The Economic and Social Impact of Private Equity

What does Private Equity do to the companies it owns? Its detractors point to debt, restructuring and the capture of value; its defenders point to growth, jobs and the transformation of small and mid-sized companies. The analyses under this theme examine these arguments on the evidence, drawing on academic studies and published data, in France and in the United States. They also address the sharing of value with employees and Private Equity’s contribution to public priorities such as Europe’s defence effort.

Key metrics:

• the change in employment and revenue at portfolio companies;
• their investment effort;
• the share of capital gains redistributed to employees.

Start with: Viewpoint No. 1 — Sharing the Upside · No. 6 — How Private Equity Can Help Europe Reach a Defense Effort of 5% of GDP · No. 8 — US Private Equity Under Fire