"Although it's far from easy to raise capital today, more private equity firms have the wind at their backs than [they] did even a year or two ago." said Laura Kreutzer, managing editor of Dow Jones Private Equity Analyst.
Due to economic uncertainty, there has been a "wait and see" approach to deal making. However, the looming deadline is prompting a more proactive approach with firms realizing that it’s time to spend... Clearly, firms are on the trail of the deal, with some engaged in “elephant hunting”, that is, seeking deals worth $10B. Collectively, PE firms have already spent $45B in the third quarter alone according to deal tracking source, Capital IQ. In this environment, Sellers are the Winners...as inflated acquisition prices are a likely result with so much competition for a limited number of deals.
Keep an eye out for mega deal headlines...and an accelerated pace for deals.