Conquering complexity: How Europe's private equity CFOs & COOs are setting themselves up for success

15 June 2021

Download Publications (4.78 MB)

Mergermarket is pleased to present Conquering complexity, published in association with the Aztec Group and Unquote. This report provides insight into the state of the private equity (PE) market in 2021, and highlights how GPs are prioritising the many pressures they face in delivering their fund management and investment services.
 
The PE market has been confronted by many COVID-19-related challenges over the past year. Leading executives in the PE industry have come out on top, having risen to the occasion and dealt with these countless disruptions. PE activity has rocketed as a result, and this is only set to continue, with more than €185bn of dry powder estimated to be available in Europe alone.
 
Key findings include:
  • Putting priorities in order: 23% of respondents, the largest such share, say that reducing operating costs is the primary operational imperative facing their firm over the next 12 months.
  • Tangled in regulation: Most respondents (86%) expect the regulatory environment to become more complex for PE firms in Europe over the next 12 months.
  • Creative disruption the new essence of PE: Increasing use of creative deal structures (24% of first-choice selections), rapid technological advancements (21%) and the growth of new asset classes (19%) will be the top-three trends driving structural change in European PE over the next three years.