private equity

noun

plural private equities

1

: investment in a company that does not trade on a public stock exchange : interest in a private company

… the proportion of the pension fund parked in private equity grew from nearly 21% of the portfolio in 2014 to about 28% earlier this year.

—Alex Baumhardt

—often used before a noun

private equity investments

2

: investment groups that pool the money of investors in order to acquire ownership shares in private companies

Private equity likes to acquire firms with debt, merge some of them together, find efficiencies, expand and then sell the company or go public on the stock market—in hopes of making a profit for investors.

—Kelly Yamanouchi

Examples of private equity in a Sentence

Recent Examples on the Web

In July, financial services platform Stripe and private equity firm Advent International made a takeover offer valued at more than $50 billion, but are said to have abandoned their pursuit, according to Bloomberg. — Los Angeles Times, 4 Sep. 2026

Not everyone is happy that Congress is thinking of regulating the private equity extravaganza. — Justin Klawans, TheWeek, 3 Sep. 2026

South Korean media reported that police referred four other people, including Hybe executives and private equity fund officials, to prosecutors on Thursday as well, asking for their indictment. — ABC News, 3 Sep. 2026

Black, who helped found private equity behemoth Apollo Global Management, had been subpoenaed for multiple NDAs and to testify before the committee on Thursday. — Emily Hallas, The Washington Examiner, 3 Sep. 2026

Word History

First Known Use

1959, in the meaning defined at sense 1

Rhymes for private equity

• inequity