Private equity dealmaking 'renaissance' uncertain until inflation is tamed

48.9% slump in number of PE deals

Valeria Martinez
clock • 6 min read

Private equity dealmaking levels have slowed dramatically since the second half of 2022, with the prospects of a rebound in activity highly dependent on the uncertain path of inflation and interest rates.

On Monday (10 April) last week, an S&P Global Intelligence report found global private equity deal value and volume tumbled year-on-year in March and in the first quarter of 2023. Deal value fell 37.1% year-on-year in March, while overall private equity entries for the month totalled $63.4bn, compared to $100.8bn for the same period a year ago. The number of deals declined 48.9% to 885 from 1,733 a year prior, the lowest level in over 12 months.  Over Q1 2023, total transaction value declined 48.6% year-on-year to $122.8bn from $238.9bn. The number of deals fell to 2,873 deals from 5,...

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