Private equity and, to an extent, venture capital can be seen as relatively stagnant industries, utilizing core investing strategies that haven’t changed much in decades. But these industries have actually evolved dramatically over the last few years, not just from the perspective of overall market trends but from that of investors. Of course, by “investors” we’re referring not only to the general partners (GPs) that make the deals but also to the limited partners (LPs) that fund the GPs, and even the employees who invest years of their life to help grow companies.
THE EVOLUTION OF
LIQUIDITY
Shifting exit strategies for
private market investors
Page 14
2Q 2018
Private vs. public market investors:
Who's reaping the gains from the rise
of unicorns? Page 4
New horizons for PE Page 52
A SPOT of secondary activity Page 56
1
PitchBook Private Market PlayBook 2Q 2018
2
PitchBook Private Market PlayBook 2Q 2018
Perspectives
Private vs. public market investors: Who's reaping the gains
4
from the rise of unicorns?
Billionaires, buyouts and basketball: The Gores brothers
8
take on private equity
Barbarians left behind: How predictive analytics are
12
upgrading PE's playbook
A letter from the Editor
2
Contents
4
2
14
24
46
The Feature
The evolution of liquidity: Shifting exit strategies
14
for private market investors
As market dynamics change, investors within private equity
and venture capital are finding new and diverse ways
to exit their investments
Market Trends
US Venture Capital
26
US Private Equity
30
European Venture Capital
34
European Private Equity
38
Global M&A
42
Analyst Insights
Sources of impact capital
46
New horizons for PE
52
A SPOT of secondary activity
56
Additive dealmaking
58
Twin Brook Q&A: Hot middle market lending environment
20
comes with competition and new challenges
20
a single-minded focus.
pure valuation
Pure valuation means that our well-credentialed professionals concentrate their expertise on getting to the right
value for your organization that withstands scrutiny. Our focus goes beyond the typical modeling scenario and
deeper into your firm’s strategic rationale to deliver objective, practical guidance to achieve your business objectives.
The right valuation partner provides transparent, reliable, fair value reporting in an increasingly complex universe of
investment and growth opportunities. Since 1975, VRC has delivered supportable conclusions of value to domestic
and international clients of all sizes, types and across all industries. FIND OUT MORE AT VALUATIONRESEARCH.COM
2
PitchBook Private Market