In an article published in Financial Investigator on 21 January, 2025, Frederic Blanc-Brude1, Abhishek Gupta2 and Srinivasan Selvam3, present the key insights from their recent report entitled “Private Equities in 2024: The Calm Before a New Surge?” which uses the privateMetrics database, with a coverage of over one million companies across 150 countries, to provide a detailed analysis of the latest valuation multiples, including EV/Sales, Price/Book, and EBITDA multiples as estimated using the most recent monthly transactions. They conclude that:
“The private equities market in 2024 demonstrated resilience amid persistent macroeconomic challenges, with market price multiples remaining strong despite headwinds in sales and book values. (…) Looking ahead to 2025, private equity investors will need to navigate a dynamic valuation environment with a heightened focus on strategic sector selection, financial discipline, and operational efficiency. As liquidity constraints persist and capital allocation becomes more selective, valuation transparency, risk-adjusted returns, and revenue model sustainability will be critical in determining investment success in the evolving private equities landscape.”
🔗 Read the full article.
🔗 Read the report.
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1Senior Researcher at EDHEC Infrastructure & Private Assets Research Institute and CEO of Scientific Infra & Private Assets.
2Senior Researcher at EDHEC Infrastructure & Private Assets Research Institute and Associate Director at Scientific Infra & Private Assets.
3Senior Researcher in Finance – Solutions at EDHEC Infrastructure & Private Assets Research Institute and Scientific Infra & Private Assets.