Private Equity

Private equity is the investment of equity capital in private companies. In a typical private equity transaction an investor buys a stake in a private company, supports the company in implementing strategic initiatives and improving operations with the aim to realize an increase in the value of the stake.

The private equity industry has become an established part of the investment landscape with investments estimated to total more than USD 2.5 trillion. This growth has been mainly driven by the outperformance of private over public equities and the attractive risk profile of the asset class. In line with the increase, the investment landscape has become more difficult to grasp and investor sophistication has increased significantly over the last years.

In the coming years a further professionalization of the industry is expected. Further, regulations will pose major challenges to many investors in the industry but will finally lead to a more organized, more efficient market place that makes the asset class very attractive for more investors. In line with these two developments, the importance of liquidity is constantly growing and investors are expected to seek solutions that do not bind them in an investment structure for periods of 10, 15 years or more. Montana Capital Partners aims to address these challenges and support investors to benefit from the positive characteristics of private equity as an asset class.