Private equity set a remarkable new standard for itself in 2021. Buyout deal value reached an all-time high of $1.1 trillion, doubling 2020’s total of $577 billion and shattering the previous record of $804bn set in 2006 during the exuberant run-up to the global financial crisis.
Deal size, not deal count, was behind this increase. The number of deals greater than $1 billion roughly doubled in 2021, with average deal size reaching $1.1 billion, increasing 57% to pierce through the $1 billion mark for the first time.
One reason for the sharp increase in deal value last year is the sheer volume of capital in the market. After 10 years of steady growth, dry powder set yet another record in 2021, rising to $3.4 trillion globally, with approximately $1 trillion of that sitting in buyout funds.
Read more: PR Newswire
