Private Equity investment is the business of providing equity capital to growing companies raising capital outside the stock market circuit.

Private Equity can be used to develop new products and technologies, to expand working capital, to make acquisitions or to strengthen a company's balance sheet. It can also resolve ownership and management issues such as succession in family-owned companies or the buy-out or buy-in of a business by experienced managers.

Venture capital is, strictly speaking, a subset of private equity and refers to equity investments made for the launch, early development, or expansion of a business. Venture capital is generally associated with investments in young, technology-driven companies.

More information on European Private Equity can be found on the Web site of the European Venture Capital Association (www.evca.com).