The change to capital gains tax has proved an unexpected boon for private equity groups who have experienced resilient deal activity despite the credit crunch.
Research by investment bank Baird showed that over the course of this year 228 deals with a value of less than £500m have been completed.
The Daily Telegraph reports that although this is a 15% fall on the 268 deals completed last year, it shows that deals are still being done.
David Silver, managing director at Baird, said more smaller deals were being done as business owners rushed to sell their companies before the new CGT regime with a tax rate of 18% comes into effect in April.
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