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Deal bonanza

Whisper it quietly but there is a sense among PE executives that deal flow could be about to turn for the better rapidly. Buyout investors are keen to see realizations as they prepare to reinvest capital in new fund vintages. All of this could lead to GPs accepting lower prices on investments, generating a much-needed rebound in deal activity. Funnily enough, ‘Getting Deals Done’ is precisely the theme we’ll be exploring this week at IPEM Cannes 2024! If there are more buyout shops willing to accept lower prices, the deal flow tap will likely benefit all market participants, and hopefully bring a bit more ‘fun’ to PE fund investing in 2024. We certainly hope so.

inspired by the Financial Times

IPEM Tech Summit

IPEM Cannes 2024 – From consumer tech growth to strategic carve-outs, will 2024 see improved deal flow?

European growth capital had a particularly strong year in 2022. According to Invest Europe it was the best performing segment, generating a net IRR of 15.34%. Over a three- and five-year period, European growth funds – which typically take minority stakes in high growth firms that are cashflow positive yet lack a long enough track record to take on significant debt (as one would see in buyouts) – have generated 21.63% and 20.39%.

Meme - Relax. I’ve got just the solution to improve ESG benchmarking

Turning a new leaf

Northern Trust’s investment in Novata, a private market data start-up, could help the industry turn a new leaf on ESG benchmarking. The investment is aimed at enhancing Northern Trust’s ESG data management capabilities, at a time when investors are looking for more (northern) light on ESG benchmarking as they analyze portfolio performance. Novata’s ESG data collection services are expected to play a key role in providing an ‘eco boost’ for Northern Trust as it responds to investor demand for ESG data. They’ll be hoping this enhanced sustainability capability will help investors relax and start to feel the benefits of an improved ‘green’ diet!

inspired by FinTech Global