Carl Roston, Corporate Practice Group Co-Chair, spoke to Law360 on private equity fundraising amid the pandemic caused by COVID-19. According to Law360, during the first quarter of 2020, there were 282 private equity funds that closed, worth $134 billion. That was 87 fewer closings than the same period last year, but $14 billion more in total capital commitments. The impacts of the pandemic are expected to come to light once statistics for the second quarter are released.
"If history is a guide, and recognizing that much of the Q1 fundraising was approved prior to the effects of the pandemic being apparent, fundraising is likely to be lower for the balance of the year, unless effective therapeutics and testing become available sooner than we expect," said Roston.