Germany's local private equity market managed to hold off the global economic downturn last year by posting a rise in deal value, helping the country become the second largest private equity market in Europe after the UK.

According to data released yesterday by the BVK, the German Private Equity and Venture Capital Association, €8.4bn ($10.6bn) was invested in 1,140 German companies by private equity firms over the past year. Of the total, €5.9bn, or 70% came from "investors resident in Germany", a 5% increase on the previous year, when €5.6bn was invested by firms with a local presence.