Private Equity

We have seen an out flow of personnel from some Private Equity funds. Some individuals returning to what they did previously (banking or consulting), or moving into Corporate Development or more traditional forms of Funds Management. We have seen some senior personnel leave the Industry. With investing timetables for funds slowing the prospect of a 7–10 year lock in has encouraged some to seek challenges elsewhere.

Some funds are in “run off" mode and selling assets off without the likelihood of raising another fund so staff are moving on.

Offshore enquiries from those in PE looking to return. These candidates will on the whole struggle to find roles in PE here we imagine and will need to be both flexible and patient.

Public to private deals have continued to be difficult to complete. However, with asset prices in many cases at all time low levels we may see some re attempts to close such deals.

Hopefully the capital raising market will improve as PE firms manage to exist investments and return fund to investors. The fund raising cycle has been very drawn out and  largely unsuccessful for all apart from the top quartile performers.

We are seeing some Asia Pac PE firms make investments in this market or local PE firms look at Investing in Australian Investments with an Asia growth angle. We have also seen one or two PE fund to fund moves where staff will  trade between funds if they see a benefit obtained by such a move.

The “secondary" market (where one PE fund sells an asset to another PE fund) has given some liquidity to the PE market this year filling in for the public equity market.