
During 2005 and leading into this year, we've seen valuation multiples in M&A transactions increase, especially in transactions by financial sponsors like private equity groups.
Hedge funds have increasingly become involved in making full on acquisitions, especially in the large cap end of the market. This may be having an impact on valuations as this brings billions of dollars into the buyout market.
Over time, this is likely to have an impact on valuations down market from the large cap arena. This will be especially true of hedge funds begin to allocate funds to transactions in the upper end of the middle market.
Watch and see!




.jpg)



Comment Preview