private equity

Definitions

1. 1

   Capital stock in a private company that does not offer stock to the general public.

   • That company is closely held; its equity is all private equity.
2. 2

   An investment fund that specializes in buying companies in order to restructure and then…

   An investment fund that specializes in buying companies in order to restructure and then sell them with a profit; the industry comprising such firms.

   • Although private equity is not inherently villainous, the horror stories from past takeovers give the industry a bad name, especially in cases where it assumes the mantle of landlord or hospital owner.
   • Spain’s La Liga has agreed a €2.7bn (£2.3bn) deal with CVC that could see private equity involved in the running of a large European football league for the first time.
   • American private equity tycoons are profiteering from the global climate crisis by investing in fossil fuels that are driving greenhouse gas emissions, a new investigation reveals.

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