In 2018, private equity-related deal activity was again very strong with 205 closed deals in the German-speaking region, matching the level of 2017 (204 deals in total). New deal flow topped the previous year's total, with 498 deals compared to 464 deals. Furthermore, 2018 was characterized by a stable deal flow, with peaks in the months of February and July.

From an industry perspective, engineered products and consumer goods (151 and 90 deals, respectively), followed by IT/Telecommunication and Healthcare (60 and 54 deals, respectively) had the highest deal activity in 2018. In comparison, Transportation, Chemicals and Energy displayed a lower deal activity while Automotive remained solid with 53 deals.

Political uncertainty remains a key worry for the private equity sector. The risk of an escalation in the trade conflict between the US and China as well as additional tariffs on European products persist and could have negative implications on portfolio companies of private equity funds. Additionally, the outcome of the Brexit negotiations remains unclear. Political instability in Italy further impacted global markets and could also weigh on investor sentiment in 2019.

The Private Equity Newsletter offers an overview of deal flows and closed deal statistics in the German-speaking region and is published on a regular basis. The most important developments in private equity are considered in the context of relevant political events.