Private Equity Fund Exit Mode Analysis

With the development of economic,financing channels emerged,Private equity fund comes to our country and constantly growing.The exit of PE refers to the PE institution invests to enterprise and then offers capital and management,finally PE institution withdraws fund in order to obtain investment income.Exit plays a very important role for Private equity,smooth exiting channel is the necessary premise of private equity,a reasonable and effective way of exit is the key to success for private equity.Based on the exit manner of private equity mode as the object of study,through the analysis of the main factor of private equity and the five exits,finally we get the conclusion and put forward some useful suggestions for the development of private equity in China.Focus Media appeared on the NASDAQ market,Focus Media set up a record in the IPO market,CDH though the IPO obtained high returns and composed the investment legend of Private equity.The essay analyses the reason of the exit of PE,the time of exit and the exit way of PE,it also analyses the performance of the exit.Based on the case analysis,the paper gets the main conclusion: Macro economic cycle,the environment of capital market,the financing enterprise industrial characteristics are the main factors which impact the exit manner of private equity,IPO becomes the first choice in the exit options,but we should choice flexibly according to current situation.Finally,the passage makes a outlook on the future development of private equity and put forward relevant suggestions.The innovation of the passage is that liking theory with practice,studying the main influence factor of PE and combined with the current situation of the exit,perfecting the exit way of PE in our country and putting forward some useful suggestions.