US private equity increased investment in Q2 by 60 per cent compared to 2020
The American Investment Council (AIC) has released a new report that demonstrates how private equity continues to fuel the Covid-19 economic recovery across America. Specifically, the report reveals that US private equity investment volume jumped to USD175 billion in Q2 2021 from USD109 billion in Q2 2020, a 60 per cent increase.
In the first half of the year, there was a 76 per cent increase in capital committed to private equity funds from the same period in 2020.
The US has seen tremendous economic growth in recent months with significant support from private capital. Private equity made major investments in Q2 in industries impacted by the Covid-19 pandemic, such as:
• Hertz car rental company (USD6.5 billion deal), headquartered in Estero, Florida
• Michaels Stores (USD5 billion deal), headquartered in Irving, Texas
• RealPage (USD10.2 billion deal), headquartered in Richardson, Texas
• CoreLogic (USD6 billion deal), headquartered in Irvine, California
“The private equity industry made significant investments this year to help businesses of all sizes weather the pandemic and keep Americans employed,” says AIC President & CEO Drew Maloney. “Private equity has helped fuel the economic recovery in recent months, with major investments in the development of the Covid-19 vaccine, the travel and hospitality industry, and other businesses hit hard by the pandemic. As local economies continue to recover, policy makers should not raise taxes on private investment that supports small businesses, jobs, and communities. Private equity firms will continue to be a trusted source for capital as the country adjusts to our new normal and continues on our path to economic recovery.”