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Evercore Edge

2024 Trends – What's Top of Mind for Sponsors?

Dec 21, 2023
Neil Shah from Evercore interviews Jim Neary from Warburg Pincus on 2024 private equity trends. They discuss challenges in deal-making, value creation, exit market landscape, and the importance of AI integration for future forecasting in the industry.
14:53

Episode guests

Podcast summary created with Snipd AI

Quick takeaways

  • Private equity firms focus on operational performance for value creation, shifting from market trends.
  • Integration of AI in decision-making processes offers risks and opportunities for private equity investments.

Deep dives

Private Equity Market Environment in 2024

The private equity market environment is facing challenges in 2024, marked by rising interest rates, reduced leverage appetite, and increased competition for deals. This shift from a period of growth post the financial crisis to a more volatile environment poses risks amidst geopolitical tensions and economic uncertainties. Companies are experiencing pockets of difficulties, with varying performance across sectors like labor shortages impacting staffing businesses and changes in consumer spending patterns.

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