.5%

0 500 1000 1500 2000 2500

0 500 1000 1500 2000 2500


$545bn


PEI 50


68% North America

United Kingdom

20%

W. Europe

10% Asia Pacific

2%

Telecommunications17.6%

North America58.5%

Europe34.9%

Asia5.1%

Latin America0.7%

Africa0.6% Middle East

0.2%

Healthcare13.8%

Computers &electronics

12.4%Retail11.5%

Utility &energy11.3%

Finance10%

Professionalservices

9.0%

Dining & lodging

7.9%

Transportation6.5%

Notes: Excludes real estate and infrastructure deals

Source: Dealogic

Notes: Excludes real estate and infrastructure deals

Source: Dealogic

pei 50 irr pei 300 irr sspe index irrpooled average 13.45% 13.38% 12.92%

By investment focus Buyout 13.50% 13.29% 13.38%Venture capital 14.13% 12.87% 12.01%Mezzanine and others 12.69% 13.55% 10.60%

By geography US 13.36% 13.31% 12.47%Non-US 15.67% 15.48% 15.61%

PRIVATE EQUITY MATHEMATICS

Private Equity Mathematicswill help you to:

• Understand the nuances of privateequity performance

• Learn about PE cash flows withdifferent models

• Assess the inherent risk of PE fundinvestments

• Discover how to measure PEperformance in detail

• Find out how you can actually estimatealpha in a PE portfolio

• See how valuations are calculated inbuyouts and venture

• Appreciate how management fees andcarried interest work

Are company valuations playing on your mind?

A PRIVATE EQUITY INTERNATIONAL PUBLICATION

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Price: $665ISBN: 978-1-904696-60-5

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