More companies backed by private-equity firms filed for bankruptcy in the U.S. in 2022 compared to the previous year, but the total number of restructurings remained relatively low, according to data from S&P Global Market Intelligence.
The tally for private equity portfolio companies filing for bankruptcy increased to 49 in 2022 from 42 in 2021, according to data released Tuesday by S&P Global Market Intelligence.
The share of private equity-backed companies to go bankrupt compared to the total number of bankruptcies increased to 6.6% of total filings in the U.S. in 2022, from 3.5% of the total in 2021.
In 2020, 123 private equity-backed companies filed bankruptcy proceedings, compared to 69 in 2019 and 53 in 2018.
Among the 49 private equity portfolio companies that went bankrupt in 2022, the consumer sector accounted for 15 bankruptcies as the most impacted subsector, followed by 11 deals from the healthcare sector.