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Global IPO volume and deal count falls in 2002

06/08/2002Source: AltAssets.  

Click here for the latest news, views and interviews in the clean energy investor communityPrivate equity firms will not be surprised to learn that exit opportunities remain limited in the current uncertain climate. Global IPO volume fell to $32.2bn in the first half of 2002, 36 per cent down on 2001, and global IPO deal count is also down 13 per cent, a report by Dealogic has shown.

The horizon looks particularly bleak for Europe, the Middle East and Africa, whose IPO volume is down 54 per cent from $19.9bn to $9.2bn. However there was a slight increase in activity towards the end of the period, with some relatively successful launches on to the public market, such as that of William Hill plc.

The continuing instability of the public markets is making life tough for private equity firms hoping for returns on their investment through the conventional IPO. However, there are alternatives still available, including trade sales and secondary buy-outs like Charterhouse's acquisition of Coral Eurobet from Morgan Grenfell Private Equity last week.

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