Co-investment

1. Private equity - minority investment.

A minority private equity investment, usually made alongside a financial sponsor that takes the leading role in the total investment.

2. Private equity - minority investment.

A minority private equity investment, that results from the exercise of co-investment rights.

The party granted, and exercising, co-investment rights would be a limited partner in a private equity fund.

Following exercise of the co-investment rights, the limited partner then has two separate stakes in the investee company:

(a) Through the private equity fund; and

(b) Directly.

Offering co-investment rights is a way that some private equity funds encourage limited partners to invest into their funds.

See also

• 3i
• Association for Financial Markets in Europe (AFME)
• Business angel
• Capital markets union (CMU)
• Co-investor
• Entrepreneur
• Equity
• Financial sponsor
• General partner
• Investment
• Limited partner
• Listed company
• Listing
• Minority interest
• PIPE
• Private
• Private equity
• Private equity house
• Taking private
• Trade sale
• Venture capital