Surveys Archive > 2002 ICOSR private equity opinions survey Autumn 2002 17/12/2002. Many European private equity professionals expect the abnormally high failure rate for investments to persist for the foreseeable future, according to ICOSR in their autumn 2002 private equity opinions survey. They also agree that the continuing poor state of the IPO market is hampering their ability to achieve exits. The Cinven Index: Issue 4, December 2002 10/12/2002. Six months ago the Cinven Index reported that bankers were predicting an upturn in the number of private equity transactions. These expectations have not been borne out, and it seems that a mood of pessimism is sweeping the Continent, as bankers across Europe expect the economic climate to worsen going forward, according to the latest Index. M&A Review - secondary buy-outs on the rise 04/12/2002. The mood in the global M&A market remains subdued as figures continue to reveal a decline in activity. With scant opportunity to exit their investments via trade sale, secondary deals between private equity players have become increasingly common. Dealogic investigates. 3i European enterprise barometer Q4 2002 03/12/2002. Business confidence across European private equity-backed companies continues to be unrelentingly pessimistic, according to the latest 3i Barometer. The barometer index has fallen from negative 69 to negative 114, - an all-time low.Confidence was at its lowest in Germany, where the index slumped to negative 146. France followed on negative 133, the UK on negative 102, Spain on negative 88, and Italy on negative 69. Germany's dismal score reflects worsening expectations for its economy. The survey was conducted in October 2002 against a background of one of the lowest points for stock markets in the last five years. 2002 Global Entrepreneurship Monitor 26/11/2002. The global economic slowdown has had a significant impact on global entrepreneurial activity, which dropped by 25 per cent last year, according to the Global Entrepreneurship Monitor for 2002. Particularly steep declines were recorded for the larger European markets, including a staggering 57 per cent decrease in France, a 42 per cent slide in Italy, a 35 per cent drop in Germany, and a 31 per cent decrease in the UK. IVC quarterly survey - Q3 2002 12/11/2002. The Israeli venture capital community, once a hotbed of high tech investments, has again experienced a decline in investments in the third quarter of 2002. The global hostility to technology investments and the continued political tension in Israel have combined to cause this downturn, says the IVC Research Centre. ICOSR investment opinions survey spring 2002 12/11/2002. General partners expect the time between initial investment and exit to increase in the foreseeable future, according to a survey by ICOSR. This indicates that funds will have more decisions to take about whether or not they should provide follow-on funding for existing investments. Q2 Israel MoneyTree Report 12/11/2002. Venture capital funds increased their share of total investment in Israeli high-tech companies in Q2 2002 – up to 52 per cent as opposed to 35 per cent in the previous quarter, according to the Kesselman & Kesselman Pricewaterhouse Coopers MoneyTree survey. However there was a decrease of 37 per cent in the volume of venture investments on the previous quarter, to $217m. Q3 Israel MoneyTree Report 05/11/2002. There was little change in the levels of investment in high-tech venture-backed companies in the third quarter, according to the Kesselman & Kesselman Pricewaterhouse Coopers Israel MoneyTree survey. But local venture capital funds spent less in Q3 compared to Q2, both in absolute terms and in relative weight – 48 per cent ($106m) as opposed to 52 per cent ($112m). M&A Review 16/10/2002. The mergers and acquisitions market continues to struggle in the face of tough market conditions but one or two large deals have helped to make the figures more respectable. Dealogic's M&A Review for this month assesses the global situation and provides an analysis of the most important areas. IPO Watch Europe Q3 2002 15/10/2002. The latest quarterly PricewaterhouseCoopers IPO Watch Europe shows a marked decline in new listings on Europe's principal stock exchanges when compared to the same period in 2001. The survey, which tracks the volume and value of European IPOs, reveals that the market slowdown has worsened over the last few months, even given the normal lull in activity over the summer period. Global Private Equity 2001 08/10/2002. Investment by private equity and venture capital funds across the world halved in 2001 to $100bn, according to this report by PricewaterhouseCoopers and 3i. The global industry now has a capital overhang of $180bn. M&A Review 17/09/2002. The European mergers and acquisitions market is down yet again on last year and has plunged to levels not seen since 1997. However, as this month's M&A Review from Dealogic finds, private equity firms are causing a stir as they begin to bid more aggressively for M&A transactions, often putting targets beyond the reach of trade buyers. 3i European enterprise barometer Q3 2002 10/09/2002. Confidence among venture-backed companies fell at its sharpest rate for five years in the latest quarter, according to the latest 3i European barometer. The index, which records the views of private companies on the business and political climate, has fallen in four of the five countries measured, and the overall result is now minus 69 compared to minus 39 three months ago. 2001 Private Equity Survey - South Africa 02/09/2002. Political unrest and economic downturn in 2001 had a significant impact on the South African private equity industry, says this survey by KPMG and the Southern African Venture Capital and Private Equity Association. The depreciation of the Rand also added to the problems. 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. The climate for growth entrepreneurship in Europe 19/08/2002. There has been increasing interest in recent years in the topic of entrepreneurship in general and what is called growth entrepreneurship in particular. This 3i Venturelab report sets out to explore a wide variety of indicators relevant to the different phases of the entrepreneurial process and confirms that overall, the US still offers a more amenable environment for entrepreneurs. This does not imply that the US is perfect, neither does the report suggest that Europe should strive to replicate the US model. The comparison is suggested as a means for European countries to measure whether their own individual balance is adequate. Developments in secondary buy-outs 14/08/2002. Secondary buy-outs are currently enjoying rapid growth in the UK as alternative exit routes remain closed. The Centre for Management Buy-out Research reveals in the key findings of a recent survey that although private equity firms prefer more traditional routes, such as IPO or trade sale, secondary buy-outs are the next best thing. Global Enterprise Monitor Survey 2001 12/08/2002. Australia, New Zealand and Mexico proved to be the most entrepreneurially active countries last year, while the United States, long a dominant powerhouse in entrepreneurial new business formation, slipped sharply in terms of new business start-ups. Furthermore, most of the countries comprising the European Union, including the United Kingdom, were among the least entrepreneurial countries, according to the Global Entrepreneurship Monitor 2001 (GEM). The study of entrepreneurship and economic growth was conducted by Babson College, London Business School, the Kauffman Center for Entrepreneurial Leadership, and IBM. M&A Review 06/08/2002. The global mergers and acquisitions market has felt the effects of the downturn in both the public and private equity markets. Yet there appear to be some glimmers of hope as Dealogic's M&A Review for July 2002 reports. IVC quarterly survey 30/07/2002. Venture investments in Israeli high tech companies fell again on the quarter and are now significantly beneath year-ago levels. Figures from IVC Research Centre reflect the continued decline in technology financing worldwide, compounded by Israel's unstable political climate. 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. The Gresham Monitor - July 2002 16/07/2002. There is a degree of confidence returning to the private equity industry, and, indeed, the UK economy, as mid-market companies are experiencing renewed optimism in expanding their businesses. However, all businesses will have obstacles to overcome, warns the Gresham Monitor. Weathering the downturn 16/07/2002. Mergers and acquisitions activity around the world has been in the doldrums over the last year or so. But to what extent has the slowdown been apparent in Central and Eastern Europe? PricewaterhouseCoopers studied the transactions in the region to work out whether these fragile markets have been stopped in their tracks by world events or sheltered from the storm by the unique economic cycle of emerging markets. UK MBO market shows modest improvement - but confidence remains low 16/07/2002. Deal activity has shown a slight upturn in Q2 2002 from the three previous quarters, although still well down on this time last year. Deal volume is up 53 per cent on the previous quarter, although the vast majority of this increase can be attributed to the £2.05bn institutional buy-out of Southern Water. KPMG's MBO survey charts this increase but expresses caution about its sustainability. The Cinven Index June 2002 10/07/2002. The last twelve months have been dominated by gloomy news about the state of the European private equity market, giving very little cause for optimism. The latest Cinven Index, however, offers a glimmer of hope. It predicts that private equity transactions will increase in the latter half of 2002. Coming of age: the European venture capital industry 03/07/2002. The long-term prospects for private equity are good, with venture capital functioning as a mature industry by 2005, according to this report by Brask & Company. There will be some pain on the way, however, as the market undergoes a period of consolidation following the unsustainable environment created by the technology bubble. European new issues market 02/07/2002. The European new issues markets have contributed significantly to the evolution of growth-oriented entrepreneurial activity in Europe, according to this report from 3i and Venturelab. Its aim is to achieve a better understanding of market trends and to evaluate the structure, process and performance of these markets. Q2 2002 Israel VC Indicator Survey 12/06/2002. The local political and security situations in Israel have added to the misery felt by the Israeli venture capital community. The VC Indicator Survey conducted by Deloitte & Touche shows a reversal in the more positive outlook shown in the first quarter of this year. 3i European Barometer Q2 2002 04/06/2002. European venture-backed firms have registered a gentle recovery in confidence in the latest quarter, although there remains a sense of uncertainty about the immediate economic outlook, according to the 3i Enterprise Barometer. The European barometer rose to minus 39 in the latest quarter from minus 64 in the previous survey, representing a second consecutive quarterly improvement. Israel and the virtues of necessity 20/05/2002. Israel has proved to be a remarkable case study in the transfer of technology from research into commercial exploitation. This has been to a large extent dependent on government initiatives. How will the region be able to continue to exploit these opportunities in a worsening economic climate and a difficult political situation, ask David Gill, Tim Minshall, Martin Rigby and Bob Campbell at the University of Cambridge Entrepreneurship Centre. Private equity opinions survey 23/04/2002. As fund size has increased, the role of the fund manager has changed - they must now adapt their working patterns to cope with the strains of these large funds. This is according to a survey released by ICOSR who spoke to 29 separate private equity funds and assessed their current performance in the light of these changes. KPMG MBO statistics: April 2002 16/04/2002. Deal volumes for larger UK management buy-outs fell once again in the first quarter of 2002. However, the market continues to show signs of being poised to pick up – a recovery expected to begin in Q3 or Q4. According to figures from KPMG Corporate Finance, secondary buy-outs are also becoming increasingly popular as the IPO window remains limited as an exit route. Opportunistic investing: real estate private equity funds 10/04/2002. Real estate private equity funds date back to the late 1980s/early 1990s and have since become more sophisticated. This survey by Ernst & Young explores the dynamics of real estate private equity funds, the tax issues involved and the need for greater transparency in reporting methods. Investment benchmarks - European private equity preliminary report 03/04/2002. Unsurprisingly, the tech downturn, falling company valuations and the stock market's deflation have affected short-term returns in European private equity. One-year pooled IRR stands at –2.3 per cent, although long-term returns remain robust, according to figures recently out. Gillian Middleton of Venture Economics presents the preliminary findings of the investment benchmarks study. 3i Europe Barometer Q1, 2002 26/03/2002. For the first time in two years, Europe's private companies signalled an increase in confidence, according to the 3i European barometer. The survey's index of optimism about the business, economic and political climate jumped to minus 64, compared with minus 109 in November. High-tech venture capital: portfolio realism and realisation 20/03/2002. Venture capitalists believe that mergers and acquisitions will be the main exit route for their technology company investments as the IPO window will stay shut until at least 2003, according to research undertaken by Ionic Advisors and the Miller Insurance Group. VCs bring in new year with renewed optimism 06/03/2002. The VC sector has been badly bruised by a convergence of factors over the past two years: weak and volatile public markets, a darkening macro-economic outlook, and a brutal collapse in technology markets in particular. This survey from Deloitte & Touche reports an increase in confidence among UK venture capitalists about the outlook for their business for the first time in nearly three years. Report on the EU candidate countries, measures to promote entrepreneurship 05/03/2002. If successfuly integrated into the European Union, the accession countries could provide a large and exciting new market for many private equity investors who are currently adopting a wait-and-see approach. The key is whether the countries are doing enough to foster their home-grown entrepreneurs and therefore provide dealflow for venture capitalists. This European Commission study looks at what the candidate countries are doing in this vital area. Insight into portfolio management - Private equity research management 05/03/2002. The business model used by successful private equity houses in the 1990s may no longer be so effective in generating the best class of returns. KPMG and Manchester Business School conducted a survey, which finds that the traditional deal-making expertise may need to be supplemented, particularly in the mid-market, with additional portfolio management skills. This will enable private equity houses to add value more readily throughout the investment cycle. A useful overview for investors looking to understand current practice and the ways in which portfolio management can be developed and improved to maximise returns. Private equity performance continued downward trend in Q3 20/02/2002. Private equity investment returns have continued a downward trend in the third quarter, battered by ongoing volatility in public markets and falling valuations for technology companies, according to these figures from the National Venture Capital Association and Venture Economics. Global Investment Review 2001 28/01/2002. As returns for equities and bonds look like taking a downturn, investing in alternative assets has become a far more attractive proposition. This second Global Investment Review from Watson Wyatt highlights areas in which notable change has occurred. Alternative investment review 22/01/2002. Western Europe is expected to experience enormous growth in its alternative investment market over the next couple of years, with many institutions increasing their allocations from one per cent to five per cent. This edited extract from Indocam and Watson Wyatt gauges the future interest in this field from a survey of European pension funds. European public-to-private activity 15/01/2002. The number of public-to-private transactions in Europe will to increase in 2002, according to this report from Hawkpoint Partners. The report is based on a survey into future expectations for public-to-private deals in Europe among 250 key decision-makers in the UK, France and Germany. 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. Alternative investing by tax exempt organisations 2001 15/01/2002. European institutional investors plan to increase their allocation to private equity over the next few years, according to the latest edition of the Goldman Sachs/Frank Russell report on alternative investment. The survey found that European investors expected their strategic allocation to reach 4.3 per cent by 2003 up from the present level of around 3.6 per cent. Total assets committed to private equity by the survey's respondents increased to $246bn in 2001 from $169bn in 1999. Private equity and European M&A: future expectations 11/01/2002. Private equity funding in the European M&A market will continue to grow in the first half of 2002 even though the overall economic climate will deteriorate further, says this report published by Cinven. US private equity funds remain confident in Latin America, finds PwC survey 07/01/2002. US private equity investors are confident that the overall economic performance of Latin America in 2001 will be positive, according to the fourth annual survey of US-based private equity funds by PricewaterhouseCoopers' Latin America Business Centre. The survey participants include some of the largest US private equity funds with active investments in Latin America.