A Year of Transition: Our Key Takeaways from European Private Equity in 2024
After two years of declines in buyouts and exits, the private equity industry faced numerous challenges and ripple effects from the pandemic, including extended holding periods and pressure from LPs to exit mature investments. Combined with sluggish economic growth and ongoing geopolitical uncertainty, these factors have significantly impacted funds and portfolio companies over the past year, marking 2024 as a period of transition rather than the robust rebound in dealmaking many had hoped for.
Throughout this year, PE funds have recognized that gains can no longer rely solely on multiples expansion. The market has shifted focus to operational transformation to achieve tangible results such as wider margins, organic growth, and increased cash flow. Our team of over 250 people dedicated to Private Equity has been actively engaged in delivering the much-needed operational change and value creation to our PE clients.
One thing is clear: firms that have demonstrated remarkable agility and adaptability over the past three challenging years are well-positioned to benefit as the market environment gradually stabilizes.
Dive deeper into our comprehensive review of the year, including reflections, learnings, team highlights, and future outlook across the following topics:
- M&A Market Status Quo in 2024
- AI’s Growing Role Across the Deal Lifecycle
- Exit Readiness and Multiple Break-Ups
- Outlook for 2025
At A&M, we are eager to leverage the insights and lessons we've gained during this time to continue supporting PE firms across EMEA in achieving success in 2025 and beyond.
