Global Private Equity (PE) Activity
The premier month of 2009 saw a drastic slowdown in global PE activity.
The USD33.0 Billion mark was crossed by fresh fund closures.This included 3i’s USD13.7 Billion investment and CVC’s funding of EUR11.0 Billion.
In percentage terms, North America accounted for highest number of closures 56%, while Europe and Asia accounted for 37% and5% respectively.
US received the maximum investment, to the tune of nearly USD15.0 Billion, followed by Asia Pacific with about USD482.0 Million.
The sector with the most number of investments was Computers & Internet, followed by the Industrial/Energy sector.
The largest deal, amountiong to USD 13.9 Billion was the buyout of Indymac by J.C. Flowers & Co. LLC, MSD Capital L.P., and some undiclosed firms.
Indian PE Activity
In India, The PE investment dropped sharply to less than USD100.0 Million with a dozen deals in January 2009,a far cry from the USD3.0 Billion investment with over 60 deals in January 2008. The Engineering & Construction sector had the highest PEinvestment amounting to USD36.0 Million.
Two notable deals were
* The acquisition of a 17.7% stake in Hyderabad-based infrastructure company Coastal Projects for USD36.4 Million by Citigroup Venture Capital International (CVCI).
* Three Indian companies recevived investment to the tune of USD23.0 Million from
Intel Capital, the investment arm of Intel Corp. IndiaMART.com, an online business-to-business marketplace, received an investment of USD10.0 Million while the remaining USD13.0 Million was allocated to Global Talent Track, a vocational educational institute, and One97 Communications Pvt. Ltd., a provider of value-added services such as ring tones and games for mobile phones.
Source: PE News Reports and Articles
