Private equity fund


A fund that buys majority stakes in companies and/or entire business units to restructure their capital, management and organization. Usually the targets are delisted (unless already unlisted), held private and restructured over a period of 3–7 years, and then again listed through an IPO.

Restructuring may be done through leveraged buyouts, venture capital, growth capital, angel investing, mezzanine debt, management share participation programmes and others.

Major investors in this industry include KKR (Kohlberg, Kravis, Roberts & Co.), Bain Capital, Blackstone Group, and Texas Pacific Group.

See also