U.S. private-equity firms attract capital

Despite the credit turmoil this year, U.S. private-equity firms are on pace to exceed last year’s capital-raising totals, according to a new report. U.S. private-equity firms raised $222.6 billion in 264 funds during the first three quarters this year, an 11% increase from the $200.4 billion raised by 298 funds in the year-earlier period. Last year, U.S. private-equity funds raised a record $313 billion, including $48.2 billion for distressed firms, according to a report from New York-based Dow Jones & Co. Inc., a subsidiary of New York-based News Corp. Distressed firms, which are calculated in the buyout/corporate finance category, have seen 18 funds raise $37.9 billion so far this year, a 28% increase from the $29.5 billion raised by 16 funds during the first three quarters of 2007. “Limited partners have been saying that they intend to invest in private equity at a steady pace through the current downturn,” Jennifer Rossa, managing editor of Dow Jones Private Equity Analyst, said in a statement.