Trending, it’s all about trending…
It’s been an interesting start to the year in the PE space for us with so many positive factors to consider, as well as one or two worrying ones. On the positive, the deal market in Europe saw $173bn worth of exits in 2014, up from $85bn the year before, a trend that looks to continue. The dry powder continues to climb positively upwards, as seem to do the multiples being paid for deals coming to the market. Great if you’re exiting, not so great if you’re looking to deploy funds.
This week we did a presentation at a Financial Services function that was all about what’s trending within the market from a sector perspective – very much a “what’s hot and what’s not” kind of discussion. The general feeling from visiting PE houses and telling them about our strongest sectors is that the interest is always peaked around Consumer, the Digital arena, and Financial Services. Well, we could hardly present to them and tell them they weren’t in demand.
The response from the room and the discussions afterwards were very much focused around FinTech, as expected, and other areas of Financial services that were trending: the volume of carve-outs coming from the large corporates from their repositioning and the activity within the challenger banking sector. All very interesting to Interim Partners, as we position ourselves to be proactive in creating demand and reactive in our response to client requests, helping our Interim community prepare and get ahead of the game.
What are you seeing in the market? What’s trending for you in the PE space? And what potentially are we missing as we dust ourselves down from Easter and prepare ourselves for a humdinger of an election battle? Our market intelligence has to come from a variety of sources, particularly so if we’re to understand what’s trending.