It is interesting to see the Centre for Management Buy-Out Research confirming the anecdotal evidence that we are currently witnessing: for the right companies there remains a very attractive market of both Private Equity investors with funds raised and large corporates with strong balance sheets - both of whom need to deploy capital and create value for their investors. It seems that whilst the period just before and after the Brexit vote showed a slow down in deal volumes, the market since has shown a strong recovery and most investors / acquirers that we speak with are suggesting that they remain keen to invest in sound businesses with ambitious management teams.
A management buyout (MBO) specialist has said the Midlands is "well placed" for the future despite uncertainty sparked by Brexit, due to initiatives such as the Midlands Engine. He also urged more private equity-backed companies to look overseas for growth. Professor Mike Wright, head of the Centre for Management Buy-Out Research (CMBOR) at Imperial College Business School, addressed an event hosted by the Birmingham office of Equistone Partners Europe. He said the region's economy is "resilient" and businesses should take advantage of private equity funds. "There’s a huge pile of money out there that is ready to be invested – which raises the question of where the market is going," Dr Wright said.