Private Equity - Ukraine | Statista Market Forecast

The deal value in the Private Equity market is projected to reach US$6.09m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of 12.84% resulting in a projected total amount of US$6.87m by 2025.
The average size per deal in the Private Equity market amounts to US$1.65m in 2024.
From a global comparison perspective it is shown that the highest deal value is reached United States (US$594.00bn in 2024).
In the Private Equity market, the number of deals is expected to amount to 3.81 by 2025.

Definition:

Private equity involves partnerships that buy, manage, and eventually sell companies. These firms manage funds for institutional and accredited investors, who commit significant capital for extended periods. Private equity funds can acquire entire private or public companies or participate in buyouts with other investors, but they typically avoid holding stakes in publicly traded companies. The Private Equity market encompasses a broad range of deal types that involve acquiring equity ownership in private companies. This market typically includes leveraged buyouts (LBOs), growth capital, Carve-outs, and other forms of equity investments that target mature businesses with the potential for operational improvements and value creation. The market presented here does not include Venture Capital investments. While both Private Equity and Venture Capital involve equity stakes in companies, Venture Capital specifically focuses on high-growth potential startups, while private equity firms invest in established companies with the aim of increasing the value of these companies before selling their investment after several years.

Additional information:

The market contains the following KPIs: the deal value, the number of deals, the average deal size as well as the assets under management (AUM). Key players in this market are companies such as Blackstone, The Carlyle Group, KKR, Goldman Sachs, General Atlantic, and Warburg Pincus.

For more information on the data displayed, use the info button right next to the boxes.

Leveraged Buyouts (LBOs)
Growth Capital
Carve-Outs
Distressed Buyouts
Secondary Buyouts

Venture Capital
Venture Debt
Traditional bank loans
Digital capital raising

The Private Equity market in Ukraine has witnessed a minimal decline in growth, influenced by factors such as geopolitical uncertainties, limited access to finance, and evolving regulatory frameworks. However, investor interest persists, driven by undervalued assets and potential market recovery.

Customer preferences: Investors in Ukraine’s Private Equity market are increasingly prioritizing sustainable and socially responsible investments that align with evolving consumer values. There is a growing demand for businesses that emphasize environmental stewardship and ethical practices, reflecting a broader trend towards conscious consumption. Moreover, younger demographics are showing a preference for innovative tech solutions, pushing firms to adapt to digital transformations and new business models. This shift is expected to shape investment strategies, encouraging a focus on companies that demonstrate adaptability and align with societal needs.

Trends in the market: In Ukraine, the Private Equity market is increasingly driven by a focus on Environmental, Social, and Governance (ESG) criteria, with investors actively seeking opportunities in sustainable and socially responsible ventures. There is a notable trend towards supporting businesses that prioritize ethical practices and environmental sustainability, reflecting a growing consumer demand for responsible investment options. Additionally, the rise of innovative technology is prompting firms to adopt digital transformations, aiming to enhance efficiency and meet the expectations of tech-savvy consumers. This evolution is reshaping investment strategies, encouraging stakeholders to align their portfolios with societal needs and future-proof their investments against market shifts.

Local special circumstances: In Ukraine, the Private Equity market is shaped by a unique blend of economic transition and socio-political factors. The ongoing reforms aimed at reducing corruption and increasing transparency have attracted both domestic and foreign investors who are eager to capitalize on the potential for growth. Additionally, the cultural emphasis on community and social responsibility drives investment in local businesses that prioritize social impact. The war in Ukraine has further heightened investor interest in resilient sectors, such as technology and agriculture, creating opportunities in innovative solutions tailored to local needs.

Underlying macroeconomic factors: The Private Equity market in Ukraine is significantly influenced by overarching macroeconomic factors, particularly central bank policies and interest rates. Lower interest rates can boost private equity activity by making borrowing more affordable for both investors and businesses seeking capital. This environment encourages leveraged buyouts and growth investments, particularly in resilient sectors like technology and agriculture. Conversely, rising interest rates could dampen market enthusiasm, curbing new investments as capital becomes more expensive. Moreover, the stability of the national economy, inflation rates, and exchange rate fluctuations further affect investor confidence, shaping their appetite for risk and the overall performance of the private equity landscape.

Data coverage:

The figures are based on deal value, number of deals, the average size of each deal, and assets under management within the Private Equity market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, and publicly available databases. In addition, we use relevant key market indicators and data from country-specific associations, such as: GDP, total investment (% of GDP), household wealth (per Adult), high income (% of population), and number of high-net-worth individuals (HNWI). This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are total investment (% of GDP), household wealth (per Adult), number of high-income persons, and number of high-net-worth individuals (HNWI).

Additional notes:

The market is updated twice a year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

In the last decades, private equity has emerged as a dominant force in global finance, reshaping industries and driving economic growth worldwide. After the peak experienced in 2021, however, private equity activity slowed down in 2022 and 2023, due to multiple factors such as inflationary headwinds, rising interest rates, geopolitical unrest and general uncertainty. With an estimated value of nearly four trillion dollars, private equity dry capital - a term commonly used in the private equity world to refer to committed, but unallocated capital - reached unprecedented heights in 2023. A high level of this capital means that private equity firms have unspent cash reserves. Among the most influential private equity firms worldwide, the Blackstone Group is the largest in terms of funds raised.