Sept quarter sees 83 PEs raise $59 bn : Preqin

NEW YORK: In the third quarter of this year, 83 private equity ( PE) funds across the world raised as much as $59 billion, a 20 per cent increase from the previous quarter.

Although improved from the previous quarter, Q3 private equity fund raising fell short of the USD 66 billion raised in Q1 of this year, amid challenging market conditions, a report by global research firm Preqin said.

Buyout funds raised the most capital in the third quarter this year, with 13 such funds raising an aggregate USD 21 billion, followed by real estate funds, with 18 such funds raising a combined USD 8.7 billion.

The aggregate capital raised by buyout funds increased significantly from the second quarter this year, when 14 such funds raised an aggregate USD 13.9 billion.

Meanwhile, venture funds were the most abundant, as 20 such funds which closed in the quarter raised USD 3.7 billion, while just three infrastructure funds, which closed in the September quarter, raised as much as USD 8.4 billion.

Of the 83 funds that reached a final close during Q3 2010, 45 per cent are primarily focused on making investments in North America.

Europe-focused funds raised the second-largest amount under the quarter under review.

As for the Asia and the rest of the world focused funds, $7.8 billion was collected by 23 such funds in the third quarter, accounting for just 13 per cent of total global capital raised.