Private equity finally found some footing in 2025. Deal and exit values surged, a few megadeals stole the headlines, and the champagne almost popped. Almost. The rebound was narrow, and distributions stayed stubbornly low. Fund-raising? For many general partners, that process remained a grind.
What we’re experiencing, in other words, is a K‑shaped recovery in a world where low prices, cheap debt, and easy multiple expansion are gone for the foreseeable future.
This year’s report asserts that “12 is the new 5,” meaning today’s deals demand faster EBITDA growth. Actually achieving this growth requires sharper value creation and a clearer, data-backed edge. The winning firms will build systems, not slogans. They will invest in talent and AI, and move from full potential diligence to execution on Day 1.
I hope these thoughts help you compete (and enjoy the ride). Thank you for reading—and for pushing the industry forward.
