What is Private equity?
'''Private equity''' is a type of investment where an investment firm buys [[Stock|shares]] of a business that is not listed on a [[stock exchange]], meaning that it does not offer its shares to the general public.<ref>{{Cite web|title=Private Equity Explained With Examples and Ways to Invest|url=https://www.investopedia.com/terms/p/privateequity.asp|access-date=2025-02-21|website=Investopedia|language=en}}</ref> A '''private equity firm''' is a company makes such investments. Investors, often from institutions like [[funds]], give a [[company]] money, and in turn buy part of that company. The most common types of private equity are: [[leveraged buyouts]], [[venture capital]], [[growth capital]], [[distressed investments]] and [[mezzanine capital]]. In leveraged buyouts, investors buy the [[majority control]] of a mature company. In venture capital or growth capital investment, investors give money to [[start-up]] companies. == References == <references /> [[Category:Finance]]