Portfolio Company
/ˈpɔːrtfoʊlioʊ ˈkʌmpəni/
Definitions
- (n.) A company in which a private equity firm or venture capital fund has invested and holds a significant equity stake.
The private equity firm closely monitored the financial performance of its portfolio company.
Forms
- portfolio company
- portfolio companies
Related terms
See also
Commentary
Portfolio companies are key entities in private equity and venture capital transactions; clarity in defining the scope of control and ownership is important in contracts and fund documentation.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.