Seeking to capitalise on uncertainty among UK private equity firms, foreign players increased their foothold in 2020. North American private equity firms increased their share to more than 20% of deals for the first time in the past four years. It was a similar story for Asian and rest-of-world investors, which both saw an increased level of activity in the UK.
These increase are worth noting,” explained Robert Wolfson. “Private Equity investments have seen a boom that many are paying attention to and the Covid pandemic has played a major part in the success of these type of investments and deals available”
“Once the initial shock of lockdown had worn off, and hesitancy caused by issues such as Brexit, general elections and broader international uncertainty, there is a renewed sense of urgency amongst private equity investors to get deals done. They had plenty of cash ready to be deployed, with a similar appetite for money making transactions. The tap has been turned back on and wealthy investors are benefiting greatly”
Mergers and Acquisitions activity bounced back strongly in the second half of 2020 and is set to continue its upwards trend in the next 12 months.