Blackstone expects private equity dealmaking to accelerate into 2026 as financing conditions improve and market uncertainty eases, according to a Bloomberg interview with Lionel Assant, the firm’s global co-chief investment officer. Assant says falling debt costs, tighter credit spreads and greater clarity around macro and policy risks are helping to unlock M&A activity after a prolonged slowdown.
Assant says concerns earlier this year around weak distributions and fundraising have eased as exit markets picked up in the second half of the year. Blackstone generated more than $20bn of realisations across its global private equity strategies this year, its highest level since 2021, with Europe a key contributor.
The firm also expects IPO markets to play a larger role in exits, particularly in the US, where activity has returned closer to long-term averages. Europe’s IPO market is reopening more slowly, Assant notes, with sponsors often required to accept larger discounts.
Blackstone continues to expand its European footprint, including a growing presence in Paris, where the firm sees long-term opportunity despite political uncertainty. With around 800 staff across Europe, Blackstone expects further growth in markets such as France, Germany and Italy as it targets investing more than $500bn in European assets over the next decade.
