Standard Life Investments

Press Release

SL Capital Partners Q3 2017 unquote” Private Equity Barometer

30  October  2017

Money floods into DACH and UK buyouts

Preliminary figures have been released today in the Q3 2017 Private Equity Barometer, published by unquote”, Europe’s specialist private equity information provider, in association with SL Capital Partners, a private equity arm of global asset manager Aberdeen Standard Investments.

Overall European Private Equity

  • In Q3 2017, overall European private equity deal volume dropped 13% compared with Q2 but remained marginally higher than Q1’s figure
  • The combined value of European private equity backed deals slid 9.7% but remains elevated compared to quarters in recent years
  • Average deal value in Q3 2017 was €95m, up 4% on the €91.4m posted in Q2

European Buyouts

  • The aggregate value of European buyout deals edged down to €35.8bn, 4.7% lower than in Q2. The number of deals declined to 195 in Q3, a fall of 10%
  • Dealflow dropped in each deal size range (<€100m, €100m-€1bn, and ≥€1bn). The number of small cap (<€100m) deals fell by 11 to 140 but is at the second highest level in the last 10 quarters. Volume in the mid-range (€100m-1bn) decreased to 50 deals from 60 with value also falling to €16.5bn from €18.4bn. The large cap range (≥€1bn) decreased by one deal while value climbed slightly to €13.8bn
  • Buyout volumes remain historically high despite the quarter-on-quarter drop.
  • Aggregate deal value jumped in the UK to €13.7bn marking its biggest quarter since the financial crisis. DACH countries also saw a jump from €4.6bn to €9.6bn.

Commenting on the figures, Peter McKellar, Global Head of Private Equity and Infrastructure Equity, Aberdeen Standard Investments:

“Both the UK and DACH led the way with the amount of capital invested despite a slight slowdown in activity levels across the wider European market. Activity levels do however remain robust both in terms of volume and value. Interestingly a major component of deal sourcing came from the private sector, the highest level in seven years as vendors recognise the prices being paid for quality assets.”

*Standard Life AUM/AUA data as at 30 June 2017. Aberdeen Asset Management AUM data as at 31 March 2017. All other data as at 30 June 2017.

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