Which of the following best describes a primary private equity transaction from the GP perspective?

A primary private equity transaction from the General Partner (GP) perspective is best characterized as a direct investment in a company by a private equity firm. In this context, the GP is typically responsible for sourcing, executing, and managing these investments. This type of transaction involves the GP deploying capital directly into a company to acquire equity, which can then be used to drive growth, improve operations, or facilitate other strategic initiatives. The GP aims to increase the value of the investment over time in anticipation of exiting the investment through a sale or public offering.

This understanding of primary transactions underlines the core function of private equity investment, where GPs leverage their expertise to actively manage and enhance portfolio companies. Other options do not encapsulate the direct investment nature that defines primary transactions in private equity from the GP's viewpoint. For instance, buying and selling existing investments reflects a secondary transaction approach rather than a primary one. Similarly, an investment made by a limited partner pertains more to fundraising rather than the GP's investment actions, and a restructuring of a fund's investment strategy indicates internal management decisions rather than the initiation of new investments.