Pitchbook Q1 Data Finds Strong Middle Market

PitchBook Data has released its preliminary data covering U.S. private equity investment and fundraising during the first quarter of 2010, which you can download below. Here are some highlights:

  • Private equity firms completed 300 investments in U.S. companies during the first quarter, the highest total since the fourth quarter of 2008 and slightly more than the 287 PE investments closed in 1Q 2009.
  • The top industry for private equity investment was Business Products and Services with 99 deals, followed by Consumer Products and Services with 57 deals and Healthcare with 40 deals.
  • The lower-middle and middle-market ($250 million and below) continued to represent the vast majority of PE investment during the quarter, accounting for 85% of the deal flow.
  • Private equity exits surged to their highest level in over a year with 71 completed exits totaling $7.85 billion.
  • 19 U.S. private equity funds reached a final close during 1Q, totaling $14 billion in commitments, a significant decline from the 39 funds closed in 1Q 2009 with $61 billion in commitments, showing that the fundraising climate remains difficult as PE firms deal with the current $400 billion capital overhang and limited partners contend with allocation issues and large portfolios of unfunded commitments.

The report:

PRIVATE EQUITY INVESTMENT REPORT 1Q 2010