At a glance Record fundraising from traditional investors gave U.S. venture capital funds the dry powder needed to fuel explosive growth in 2021. A growing list of nontraditional VC investors allowed startups to raise even more capital and resulted in the emergence of hybrid funds. Hybrid funds ... READ MORE >
Private equity showing signs of another strong year ahead
Following a bumper year in 2021, private equity activity is expected to carry on the momentum through 2022. Deal volume reached record levels in 2021, measured by dollar value and deal count, according to data from PitchBook. This year may not exceed the impressive totals from 2021, but conditions appear ... READ MORE >
In booming year, venture capital shows no signs of slowing
The venture capital ecosystem is stronger than ever and shows no signs of slowing down, data through the third quarter of the year shows. As of Sept. 30, global VC funding for the year was at $437.7 billion, 158% higher than 2020’s calendar total, per CB Insights. In the United States alone, $82.8 ... READ MORE >
Booming first half for private equity activity sets stage for a record year in 2021
At the current run rate, private equity deal activity is on pace for its best year on record. With $457 billion worth of deal activity recorded over the first half of the year, according to data from PitchBook, the cumulative activity midway through the year is the strongest it has ever been in terms of ... READ MORE >
SPAC IPO market pauses as investors and regulators reevaluate
Initial public offerings of special purpose acquisition companies (SPACs) have almost ground to a halt, a rapid and spectacular reversal of one of the hottest trends in 2020 and the first quarter of 2021. SPACs’ share price performance—as reflected by the Defiance Next Gen SPAC Derived Exchange-Traded ... READ MORE >
CHART OF THE DAY: The CLO market is back
The market for collateralized loan obligations (CLO) is back in full swing after more or less freezing in March and April last year. The bulk of leveraged loans used to finance private equity buyouts generally end up packaged into CLO products, making the volume and pricing of new issuances in the CLO ... READ MORE >
Private equity and venture capital stay resilient in the EU and UK
After a year of upheaval, private equity and venture capital dealmaking ended last year on a strong note in the European Union and the U.K., and that momentum is poised to continue. Consider where the industry stood at the beginning of 2020. After the Conservative Party’s decisive victory in late ... READ MORE >
How SPACs and direct listings are reshaping the capital markets
The volume and dollar value of public listings went on a tear last year as private companies took advantage of a bullish stock market to raise cash at attractive valuations. Activity in January indicates that this momentum has carried over into the new year with three methods of going public -- special ... READ MORE >
CHART OF THE DAY: The SPAC boom accelerates
Activity among special purpose acquisition companies has continued so far this year at its breakneck pace of 2020. With January more than half over, announced listings for SPACs have already surpassed the combined total for the first five months of last year. At this pace, January will match or ... READ MORE >
Private equity dealmaking surges, with gains in the middle market
After a quiet period set off by the coronavirus pandemic, private equity deal activity in the United States surged through mid-November as investment managers prepare for a possible tax policy change under President-elect Joe Biden. And the middle market has seen an uptick in deals. The overall ... READ MORE >