Meme - Even the KKR executives enjoyed the DJ spinning that tune

Let festivities commence

News, WEEKLY SPIN

Live and direct. As consumer demand rises for live entertainment experiences – just look at the crowds at Taylor Swift’s Eras tour – KKR has just announced the acquisition of Superstruct Entertainment. The global buyout firm has agreed to buy one of Europe’s leading live entertainment groups from Providence Equity Partners. It is another example of private equity plugging in to Media & Entertainment space, which has also seen increased investment in music rights and royalties. As part of the deal, Providence has the option to invest $250 million in to Superstruct, which under its stewardship has enjoyed strong organic growth; it now operates over 80 music festivals and live events in Europe and Australia including Boardmasters and Sónar. The new partnership is music to the ears of the Superstruct team. Could KKR’s deal will spur other PE groups to dance to the same beat and seek out further opportunities in the live entertainment space?

Inspired by the Financial Times

PRESS RELEASE – Announcing keynote speakers for IPEM Paris 2024

News, PARIS 2024, PAST EVENTS

IPEM announces keynote speakers for the September Paris edition with the theme ‘Forging Confidence’. IPEM, the premier relationship broker for the global private capital industry has announced its keynote speakers as well as a strong global selection of GPs and LPs who will be attending IPEM Paris 2024 from 9th to 11th September, at the Palais des Congrès. In less than 3 months, the World Hub of Private Equity will reconvene and over the course of 3 days, the private equity community will discuss how the industry can be ‘forging confidence’ even in turbulent times.

430+ GPs firms and 480+ LPs have already confirmed their attendance with firms from across North America, Asia and across Europe, including the Nordics, UK, France, DACH, Spain and Italy, all coming to Paris. Large players such as KKR, Apollo, Carlyle, General Atlantic and Temasek will all be at the event. Download the full list of firms here.

Seeing is believing

News, WEEKLY SPIN

While tech giants focus their AI strategy on content generation, AI-generated visual media is on the rise, with a 90% VC funding increase. It seems fitting that we generated our own AI image to accompany this latest edition of the Weekly Spin, given that investment in AI visual media is on the rise. According to the latest PitchBook data, Q1 2024 saw a nearly 90% increase in deal value, climbing to $402.7 million from the previous quarter’s total of $212.7 million. Technology start-ups are focusing their AI visual solutions on enterprise businesses with the likes of Photoroom, an AI photo editor aimed at ecommerce businesses, raising $43 million. Balderton Capital and Y Combinator were investors in the Series B round. AI visual content is fast becoming an important sub-sector of the generative AI space. Early-stage GPs with the vision to pick out the next best start-ups could benefit, as more investment dollars flow in. It feels like the AI content revolution is only just beginning.

Inspired by PitchBook

Private Debt article thumb

Private Debt: No stopping the Megatrend

INDUSTRY INSIGHTS, News

Private debt has proven itself in recent years to be a highly resilient, valuable asset class for LPs’ investment portfolios and there are no signs that the party will be coming to an end anytime soon. Overall industry AUM has grown to $1.5 trillion and is forecast to reach $2 trillion by 2027. This is now a mainstream alternative asset class; one that continues to grow and mature as a bona fide megatrend. Indeed, with the opportunity to earn double-digit returns on first-lien debt, industry leaders including Stephen A. Schwarzman believe this is a golden age for the asset class. There are various factors driving this megatrend. Some of these include, at a very high level:

• Diversification
• Yield enhancement
• Illiquidity premium
• Macro tailwinds
• Income generation

Private debt has evolved to become a highly diverse asset class. Since 2007, the market has grown from $280 billion in assets under management to $1.5 trillion in 2022. While direct lending to corporates, real estate, and infrastructure has been well established for some years, specialty finance has also been growing in areas such as aviation finance, litigation finance, NAV lending, IP & royalties, and venture debt. Indeed, KKR estimates that asset-backed finance is a $5 trillion market and growing.

Billionaire Boys (Buyout) Club

News, WEEKLY SPIN

PE firms are tapping in to billionaire family wealth to help get buyout deals over the line, in a sign that family offices are becoming even more important co-investors. Bloomberg data reveals that wealthy families have contributed to nearly $20 billion of listed company takeovers. Family fortunes are proving to be quite the hit show, with blue chip PE groups not immune from the chilling effects of a slower fundraising environment. Family dollars have proved invaluable in getting a number of prominent acquisitions over the line this year, including Germany’s Veissmann family co-investing alongside KKR in the $3 billion purchase of renewable energy firm Encavis AG. These family friendly deals show that buyout fundraising has shifted slightly and become the ‘Billionaire Boys (Buyout) Club’.

Inspired by Yahoo Finance