International Evidence on Value Creation in Private Equity Transactions
Journal of Applied Corporate Finance, 2015, Forthcoming
Posted: 17 Sep 2014 Last revised: 19 Dec 2015
Date Written: August 29, 2014
Understanding value creation at the transaction level is at the heart of explaining private equity (PE) returns. Taking advantage of a proprietary sample of 2,029 international buyout deals executed between 1984 and 2013 we provide detailed evidence on financial, market and operational value creation drivers. Additionally, we unravel the differences in value creation between regions, industries, transaction sizes and over time, providing limited and general partners with the opportunity to compare their past transactions with those of their respective peer groups.
Keywords: private equity, value creation drivers, leveraged buyouts
JEL Classification: G23, G24, G31, G32, G34
Suggested Citation: Suggested Citation