Private equity firms may see a rebound in sales of their investments during Donald Trump’s second presidential term, potentially reaching levels not seen in years, according to a report by Reuters citing Mark Benedetti, Executive President of buyout firm Ardian.
Speaking on a panel at the World Economic Forum in Davos, Benedetti noted that uncertainty surrounding the US election had previously stalled private equity activity.
“If you went back six months ago, the discourse was all about what’s going to happen in the election,” he said. “Now that’s behind us, a lot of groups that have been holding back, waiting to push the button to sell their assets, are now coming to market.”
Benedetti predicted that the bottleneck in private equity deals, particularly for mid-sized companies, will ease in the months ahead. However, he tempered expectations, saying the pace of exits is unlikely to match the record-breaking levels of 2021. Instead, he anticipates a return to “normal” levels, akin to those seen in 2018 and 2019.
