Preqin has released a fact sheet titled "Private Equity in France 2024," which highlights key sectors such as healthcare, technology, and energy following political shifts in 2024. The consolidation of private equity funds in 2023 contributed to increased capital raising with fewer funds, supported by government initiatives.
By the end of 2023, France-based private equity funds reported €242 billion in assets under management (AUM). According to Preqin, fundraising activity saw an increase in 2023, with private equity managers raising €21.5 billion, up from €11.2 billion in 2022. This positive trend continued into 2024, with 14 funds closing in the first half and raising nearly €12 billion, surpassing the total raised in 2022. This suggests a recovering market and renewed interest from investors.
The consolidation of private equity funds led to an increased average fund size of €673 million, indicating a shift towards fewer funds managing larger capital amounts. Significant fund closures included Astorg VIII at €4.4 billion in May 2024 and Latour Capital IV at €1.2 billion in June 2024. Additionally, Ardian raised €3 billion for Co-Investment Fund VI in July 2024, showcasing the ability of French managers to attract substantial investments for deployment across various markets.
The French government's France 2030 initiative has emphasized investment in sectors like healthcare, technology, and renewable energy to foster innovation and economic development. This focus has enhanced France's appeal as an investment destination. In 2022, international investors accounted for 55% of capital entering France-based funds, exceeding the ten-year average of 49%.
Preqin was founded in 2003 and serves over 48,000 clients worldwide with data on alternative assets to improve decision-making within the finance sector. The company employs over 500 researchers and more than 1,500 staff across its global offices.