Holman: PE's Forecast
All may not be as bad as the dark clouds suggest.
June 11, 2009
Around this time of year most Americans are gathering at barbecues, beaches and parks to soak up the summer. But, after another round of thunderstorms rolled across the nation this past week the notion of whether summer will actually begin hung around as a question mark in this reporter’s mind much like the clouds shrouding New York’s skyline. It’s not exactly unlike the middle market transaction business where a lack of quality companies for sale, tough credit markets and portfolio company restructurings have combined to create the deal community’s version of an atmospheric low pressure system.
In May it looked, though, as if one corner of the private investment industry was looking up. A pair of private equity consortiums took control of BankUnited Financial Corp. and First Southern Bancorp Inc., respectively. The acquisitions suggest that regulatory hurdles around ownership restrictions on bank investors might be easing, raising the prospect for other troubled banks to be salvaged through acquisitions by financial buyers all too eager to put their funds to work.
By mid-June, however, bad news surfaced. The Federal Deposit Insurance Corp. nixed another private equity club’s bid to buy the Atlanta-based commercial bank Silverton Bank, and closed it instead. And a new survey from Rothstein Kass of more than 200 middle market private equity professionals predicted that challenging capital market conditions would persist into next year, clouding the transaction-making prospects for LBO firms and hampering fundraising efforts.
However, all may not be as bad as the dark clouds on the horizon suggest. A spate of private equity deals were executed over the past week as the IPO window creaked open, and M&A boutiques are as busy as ever. In addition, some $400 billion of capital is sitting on the sidelines waiting to be invested once the credit markets bounce back.
Now if the clouds would just go away for more than a day, perhaps the summer will arrive in time to give dealmakers a break from the M&A industry’s perfect storm.
9 Comments
nutrition food pyramid Nice blog having nice information. I would like to appreciate writer 's nice effort of posting useful information.
Posted by: james s | February 8, 2012 1:56 PM
Cranberry Bread Recipes Most households regard bread as a staple food item. So, every mom makes the trip to the local bakery to get the daily dose of bread.
Posted by: josh s | January 22, 2012 7:39 AM
Cranberry Bread Recipes Most households regard bread as a staple food item. So, every mom makes the trip to the local bakery to get the daily dose of bread.
Posted by: josh s | January 22, 2012 7:38 AM
Zodiac Signs Virgo Nice blog having nice information. I would like to appreciate writer 's nice effort of posting useful information
Posted by: james s | January 17, 2012 11:07 PM
coach outlet online coach outlet louis vuitton uk louis vuitton coach outlet online coach factory outlet coach outlet coach outlet store online louis vuitton sale louis vuitton outlet coach factory outlet coach factory online coach factory outlet coach factory outlet online louis vuitton uk louis vuitton coach outlet online coach outlet coach outlet store coach outlet store online coach bags coach outlet store coach outlet coach outlet store online hermes birkin hermes bags gucci uk gucci uk sale louis vuitton outlet louis vuitton bags
Posted by: CHEN M | January 14, 2012 2:38 AM
This is very online poker blackjack info nice approach is visible in this website gamble info guide and free casino stock the great services are visible in onlinepoker best blog this blog. I had really like playing-guide this 369 bingo online website and the great technology is 123 gambling tips visible in this 63 bingo rules website card game reviews I really casino vegas online loved it.
Posted by: shane w | January 2, 2012 1:24 AM
kindle fire black friday The best time to get anything electronic is on Black Friday. While that fact has always held true, it is going to be especially good this year.
Posted by: james s | January 1, 2012 10:08 PM
packers jersey, Charles Woodson Jersey,Ryan Grant Jersey,Aaron Rodgers Green Jersey Dallas, on the Ryan Grant Green Jersey other hand, is not A.j. Hawk Green Jersey playing good football. Clay Matthews Green Jersey They lost in heartbreaking Aaron Kampman Green Jersey fashion at New England Donald Driver Green Jersey this weekend. Charles Woodson Green Jersey Their only two wins Greg Jennings Green Jersey are over San Francisco Jermichael Finley Green Jersey (a miracle comeback) B.j. Raji Green Jersey and Washington (won without scoring a touchdown).
Posted by: kaijili e | November 14, 2011 3:44 AM
When you need a thermally efficient but stylish north face jackets .The cheap north face is a popular solo or mid layer quarter north face on sale for outdoor pursuits. Quick-drying, and resistant to pilling, fading and shape distortion, The ccheap north face jackets is a versatile winter top, great for wearing alone of for pairing with other layers north face jackets on sale for comprehensive protection from the elements. da
Posted by: wz w | October 22, 2011 2:09 AM
Add Your Comments...
Already Registered?
If you have already registered to Money Management Executive, please use the form below to login. When completed you will immeditely be directed to post a comment.
Not Registered?
You must be registered to post a comment. Click here to register.