News

UK private equity deal levels rebound

Private equity deal volumes staged something of a rebound in the first quarter of this year, as secondary buyouts drove the market to its highest level since Lehman Brothers collapsed in 2008.

by . .

Private equity deal volumes staged something of a rebound in the first quarter of this year, as secondary buyouts drove the market to its highest level since Lehman Brothers collapsed in 2008.

According to research published by KPMG, there were 36 buyouts worth a total of £5.14bn (€5.6bn) in the first three months of the year, the highest by volume and value for seven quarters.

However, the figures were still well behind the levels seen at the top of the market in 2007, when quarterly figures regularly topped £50bn.

Notable deals included KKR’s £950m acquisition of pet accessories chain Pets at Home from Bridgepoint, and Warburg Pincus's acquisition of safety equipment manufacturer Survitec from Montagu for £280m.

According to the Financial Times, the biggest jump in buyout activity was in deals worth between £100m and £400m, which benefit from being substantial enough to attract big-name firms, but small enough to make debt financing possible.