Private equity exits in the CEE: An exploratory analysis of exit routes and holding periods

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26510%2F24%3APU148763" target="_blank" >RIV/00216305:26510/24:PU148763 - isvavai.cz</a>

Výsledek na webu

<a href="https://trends.fbm.vutbr.cz/index.php/trends/article/view/663" target="_blank" >https://trends.fbm.vutbr.cz/index.php/trends/article/view/663</a>

DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

Private equity exits in the CEE: An exploratory analysis of exit routes and holding periods

Popis výsledku v původním jazyce

Selecting a suitable exit strategy with regards to exit route and timing plays crucial role in achieving the maximum return on investment for a private equity investor. We aim to contribute to the developing literature examining private equity exit strategies by investigating this research topic in geographical means of central and eastern Europe (CEE), by applying new extended dataset and by investigating the cross-border aspect of private equity exits in the said region. By investigating 847 Private equity exits over 22 years in 19 countries of the CEE we find that private equity investors tend to prefer divesting by trade sales over secondary buyouts or via an IPO. They also tend to prefer selling the portfolio company to a foreign investor over a domestic one. Researching the pre-exit holding period we find that on average private equity investors tend to hold their CEE portfolio companies for approximately 5 years, however, our sample shows a fairly high levels of volatility which could further support findings of earlier researchers arguing that PE investors tend to use the “windows of opportunity” and can prove time-flexible when they see an ongoing opportunity for additional value creation.

Název v anglickém jazyce

Private equity exits in the CEE: An exploratory analysis of exit routes and holding periods

Popis výsledku anglicky

Selecting a suitable exit strategy with regards to exit route and timing plays crucial role in achieving the maximum return on investment for a private equity investor. We aim to contribute to the developing literature examining private equity exit strategies by investigating this research topic in geographical means of central and eastern Europe (CEE), by applying new extended dataset and by investigating the cross-border aspect of private equity exits in the said region. By investigating 847 Private equity exits over 22 years in 19 countries of the CEE we find that private equity investors tend to prefer divesting by trade sales over secondary buyouts or via an IPO. They also tend to prefer selling the portfolio company to a foreign investor over a domestic one. Researching the pre-exit holding period we find that on average private equity investors tend to hold their CEE portfolio companies for approximately 5 years, however, our sample shows a fairly high levels of volatility which could further support findings of earlier researchers arguing that PE investors tend to use the “windows of opportunity” and can prove time-flexible when they see an ongoing opportunity for additional value creation.

Druh

J_ost - Ostatní články v recenzovaných periodicích

CEP obor

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OECD FORD obor

50204 - Business and management

Projekt

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Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Trends in Economics and Management

ISSN

2336-6508

e-ISSN

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Svazek periodika

18

Číslo periodika v rámci svazku

42

Stát vydavatele periodika

CZ - Česká republika

Počet stran výsledku

10

Strana od-do

9-19

Kód UT WoS článku

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EID výsledku v databázi Scopus

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