Private Equity
Private equity (PE) is an investment class where capital is invested directly into private companies — or used to take public companies private — with the goal of improving their value over time and eventually selling them for profit.
How does private equity work?
Private equity funds typically progress through three main phases — Formation, Investing, and Harvesting. Each stage represents a distinct part of the journey: from setting up the fund and securing commitments, to deploying capital, managing investments, and ultimately returning value to investors.
Private Equity
Private equity (PE) is an investment class where capital is invested directly into private companies — or used to take public companies private — with the goal of improving their value over time and eventually selling them for profit.
How does private equity work?
Private equity funds typically progress through three main phases — Formation, Investing, and Harvesting. Each stage represents a distinct part of the journey: from setting up the fund and securing commitments, to deploying capital, managing investments, and ultimately returning value to investors.
Private Equity
Private equity (PE) is an investment class where capital is invested directly into private companies — or used to take public companies private — with the goal of improving their value over time and eventually selling them for profit.
How does private equity work?
Private equity funds typically progress through three main phases — Formation, Investing, and Harvesting. Each stage represents a distinct part of the journey: from setting up the fund and securing commitments, to deploying capital, managing investments, and ultimately returning value to investors.
The Three Phases
Formation
The investment manager structures the fund, articulates its mandate, and secures investor commitments.
Investing
Committed capital is drawn down and allocated to portfolio companies aligned with the fund’s strategy.
Harvesting
Exits are executed and capital distributions returned to investors, reflecting realized value creation.
The Three Phases
Formation
The investment manager structures the fund, articulates its mandate, and secures investor commitments.
Investing
Committed capital is drawn down and allocated to portfolio companies aligned with the fund’s strategy.
Harvesting
Exits are executed and capital distributions returned to investors, reflecting realized value creation.
The Three Phases
Formation
The investment manager structures the fund, articulates its mandate, and secures investor commitments.
Investing
Committed capital is drawn down and allocated to portfolio companies aligned with the fund’s strategy.
Harvesting
Exits are executed and capital distributions returned to investors, reflecting realized value creation.
Formation
During the formation phase, the investment manager sets up the fund structure, defines its strategy, and begins engaging potential investors.
Phase 1
Fund Life cycle
Formation
Investing
Harvesting
Marketing
The investment manager promotes their upcoming fund to potential investors, outlining their investment strategy, risk and target return.
Here’s an overview of our upcoming investments.
Private Equity Fund Manager
The investors who are interested make capital commitments, according to their investment strategy and mandate.
Fund close
The fund closes once the sponsor has all the capital they need to proceed.
Formation
During the formation phase, the investment manager sets up the fund structure, defines its strategy, and begins engaging potential investors.
Phase 1
Fund Life cycle
Formation
Investing
Harvesting
Marketing
The investment manager promotes their upcoming fund to potential investors, outlining their investment strategy, risk and target return.
Here’s an overview of our upcoming investments.
Private Equity Fund Manager
The investors who are interested make capital commitments, according to their investment strategy and mandate.
Fund close
The fund closes once the sponsor has all the capital they need to proceed.
Formation
During the formation phase, the investment manager sets up the fund structure, defines its strategy, and begins engaging potential investors.
Phase 1
Fund Life cycle
Formation
Investing
Harvesting
Marketing
The investment manager promotes their upcoming fund to potential investors, outlining their investment strategy, risk and target return.
Here’s an overview of our upcoming investments.
Private Equity Fund Manager
The investors who are interested make capital commitments, according to their investment strategy and mandate.
Fund close
The fund closes once the sponsor has all the capital they need to proceed.
Investing
Following fund formation, the investment manager deploys capital into qualified opportunities that align with the fund’s mandate. As part of investing the fund manager runs a due diligence process to assess potential of a target company.
Phase 2
Fund Life cycle
Formation
Investing
Harvesting
Screening
The investment manager evaluates potential investments.
Selection
Once the manger has found investment prospect, the due diligence process begins.
Capital Call
If the selected company makes it through due diligence, the investment firm makes an offer, also knowns as a term sheet. If the company accepts the term the investment is made. To finance this investment, the investment manager needs fund.
We identified a compelling investment opportunity.
Private Equity Fund Manager
Capital distributions are allocated pro rata, based on each investor’s relative share of the fund’s total commitments.
Deployment
The fund allocates capital to the target company in exchange for either a minority, majority or controlling stake, depending on the fund’s investment strategy.
Assets under management
The difference between the total AUM and the capital deployed is uncalled capital - also known as dry powder. And the ratio between the two is ‘the capital overhang’.
Holding period
During this period, the investment manager grows the company’s value through active management and financial engineering.
Investing
Following fund formation, the investment manager deploys capital into qualified opportunities that align with the fund’s mandate. As part of investing the fund manager runs a due diligence process to assess potential of a target company.
Phase 2
Fund Life cycle
Formation
Investing
Harvesting
Screening
The investment manager evaluates potential investments.
Selection
Once the manger has found investment prospect, the due diligence process begins.
Capital Call
Capital call who’ve achieved more and stayed on
If the selected company makes it through due diligence*, the investment firm makes an offer, also knowns as a term sheet. If the company accepts the term the investment is made. To finance this investment, the investment manager needs fund.
track.
We identified a compelling investment opportunity.
Private Equity Fund Manager
Capital distributions are allocated pro rata, based on each investor’s relative share of the fund’s total commitments.
Deployment
The fund allocates capital to the target company in exchange for either a minority, majority or controlling stake, depending on the fund’s investment strategy.
Assets under management
The difference between the total AUM and the capital deployed is uncalled capital - also known as dry powder. And the ratio between the two is ‘the capital overhang’.
Holding period
During this period, the investment manager grows the company’s value through active management and financial engineering.
Investing
Following fund formation, the investment manager deploys capital into qualified opportunities that align with the fund’s mandate. As part of investing the fund manager runs a due diligence process to assess potential of a target company.
Phase 2
Fund Life cycle
Formation
Investing
Harvesting
Screening
The investment manager evaluates potential investments.
Selection
Once the manger has found investment prospect, the due diligence process begins.
Capital Call
Capital call who’ve achieved more and stayed on
If the selected company makes it through due diligence*, the investment firm makes an offer, also knowns as a term sheet. If the company accepts the term the investment is made. To finance this investment, the investment manager needs fund.
track.
We identified a compelling investment opportunity.
Private Equity Fund Manager
Capital distributions are allocated pro rata, based on each investor’s relative share of the fund’s total commitments.
Deployment
The fund allocates capital to the target company in exchange for either a minority, majority or controlling stake, depending on the fund’s investment strategy.
Assets under management
The difference between the total AUM and the capital deployed is uncalled capital - also known as dry powder. And the ratio between the two is ‘the capital overhang’.
Holding period
During this period, the investment manager grows the company’s value through active management and financial engineering.
Harvesting
As portfolio companies mature, the investment manager seeks exit opportunities—typically through an IPO, trade sale, or sponsor-to-sponsor transaction.
Phase 3
Fund Life cycle
Formation
Investing
Harvesting
Exit
After 5 to 7 years, the investment manager lists the company on an exchange or sells it to another fund or a trade buyer. We call this exiting the position.
The end of an era
The investee company returns capital to the fund.
Capital distributions
Upon exiting the investment, the capital is distributed back to the investors.
Great news! We’ve exited the investment.
Private Equity Fund Manager
Distributions are made proportionally to each investor’s commitment, reflecting their share of the fund’s ownership.
Investor benefits
From commitment to exit, private equity unfolds over years — compounding capital through strategy and time.
Access to high-growth opportunities
Private equity captures businesses early — before they go public — where growth potential and value creation are greatest.
Active value creation
Fund managers don’t just buy and hold; they actively build, restructure, and grow portfolio companies to unlock returns.
Diversification and resilience
Private assets often move differently from public markets, helping smooth volatility and protect long-term portfolios.
Information advantage
Direct access to management teams and operational data allows for deeper due diligence and strategic oversight.
We’ve built a platform
designed around you.
CapGain makes it easier for qualified investors to explore private market opportunities through a single digital gateway.
Access is restricted to Professional Clients as defined by the DFSA. Investments carry risk, and capital is not guaranteed.
Harvesting
As portfolio companies mature, the investment manager seeks exit opportunities—typically through an IPO, trade sale, or sponsor-to-sponsor transaction.
Phase 3
Fund Life cycle
Formation
Investing
Harvesting
Exit
After 5 to 7 years, the investment manager lists the company on an exchange or sells it to another fund or a trade buyer. We call this exiting the position.
The end of an era
The investee company returns capital to the fund.
Capital distributions
Upon exiting the investment, the capital is distributed back to the investors.
Great news! We’ve exited the investment.
Private Equity Fund Manager
Distributions are made proportionally to each investor’s commitment, reflecting their share of the fund’s ownership.
Investor benefits
From commitment to exit, private equity unfolds over years — compounding capital through strategy and time.
Access to high-growth opportunities
Private equity captures businesses early — before they go public — where growth potential and value creation are greatest.
Active value creation
Fund managers don’t just buy and hold; they actively build, restructure, and grow portfolio companies to unlock returns.
Diversification and resilience
Private assets often move differently from public markets, helping smooth volatility and protect long-term portfolios.
Information advantage
Direct access to management teams and operational data allows for deeper due diligence and strategic oversight.
We’ve built a platform
designed around you.
CapGain makes it easier for qualified investors to explore private market opportunities through a single digital gateway.
Access is restricted to Professional Clients as defined by the DFSA. Investments carry risk, and capital is not guaranteed.
Harvesting
As portfolio companies mature, the investment manager seeks exit opportunities—typically through an IPO, trade sale, or sponsor-to-sponsor transaction.
Phase 3
Fund Life cycle
Formation
Investing
Harvesting
Exit
After 5 to 7 years, the investment manager lists the company on an exchange or sells it to another fund or a trade buyer. We call this exiting the position.
The end of an era
The investee company returns capital to the fund.
Capital distributions
Upon exiting the investment, the capital is distributed back to the investors.
Great news! We’ve exited the investment.
Private Equity Fund Manager
Distributions are made proportionally to each investor’s commitment, reflecting their share of the fund’s ownership.
Investor benefits
From commitment to exit, private equity unfolds over years — compounding capital through strategy and time.
Access to high-growth opportunities
Private equity captures businesses early — before they go public — where growth potential and value creation are greatest.
Active value creation
Fund managers don’t just buy and hold; they actively build, restructure, and grow portfolio companies to unlock returns.
Diversification and resilience
Private assets often move differently from public markets, helping smooth volatility and protect long-term portfolios.
Information advantage
Direct access to management teams and operational data allows for deeper due diligence and strategic oversight.
We’ve built a platform
designed around you.
CapGain makes it easier for qualified investors to explore private market opportunities through a single digital gateway.
Access is restricted to Professional Clients as defined by the DFSA. Investments carry risk, and capital is not guaranteed.
Important Information
CapGain does not make investment recommendations and no communication, through this website or otherwise should be construed as a recommendation of any security. Alternative investments in private placements are highly illiquid, speculative, and involve a high degree of risk. Past performance is not indicative of future results. Investors may not get back their money originally invested and those who cannot afford to lose their entire investment should not invest. Prior to investing, carefully consider the respective fund documentation for details about potential risks, charges, and expenses. The value of an investment may go down as well as up. An investment in a private equity ("PE") fund or investment vehicle is not the same as a deposit with a banking institution. Investors receive illiquid and/or restricted membership interests that may be subject to holding period requirements and/or liquidity concerns. Investors who cannot hold an investment for the long term (at least 10 years) should not invest. In the most sensible investment strategy for PE investing, PE should only be part of your overall investment portfolio. The PE portion of your portfolio may include a balanced portfolio of different PE funds.
The CapGain platform may be accessed by certain international investors globally, including ‘Professional Investors’ (as defined by the DFSA) in the UAE, on a cross-border basis after appropriate checks and confirmation of their status. CapGain’s products are not suitable for retail investors in the UAE.