Despite a year of geopolitical volatility and economic uncertainty, private equity demonstrated its resilience in 2024. With challenges still ahead, how are PE managers setting themselves up for success in the coming year?
In this special episode, Dechert partners Sarah Kupferman, Rani Habash, Eliot Relles and Sam Whittaker share their perspectives and insights on key findings from Dechert’s 2025 Global Private Equity Outlook report, including the increased appetite for co-investments and club deals, the impact of regulatory changes and private credit’s growing role in bridging funding gaps.
Key Takeaways
- Private equity firms are facing significant obstacles in fundraising, leading to an increased interest in co-investments and club deals. 73% of North American firms offer co-investments, and 61% find club deals very appealing, up from 46% the previous year.
- In response to unfavorable market conditions for exits, private equity firms are exploring alternative solutions such as GP-led secondaries, continuation funds, NAV facilities, pref equity, and dividend recaps to obtain liquidity and extend hold periods.
- Private equity funds are leveraging their relationships with debt providers to offer LP investors pri-vate credit opportunities, which helps attract additional LP equity commitments. This trend is driven by the growing interest in private credit as a means to hedge investment portfolios.
Show Notes
2025 Global Private Equity Outlook, Mergermarket and Dechert
Related Professionals
