We investigate the influence of government grants, venture capital (VC), and private equity (PE) funding on innovation in newly public firms. We examine innovation inputs (R&D), innovation outputs (patents), and the quality thereof (patent citations). We contribute to understanding of the...

This article reviews empirical methods to assess risk and return in private equity. I discuss data and econometric issues for deal-level, fund-level, and publicly traded partnerships data. Risk-adjusted return estimates vary substantially by method, time period, and data source. The weight of...

EV/EBITDA multiple expansion in Private Equity (PE) transactions strongly influences deal returns. As multiple expansion is the result of deal pricing differences between entry and exit, this paper attempts to shed light on how relative deal pricing influences multiple expansion and deal...

General partners (GPs) in private equity (PE) report the performance of an existing fund while raising capital for a follow-on fund. Interim performance has large effects on fundraising outcomes; the impact is greatest when backed by exits and for low reputation GPs. Faced with these incentives,...

The objective of this paper is to illustrate the main theories and survey the empirical evidence on the impact of private equity leveraged buyouts (LBOs) on innovative activity at target companies. I illustrate how the theoretical lenses through which LBOs are described have adapted to the...

This paper sheds a light on one of the most critical questions in the industry: what are the determinants of Private Equity (PE) and Venture Capital (VC) fundraising? It is the first study to discuss which variables drive investor's allocation in this asset class in Brazil. Based on a...

Brazil is an emerging market that attracted a lot of PE investment in the last 20 years. Foreign exchange rate fluctuated significantly during this period, as might be the case in other emerging markets. We investigate the currency impact on Brazilian PE/VC deals' performance. Our main findings...

This paper examines private equity (both buyout and venture funds) performance around the globe using four data sets from leading commercial sources. For North American funds, our results echo recent research findings: buyout funds have outperformed public equities over long periods of time; in...

This paper examines private equity (both buyout and venture funds) performance around the globe using four data sets from leading commercial sources. For North American funds, our results echo recent research findings: buyout funds have outperformed public equities over long periods of time; in...

Venture Capital (VC) and Private Equity (PE) investors play a different role in their portfolio companies. We argue that this will translate in a recognizable difference in the investment sensitivity to cash flows of portfolio companies and its evolution after the first investment round. We...