Looking to invest in private equity in 2023?
According to Grant Thornton LLP Partner Melanie Krygier, the current turbulent economy presents a unique opportunity for discerning investors to discover solid investment targets and strategically deploy capital.
Krygier has identified five critical trends for PE investors and dealmakers to understand as they journey through 2023. These include:
– Diminished competition has put PE investors in the driver’s seat, with fewer public deals and SPAC activity ceasing almost entirely.
– Public company carveouts and take-private deals are increasing, providing opportunities for liquidity.
– Fears of tax hikes have created stability, allowing for better quality in executed transactions.
– Rising interest rates are a drag, but private equity structures may offer a short-term fix.
– Strong fundraising has given PE plenty of cash to invest.
What other trends do you think will impact deal-making throughout 2023 and beyond?
