Private Equity

The landscape in private equity has changed dramatically. In the years leading up to mid-2007, the supply of cheap credit combined with sharp increases in deal volume and competition for assets drove valuations to peak levels. Since mid-2007, however, a major reduction in the supply of credit and declining investor commitments have put a wrench on the previous dynamic. As a result, liquidity in the M&A market has fallen, placing pressure on the attractive returns that had drawn investors to the asset class. The industry is facing a period of challenge, but the prizes will be substantial for those who respond strongly; private equity investments made during the recession are likely to deliver outstanding returns on investment.

key trends for the private equity industry >

Service Areas

Booz & Company has extensive experience in serving private equity firms in multiple industries and regions, and across the value chain. With our operational consulting heritage, deep industry knowledge, and breadth of functional expertise, we can deliver insight and effect change with the speed that private equity needs, from pre-deal analysis through post-acquisition restructuring strategies to exit.