WASHINGTON – Today, the Private Equity Growth Capital Council (PEGCC) released its 2015 Q4 Industry Investment Report, highlighting the activity of private equity funds in industries throughout 2015 and the year’s final quarter, as well as years prior.
According to the report, business products and services (business-to-business) and consumer products and services (business-to-consumer) received over half of U.S. private equity investments in 2015. Business-to-consumer private equity investment led the way with a total of $177 billion invested during the year, while business-to-business services received $156 billion in investment from private equity. In addition to 2015 investment levels for the year, the report focuses on the number of deals made by quarter and their values.
“This report illustrates the breadth and depth of private equity investment throughout our national economy,” said PEGCC President and CEO Mike Sommers. “The main finding is that private equity is helping to support job creation and industry advancement in some of the most important sectors of our economy, and it is doing so in a substantial way. We expect this to continue throughout 2016.”
While many sectors received decreased or unchanged investment levels in Q4, the financial services industry served as a bright spot with an increase of $17 billion in private equity investment. The increase pushed the industry’s Q4 total up to $35 billion, nearly doubling the $18 billion invested in Q3.
“The jump in private equity capital invested in financial services brought it to a level not seen since 2007,” said PEGCC Vice President of Research Bronwyn Bailey. “The number of deals in this sector decreased from Q3 to Q4, indicating that private equity investment in financial services shifted towards investing in larger companies, such as insurance and investment advisors.”
Industries included in the report are as follows: consumer products and services; business products and services; financial services; information and technology; healthcare; energy; and materials and resources. Read the full report here.
About the PEGCC Industry Trends Report
The PEGCC releases the Industry Trends Report on a quarterly basis to show investment totals and number of deals in key industries: Business Products and Services; Consumer Products & Services; Energy; Financial Services; Healthcare; Information Technology; and Materials and Resources. The report highlights top deals in each sector, and provides a timeline of capital invested and deals on a quarterly basis from 2004 to present.
About the Private Equity Growth Capital Council
The Private Equity Growth Capital Council (PEGCC) is an advocacy, communications, member services, research organization, and resource center established to develop, analyze, and distribute information about the private equity and growth capital investment industry and its contributions to the national and global economy. The members of the PEGCC consist of the world’s leading private equity and growth capital firms united by their commitment to growing and strengthening the businesses in which they invest. More information about the PEGCC can be found at www.pegcc.org.