Challenges continue for private equity funds seeking to deploy unfunded capital and competition for good assets remains fierce. As these macro-dynamics remain unchanged, financial buyers looking to distinguish themselves, particularly in hot auctions, are adjusting their strategies. In a PE Hub Canada feature article, Torys LLP‘s Stefan Stauder, Michael Akkawi, Amanda Balasubramanian, Jonathan Wiener and Sophia Tolias examine three strategies that PE funds are successfully putting to use.
As representation and warranty insurance (R&W) remains white-hot in the U.S. M&A mid-market, a number of additional underwriters have entered an increasingly competitive space. That, in turn, has spurred interesting developments in deal terms in both the United States and Canada in the past year. In a PE Hub Canada feature article, Torys LLP Partner Stefan Stauder and Senior Associate Meghan McKeever share their insights on some key North American trends from the last twelve months that they believe are worth keeping an eye on in 2018.
Now is an opportune time for owners to sell their companies. Valuations through Q3 2016 are at the highest level since at least 2010. Private equity dry powder is at record levels and PE firms are under pressure to invest. These and other dynamics combine to put sellers in a strong position. To avoid squandering that advantage, Torys LLP‘s Stefan Stauder and Katherine Spenner offer five points they believe sellers may want to keep in mind to preserve leverage, and to maximize deal proceeds and favourable terms.
Co-investments, in which investors and a sponsor’s primary fund invest alongside each other in an M&A deal, have become a staple of today’s private equity landscape. It’s not hard to see why. Given the importance of having an effective co-investment strategy, and of avoiding potential pitfalls, Torys LLP Partner Stefan Stauder and Senior Associate Jamie Becker have come up with some “how-to” guidelines for investors negotiating and managing co-investment arrangements with PE sponsors.
In today’s market, sellers are increasingly attempting company sales in private auctions according to terms more characteristic of public M&A deal making. In a PE Hub Canada exclusive, Torys LLP‘s Stefan Stauder, Matthew Cockburn and Laurie Duke discuss the factors driving this trend, as well as some of the related pitfalls.