Smaller States Claiming Larger Slice of U.S. PE Pie
September 18, 2014
The PitchBook Platform has tracked more than 23,000 PE deals in the U.S. since 2005, and some of the trends seen in the data are similar across multiple regions: deal count is strong (particularly in B2B), deal size is up and there is an increasing amount of add-ons. We wanted to take a closer look, though, to see what we could find in some of the more active U.S. regions. As it turns out, the country’s two most populous states aren’t controlling as much of their region's PE action (including lending activity by mezzanine investors) as they used to.
West Coast: California continues to be the driving force and activity remains strong, but its 76% share of the region’s PE deals in 2014 is a decade low. An increasingly notable player out west is Washington, which is having a big year with 52 completed deals (already the state’s most since 2007), with seemingly all of the state's industries on pace for record deal counts.
Click to explore the data on the PitchBook Platform
South: Another region often associated with one big state has also seen increased activity from its smaller members. Texas has accounted for a decade-low 64% of PE deals in 2014, with Oklahoma (10%) and Louisiana (8%) set for record highs. Texas' 55 deals this year to date in the energy industry are on pace for its lowest count since 2010 (Texas averaged 88 annually from 2011 to 2013).
To explore some more U.S. PE trends in the PitchBook Platform, click here.