private equity look
Private equity looks for recession-proof deals
These are flush times for American private equity funds. Through November, they have raised more capital than any other fiscal year. But a good portion of that cash has not been put to use – yet. One reason is that many takeover targets have simply become too expensive, a dynamic reflected in the drop in deal activity for 2019. According to RSM Bloomberg, the median implied M&A transaction multiple from 2017 to 2019 was 12.2 times a firm's EBITDA, while from the preceding two-year period it was only 10.4.