This year, private equity firms “selfsold” their companies with record frequency. Since it is difficult for fund managers to find external buyers, and they are unable to withdraw their investments through listing, this controversial operation has become a means for them to hold assets. Suneena Sinha Haldia, global head of private capital consulting at Raymond James Investment Bank, said that about one-fifth of this year's private equity transactions were a model where fund managers raised capital from new investors and then bought companies from their old funds, compared to only 12% to 13% last year. This type of transaction is the sale of assets already held by a private equity company to a so-called surviving investment vehicle — a new fund also managed by the company. Although this operation can help private equity firms return cash to investors in old funds, it has raised concerns in the market about potential conflicts of interest. Haldia added: “The scale of this type of deal will break historical records this year.” She expects the final total size of such transactions to reach $107 billion in 2025, far exceeding last year's $70 billion.

This year, private equity firms “selfsold” their companies with record frequency. Since it is difficult for fund managers to find external buyers, and they are unable to withdraw their investments through listing, this controversial operation has become a means for them to hold assets. Suneena Sinha Haldia, global head of private capital consulting at Raymond James Investment Bank, said that about one-fifth of this year's private equity transactions were a model where fund managers raised capital from new investors and then bought companies from their old funds, compared to only 12% to 13% last year. This type of transaction is the sale of assets already held by a private equity company to a so-called surviving investment vehicle — a new fund also managed by the company. Although this operation can help private equity firms return cash to investors in old funds, it has raised concerns in the market about potential conflicts of interest. Haldia added: “The scale of this type of deal will break historical records this year.” She expects the final total size of such transactions to reach $107 billion in 2025, far exceeding last year's $70 billion.