Chris Felderman

We're also watching and paying attention to the effects that they might have on inflation, which also impacts interest rates. And we're very sensitive to that in the M&A industry, right?

That can significantly alter the price of buyers willing to pay for a business, not only by making the cost of the acquisition debt more expensive, but also constricting the free cash flow of the company they're looking to buy and thereby limiting its ability to invest in further growth.

That can significantly alter the price of buyers willing to pay for a business, not only by making the cost of the acquisition debt more expensive, but also constricting the free cash flow of the company they're looking to buy and thereby limiting its ability to invest in further growth.

I less so have an opinion on the industries that we're seeing the activity in. It's more so the types of deals that we're seeing the activity in. And I would say we're seeing a lot more carve-outs. Over the past year, corporates that are selling off non-core assets, and that's an area where private equity can really come in and add value in a short timeframe.

I less so have an opinion on the industries that we're seeing the activity in. It's more so the types of deals that we're seeing the activity in. And I would say we're seeing a lot more carve-outs. Over the past year, corporates that are selling off non-core assets, and that's an area where private equity can really come in and add value in a short timeframe.

We're also seeing a lot more small add-ons, tuck-ins that our clients are doing where they don't have to take on additional debt to do it. They can fund it with the balance sheet. So those deals are getting across the finish line where at any time there's a need to take on new debt, it can really extend the timeline.

We're also seeing a lot more small add-ons, tuck-ins that our clients are doing where they don't have to take on additional debt to do it. They can fund it with the balance sheet. So those deals are getting across the finish line where at any time there's a need to take on new debt, it can really extend the timeline.

And our clients are really digging in a lot deeper on the diligence on those deals, whether it be financial diligence or commercial diligence or operational diligence.

And our clients are really digging in a lot deeper on the diligence on those deals, whether it be financial diligence or commercial diligence or operational diligence.

Yeah, I mean, on the buy side, like I said, we've seen increased activity in carve outs and small add ons. So I think we're excited about the momentum there. And then as it relates to the sell side, which we can also help with, we expect in 2025 for there to be an increased focus from LPs on their distributions to paid in capital or DPI.

Yeah, I mean, on the buy side, like I said, we've seen increased activity in carve outs and small add ons. So I think we're excited about the momentum there. And then as it relates to the sell side, which we can also help with, we expect in 2025 for there to be an increased focus from LPs on their distributions to paid in capital or DPI.

So that's going to mean more potential for increased exit activity. And that just provides us with an opportunity really to help our clients prep their portfolio companies for those exits and make sure that they're getting maximum value on those exits.

So that's going to mean more potential for increased exit activity. And that just provides us with an opportunity really to help our clients prep their portfolio companies for those exits and make sure that they're getting maximum value on those exits.

Yeah, I mean, obviously, they want to have a high return on the capital that they have invested, but I think in order for them to reinvest any funds, they're going to get to a point where they say, I'm less concerned about the return you're getting me. I just need to get those funds back so that I can reinvest them. They may or may not reinvest it with the current fund, but

Yeah, I mean, obviously, they want to have a high return on the capital that they have invested, but I think in order for them to reinvest any funds, they're going to get to a point where they say, I'm less concerned about the return you're getting me. I just need to get those funds back so that I can reinvest them. They may or may not reinvest it with the current fund, but

they're going to be really focused on getting that cash back in the door. And I think any fund that is able to hang on to an investment and extend the life of that investment right now and find additional ways to add value is trying to do that. But I do think there are going to be a lot of funds out there that kind of the time has run out and it's going to be time for them to

they're going to be really focused on getting that cash back in the door. And I think any fund that is able to hang on to an investment and extend the life of that investment right now and find additional ways to add value is trying to do that. But I do think there are going to be a lot of funds out there that kind of the time has run out and it's going to be time for them to

move into harvest mode instead of trying to extend the life of the current investments that they have.

move into harvest mode instead of trying to extend the life of the current investments that they have.

Exactly. I think it's more about preservation than it is about maximizing it.