The Co-Investing Report
Co-investment activity has increased steadily over the past five years, and while there are signs of a drop-off as macroeconomic challenges bite, there still seems to be a growing appetite for co-investing, defying expectations.
Why is this? One factor is that less experienced co-investors are exiting or stepping away from the market, giving a chance for more experienced players to step in. Another is that the debt markets are tightening, meaning more capital is required to seal a deal, so some firms may rely on capital from co-investments in the coming months.
Bearing all this in mind, co-investing could be deemed a versatile tool to help navigate the uncertain times ahead. It not only takes the pressure off GPs to close deals, but it also can be a means to provide follow-on funding to top up various funds. Co-investors have also learned many lessons from the global financial crisis and, as a result, know how to deal with volatile periods.
In this special report, we analyze the co-investing landscape further, covering current trends and challenges, and looking to industry experts to provide key insights.