The World's Top Ten Private Equity Firms

Jan 19, 2024 By Triston Martin

Leveraged buyouts and venture capital are only two of the many ways private equity firms use investment cash from institutional investors or HNWIs to acquire equity ownership of companies. Private equity companies usually have long-term investment horizons of five to seven years. After acquiring an equity stake in a company, a private equity firm's ultimate goal is to make money by either selling the company entirely or launching an IPO.

The Blackstone Group Inc.

The Blackstone Group Inc. (BX) was founded in 1985 and had offices in New York, London, Hong Kong, Beijing, and Dubai. 345. In addition to energy, retail, and technology, the corporation invests in many other industries. In addition to private equity ($126 billion), Blackstone has billions of dollars invested in real estate, credit, and hedge fund solutions. Ancestry and Refinitiv, providers of digital family history services and dating and social networking software Bumble, are a few of its 107 portfolio firms.

KKR & Co. Inc.

An AUM totaling $459 billion is held by KKR & Co. Inc. (KKR), previously Kohlberg Kravis Roberts & Co. When KKR was founded in 1976, it was one of the first investment banks to focus on large-scale leveraged buyouts, which remain one of the firm's strengths today. RJR Nabisco's 1989 leveraged buyout by the company and TXU's 2007 buyout by the firm, the largest leveraged buyout in history, are two notable deals. 89 Fiserv Inc., Optiv, and PetVet are some of its current interests.

CVC Capital Partners

CVC Capital Partners' private equity platforms oversee $92 billion in assets under management (AUM). More than 650 employees, including more than 300 investment professionals, work with CVC in 24 offices. 1112 There are 114 firms in its global private equity portfolio.

The Carlyle Group Inc.

An AUM of $293 billion, 1,800 employees globally, and 26 locations across five continents make up the Carlyle Group Inc. (CG). Washington, D.C., served as the company's headquarters and was created in 1987. Supreme, Workforce Logiq, and Japan's Orion Breweries Ltd. are among the company's substantial current holdings in its corporate, private equity subsidiary, which has an AUM of $161 billion.

Thoma Bravo

In addition to its 91 billion AUM, Thoma Bravo has more than 40 years of expertise in investing in and providing strategic support to established management teams and rapidly expanding software and technology startups. McAfee, Conga, and Anchorage are just a few of the firms it owns.

EQT

An AUM of 73.3 billion euros, or $81.7 billion at today's currency rate, is held by the EQT A.B. (EQT.ST) in Sweden. Since its inception in 1994, the company has grown to employ more than 1,200 people in 24 locations spanning Europe, North America, and Asia. 222324 Flying Tiger Copenhagen is likely its most well-known portfolio firm among American customers.

Vista Equity Partners

Vista Equity Partners has more than $86 billion in AUM and invests only in software, data, or technology-enabled businesses. In addition to healthcare, advertising, or risk management, the corporation has strategic stakes in various other areas. 27 Vista concluded a $16 billion technology fund in September 2019, making it the biggest private equity fund ever established by an independent business.

TPG Capital

There are $109 billion in total assets under management at TPG Capital. TPG Capital has its headquarters in San Francisco, established in 1992 by David Bonderman and Jim Coulter as a partnership. Additional offices are located in eight different countries, for a total of 12. 30

With Bain Capital & Goldman Sachs Capital Partners, the firm bought out Continental Airlines in 1993, Petco in 2000, and Burger King in 2002. Chobani, Fender, and Airbnb are among its current interests.

Warburg Pincus LLC

Investments in more than 235 firms amount to over $73 billion at Warburg Pincus LLC. E.M. Warburg & Co., formed in 1939, and Warburg Pincus, created in 1966, are the firm's ancestors. Its headquarters in New York City represent thirteen nations.

Neuberger Berman Group LLC

There are $460 billion in assets under management (AUM) at Neuberger Berman Group LLC, including $70 billion in private equity. Over the past 25 years, Neuberger Berman has employed more than 648 people in alternative investments throughout 25 countries. 36

Which Private Equity Companies Pay The Most?

A job in private equity may be extremely profitable. As reported by Heidrick & Struggles, private equity companies with less than $20 billion in assets managed to pay their managing partners an average of $1.1 million in cash payments in 2019, including bonuses (AUM).

Our study indicated that the overall average remuneration for partners & managing directors in 2019 ranged from $596,000 to $2.2 million, depending on the firm's AUM. Associate and senior associate salaries ranged from $193,000 to $315,000 on average, with little variation between firms of different sizes.

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