New Zealand Private Capital Monitor 2025 (EY Swiss Fintech / Banking Barometer)

Summary

• 2024 saw transaction activity rise to $3,765m of combined investments and divestments across private equity and venture capital transactions.p.2
• Total investment value in 2024 was $2,769.1m spread across 307 transactions.p.5
• Venture investment reached a record $587.6m in 2024, compared to $384.4m in 2023.p.4
• Private equity investment excluding venture capital reached $2,182m, compared with $1,501m in 2023 and $2,630m in 2022.p.2
• Mid-market investment activity totalled $519.1m in 2024, broadly consistent with $541.2m in 2023.p.4
• Total divestment value in 2024 increased significantly to $996.1m, from $102.8m in 2023.p.5
• New Zealand funds raised over $1,157m in 2024, compared with $383m in 2023.p.3

Key insights

1. Venture investment of $587.6m is a 10-year high, against a historical 10-year average of $254.8m.p.4
2. The number of mid-market investments fell from 48 in 2023 to 27 in 2024, against a historical 10-year average of 26.p.7
3. Average mid-market investment value increased from $11.3m in 2023 to $19.2m in 2024, above the historical 10-year average of $15.7m.p.7
4. Mid-market divestment activity rose to $681.7m in 2024 from $102.8m in 2023.p.8
5. Over the past decade, private equity and venture capital funds have invested $16.1b in New Zealand companies, including $2.6b by venture funds in early-stage companies.p.16
6. The average venture capital investment size rose from $1.4m to $2.1m over the last five years, while investments per year grew from 92 to 277.p.16
7. 2024 buy-out transactions included Five V Capital's investment in HabitHealth, Pacific Equity Partners' investment in FirstCape and Stonepeak Infrastructure Partners' investment in Arvida Group.p.15
8. Changes to the Active Investor Migrant policy took effect on April 1, 2025, and are anticipated to create a pipeline of high-net-worth investors for venture capital and private debt funds.p.17