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
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But over the last five years, private equity firms have eyed minority stakes in professional teams. Eva Roytburg, Fortune, 20 June 2026 Tech layoffs are already hitting families in Silicon Valley and the Bay Area, and private equity firms buying up affordable housing will only make things worse. Alex Lee, Mercury News, 19 June 2026 Its locations around the world, excluding mainland China, will be acquired by a private equity firm, which is not usually a good sign for the future of any business. Sam Stone, Bon Appetit Magazine, 19 June 2026 Lenders will take the keys and private equity will take its lumps, as designed. Liz Hoffman, semafor.com, 18 June 2026 The business buyer is a private equity firm, a strategic acquirer, or an institutional investor. Lien De Pau, Forbes.com, 18 June 2026 Property Play covers new and evolving opportunities for the real estate investor, from individuals to venture capitalists, private equity funds, family offices, institutional investors and large public companies. Diana Olick, CNBC, 17 June 2026 There’s been speculation that private equity is a likely buyer but Deadline hears Imax’s longtime bank Raine is fielding interest from a range of strategic buyers and others in the entertainment space. Jill Goldsmith, Deadline, 16 June 2026 Williams first began posting online during her maternity leave from her previous job in private equity. Tabitha Parent, PEOPLE, 16 June 2026

Word History

First Known Use

1959, in the meaning defined at sense 1

Time Traveler
The first known use of private equity was in 1959

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Cite this Entry

“Private equity.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/private%20equity. Accessed 22 Jun. 2026.

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