Private Equity Firm

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Related to Private Equity Firm: Private equity fund

Private Equity Firm

Firms that use their own capital or capital raised from investors to take companies private with the aim of running them better and later taking them public or selling them at a profit.

Private Equity

1. Ownership in a corporation that is not publicly-traded. That is, private equity involves investing in privately held companies. Most of the time, private equity investors are institutional investors and high net-worth individuals who have a large amount of capital to commit to these investments. Private equity is usually held for a long period of time, and trading in it is useful when a company is in danger of bankruptcy, because it provides access to a great deal of capital very quickly.

2. A company that trades in private equity. Often, private equity firms band together and buy out publicly-traded companies, making them privately held.
References in periodicals archive ?
This is particularly true if the entrepreneur knows of a business colleague who has successfully attracted an injection of capital from a private equity firm with which to expand her operation, or perhaps of another who has taken his chips off the table altogether and is now sailing around the Med on a 45-foot yacht.
US private equity firms Kohlberg Kravis Roberts (NYSE:KKR) and TPG Capital are considering a joint bid for the ailing wine business of Australian alcohol producer Foster's (ASX:FGL), the Australian Financial Review reported today.
A LEADING city academic has said it won't necessarily be a bad thing if private equity firms take over Jaguar and Land Rover.
You used to be able to go to Dubuque and make contact with the locals there, and you'd have a chance to see a deal," says David Lobel, a managing partner and cofounder of Sentinel Capital Partners in New York, a private equity firm that invests mainly in middle-market companies.
Private equity has also sought out start-up companies, such Greenlight Re, a Cayman Islands' reinsurer funded by New York City-based private equity firm Greenlight Capital Inc.
The transaction highlights how private equity firms can utilize sale-leaseback financing to build their portfolio of companies and effectively convert these real estate assets into capital to complete their acquisitions.
Price is alluding to the many private equity firms with talent, expertise and track records of successful investment partnerships.

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