More than just capital
10/06/2008. The search for a suitable investor can be difficult for small and medium-sized companies. However, the chances of successful collaboration increase if several important criteria are met during the selection process, writes Dr Peter Hammermann, co-head of Barclays Private Equity.

Private Equity Barometer Q3 2007
31/10/2007. Following a record-breaking second quarter, it was difficult to see anything but further growth ahead for private equity going into July. However, the turbulence in the credit markets in the wake of the sub-prime mortgage crisis led many to begin predicting a barren period for the asset class. With liquidity reduced and leverage hard to come by, deal flow in the buyout market, which had been the driver of the record figures, would surely dry up. The statistics, though, as analysed in this unquote" Private Equity Barometer, sponsored by Candover and published by Incisive Media, tell a more complicated story.

European private equity cycle peaking as corporates fight back
09/05/2007. As the M&A boom heads towards its peak, a divergence of opinion on prospects for 2007 is emerging between private equity houses and the corporate sector. Private equity is less enthusiastic than the corporate sector about the prospects for European mid-market M&A activity over the next six months, according to KPMG International’s European Mid-Market M&A Outlook.

Growth is unbroken
20/03/2007. 2006 was a good year for German mid-market buy-outs, finds Deutsche Beteiligungs AG, with more transactions and higher value than ever.

Private equity investment in companies with a defined pension scheme deficit plummets
27/09/2006. Private equity investors are becoming increasingly cautious about investing in companies with defined pension deficits, according to a survey of mid-market private equity investors carried out by Grant Thornton Corporate Finance.

The impact and perception of buy-outs in Europe
20/09/2006. The private equity industry, which has been growing rapidly in Europe, has recently had to face increasing public awareness and criticism, says Loic Le Foll Focusing on the buy-out industry in Europe, this paper aims to analyse the factors that can contribute to a poor perception of buy-outs as well as the potential consequences if nothing is done.

Europe's mid-sized companies offer great potential for private equity
16/08/2006. A study of 33 European Mid-Market Buy-Out Funds produced by Fleischhauer, Hoyer & Partner shows increased maturity in the sector, strong deal flow and lower risks going forward compared to the large buy-out market. The study concentrated on funds targeting the majority acquisition of companies valued below the €250m threshold.

Teva, Check Point and the Black stone
14/02/2006. In this Israel Venture Capital Journal article, Eyal Shamir, Vice President of Business Development at BDO Ziv Haft looks at the resurgence of buy-out funds. He finds that their growing power makes even the largest companies potential takeover targets. Israeli companies, too, are not immune to their grasp.

A manager's guide to buy-outs
11/02/2005. Buy-outs are challenging times for management teams both during and after the deal. Claire Oldfield of Kleinwort Capital finds out how managers and limited partners should work together to maximise value.

Japanese Buyout Fund Boom
19/01/2005. Establishment of buyout funds in Japan started with fund raising by Advantage Partners in 1997. The successive establishment of buyout funds after that is one of the phenomena that symbolize the historic turning point for the Japanese financial industry and stock markets that came about as a result of financial system "Big Bang" in that same year, says Chikusei Partners. In order to understand the situation in which Japanese buyout funds were established in and after 1997, it is important to gain an understanding of the changes in the financial and economic environments at the time.

Management buy-outs: A five-point checklist for success
13/07/2004. A management buy-out can be a highly attractive business proposition for private equity backers and for the management team itself. Here, David Baxa of VISTA Technology Services, provides a five point guide to a successful MBO.

The mid-market deal flow barometer - Q2 04
24/05/2004. Almost half of all UK mid-market deal opportunities over the next six months are expected to develop in just three sectors: business services, healthcare and financial services, according to a survey conducted by Grant Thornton. Interesting deal opportunities are also expected to develop within the food and beverages, consumer products and media sectors.

Buy-outs of small and medium-sized German enterprises emerge from the doldrums
14/05/2004. Just E1.5bn of private equity is currently invested in the German mid-market, compared to E6bn in the UK. For private equity firms with a genuine experience of this market, this means that there are real opportunities to realise interesting investments with expected returns well above the European average, according to Global Vision.

Thin capitalisation rules: A threat to European buy-outs
19/04/2004. In 2002, the European courts issued a ruling that declared German thin capitalisation rules to be contrary to European law. The impact of this decision is only just starting to be felt but could be dramatic for European buy-out structures, according to SJ Berwin.

New safe harbour provisions on Italian leveraged buy-outs
22/03/2004. Recent legislation in Italy has created a general safe harbour for leveraged buy-outs. Mergers between a leveraged vehicle and the acquired target, where the target acts as a general guarantee, or the source of reimbursement of, the debt incurred by the vehicle, will now be permitted subject to certain requirements, according to Giancarlo Capolino Perlingieri and Dante Leone of Debevoise & Plimpton.

UK MBO figures Q3 2003
15/10/2003. In the spring of 2003, the UK experienced an uptick in the level of management buy-out activity. This resurgence has carried on through the third quarter of the year. KPMG's private equity group assesses the state of the MBO market in the UK and highlights its continued increase in activity.

Food sector insights 2002/2003
30/07/2003. Mergers and acquisitions activity in the European food industry looks set to remain buoyant according to PricewaterhouseCoopers' Food Sector Insights report. Middle-market transactions are expected to remain strong, with a growing number of larger deals emerging as the economic outlook begins to look more certain.

Tax and legal issues arising on leveraged buy-outs
04/06/2003. Polish leveraged buy-out deals are hampered by an unfavourable taxation regime, which places stringent requirements on groups of companies if they are to achieve tax relief status. Charles Waddell of CMS Cameron McKenna compares and contrasts the Polish and UK taxation systems and suggests how a private equity firm investing in Poland can structure a transaction in order to negotiate a tax-efficient acquisition.

Winning mandates in the European LBO market
21/05/2003. As competition for the most lucrative management buy-outs hots up between private equity firms, so too does competition among investment banks to secure the winning mandates. Nigel Ward of Ashurst Morris Crisp gives a stage-by-stage breakdown of the supporting documentation required to seal the deal.

Management buy-outs - a marriage of inconvenience?
07/05/2003. The management team is absolutely critical to the success or failure of a management buy-out, argues Andrew Rothery of GS Private Equity in this question-and-answer session. Rothery discusses the difficulties involved in evaluating the management team and the crucial factors needed for a management team to be successful in partnership with a private equity firm.

Turning opportunity into reality
30/04/2003. The management buy-out is widely being hailed as the only active component in a moribund M&A market. In reality, however, there aren't that many MBOs being completed. Kirsty Sandwell of Baker Tilly discusses the merits of the MBO and questions why management teams aren't jumping at this opportunity.

Buy-out groups seek middle-market acquisitions and asset-based deals in 2003
12/03/2003. There is speculation among industry experts that, as a result of increased buy-out activity, the mergers and acquisitions market is set to experience a modest upturn in 2003. But what is going to drive this? James G Connolly of Fleet Capital discusses.

German market for management buy-outs: a personal view
04/03/2003. The German market has long been touted as being ripe for private equity investment, particularly in the famed ‘Mittelstand', a breeding ground for buy-outs. But, argues Andrew Richards, previously managing director of 3i Germany, the country is unlikely to live up to expectations. Here he presents a personal view of the prospects for the German market going forward.

Family ties
26/02/2003. Family-owned firms are the backbone of the European economy, but few seem to want to sell. Javier Loizaga of Mercapital argues that if investors work hard to find deals and partner with owners, the rewards justify the effort.

UK buy-outs hit lowest level since 1996
29/01/2003. The UK buy-out market continues to show little sign of recovery as the number of completed deals in 2002 fell for the second year running. The KPMG management buy-out survey for the fourth quarter of 2002 shows a willingness among firms to do deals, but a lack of opportunity open to them caused by volatile public markets and political uncertainty.

Taking care coming off the list
11/12/2002. More and more public companies are choosing to go private as the general state of the stock markets continues to decline. Most transactions of this nature involve a management buy-out. Paul Burke of Taylor Wessing looks at how to ensure that the process goes to plan.

UK management buy-outs Autumn Review 2002
04/12/2002. After a slow start to 2002 with just £7.2bn recorded in the first half of the year, the third quarter has seen greater confidence in the UK buy-out market with a total of £5.5bn of buy-outs completed. Although this shows an uptick in the amount of capital invested, dealflow remained consistent with the previous two quarters with 145 deals made compared to 157 in Q2 and 140 in Q3, according to CMBOR.

Middle-market M&A activity: is the worst behind us?
01/10/2002. The US has not been able to escape the decline that has affected all areas of the global financial markets. Indeed, the middle-market M&A sector has been considerably damaged. Nevertheless, as Fleet Capital argues, the future should afford investors a cautious optimism as markets will return to a healthy and sustainable level.

UK management buy-outs - Summer review 2002
24/09/2002. The first half of 2002 has not been particularly good for the buy-out market. Its value has failed to recover from a disappointing end to 2001 with a further decrease in the number of larger deals. Deal flow has also been affected, with figures down eight per cent on the same period last year, according to the latest figures from CMBOR.

Leveraged buy-outs
02/09/2002. In the last ten years, the phenomenon of private equity has assumed previously unknown dimensions and importance for the Italian economy. But when considering a leveraged buy-out in Italy, one of the most important issues for investors must be the legal hurdles particular to the Italian market. Annapaola Negri-Clementi and Paolo Montironi of NCTM Negri-Clementi Toffoletto Montironi & Soci, Milan, consider the options.

M&A Review
27/08/2002. A lack of exit opportunities continues to plague the private equity industry, particularly in terms of access to the public markets. As a result, private equity firms are increasingly turning to the mergers and acquisitions market as a means of exiting their investments. As Dealogic's M&A Review for August describes, it may not be thriving but it does offer a degree of optimism for the industry.

The managing directors of management buy-outs
26/08/2002. Over the last ten years, the number of management buy-outs (MBOs) and buy-ins (MBIs) have significantly increased through Europe. However, there are differences from country to country with regard to the level of activity and maturity of the MBO/MBI marketplace. 3i and Venturelab have jointly undertaken a pan-European study comparing two groups – those that have undertaken an MBO and those that could potentially undertake one – to investigate a series of issues, ranging from competitive outlook and environment to personal beliefs and practices.

Added value - from cliché to critical success factor
21/08/2002. Private equity is becoming increasingly littered with catch phrases, such as ‘upper quartile' and ‘added value'. John Hartz of Inflexion argues that the latter of these two has grown in importance as investors focus their attention on it. No longer just a cliché but a critical factor behind a firm's success.

Beating the buy-out paradox
14/08/2002. The buy-out landscape has changed dramatically in recent years as the industry has seen a return to a greater discipline in pricing and valuation. David S Evans of Glencoe Capital presents an overview of the current characteristics of the buy-out market and what needs to be done to drive the market forward.

European management buy-outs
30/07/2002. Although deal volume rose slightly, the continental European buy-out market faltered in 2001. Much of this can be accredited to the global economic uncertainty that characterised the year, say the authors of CMBOR's European management buy-outs survey. As is often the case two or three individual country markets, such as Germany, France and the Netherlands, heavily influence the figures.

Management buy-outs in Asia
30/07/2002. Management buy-outs are a prominent feature of the global private equity market, especially in the US, the UK and parts of Europe. They have also showed signs of taking hold in Asia but they have not yet fulfilled expectations in the region. CMS Cameron McKenna gives an overview of management buy-outs and assesses the benefits that they could bring to the Asian market.

Value-creation in buy-outs
12/06/2002. It may take up to five years for a private equity investment to mature and even then it can only be realised on exit. So, asks Jon Moulton of Alchemy, what can fund managers do in the interim period to add value to their portfolios and ensure the best exit price?

Discussion on reform of merger control regime launched
20/05/2002. The growth of European private equity and the increase in cross-border activities have pushed private equity transactions - particularly MBOs - into the spotlight. So much so that the European Commission has reviewed this type of transaction in its revised European Community Merger Regulation.

The emergence of large funds
03/04/2002. Average fund size rose dramatically throughout the 1990s, but the lack of opportunities for mega-funds means that there is a question mark over their future performance, say Varun Sood and Tom Clausen of Capvent. Institutions should now be looking at the large numbers of sub $250m local funds in the US and Europe, they argue.

The managing directors of management buy-outs: a comparison with corporate executives
15/03/2002. As a number of companies come under pressure from banks or look to restructure, 2002 could well be a vintage year for private equity buyers looking to acquire quality businesses with strong management teams, say 3i and INSEAD.

There seem to be as many definitions of mid-market as there are players. Can someone please give me a sensible answer as to what it is?
06/03/2002. A: From Bridgepoint Capital. As the froth has definitely come off the technology sector, a number of high-profile dot.bombs have hit the headlines and even the larger MBO market has lost some of its shine, there has been renewed interest in the mid-market arena.

Europe's mid-market evolution and dynamics
25/02/2002. The European mid-market has swung back into vogue recently as investors have abandoned technology and internet firms. Mark Wordsworth from Bridgepoint Capital considers the gradual development of the market in the last five years and the characteristics that make it unique.

The banking market for leveraged buy-outs: continued uncertainty
15/01/2002. The economic slowdown and the events of 11 September have made debt lenders much more cautious as they wait to see what the full impact on the economy will be. This Ernst & Young survey presents the current thinking of the market's leading lenders.

Leveraged management buy-outs at KKR: Historical perspectives on private equity, debt disciplines, and LBO governance
14/11/2001. As with all forms of private equity investing, leveraged buy-outs require close evaluation, sophisticated financing, diligent oversight and patience. What makes the LBO distinctive is that it employs high leverage in the initial financing, and that it is normally a rehabilitative acquisition strategy undertaken in mature sectors of industry where under-performing companies are ripe for rejuvenation. It was in its formative stages, and remains, a highly specialised technique for acquiring assets and improving their value. What makes it historically important is that its impact - the lessons it has to teach about incentives for management and corporate governance - have spread to the wider corporate world. George Baker, Harvard Business School and George Smith, Stern School of Business discuss.

MBI Report
03/10/2001. The management buy-in market is growing rapidly. Over the last 15 years MBI deal values have grown by 45 per cent. This report from Springboard plc offers a view of the MBI process from a candidate's perspective and gives investors an insight into what happens in an MBI and the motivations of those involved.