The IMF warned that insatiable investor demand for private equity investments
has resulted in over-inflated deal valuations, and left companies financially
vulnerable and saddled with too much debt.
, the IMF also warned that private equity players are also
exploiting demand for a share in their deals in order to obtain weaker financing
conditions from their investors.
Investors, meanwhile, may be failing to properly assess private equity deals
as thoroughly as they should in the rush to obtain stakes in buy-out deals.
‘The recent wave of M&A is exhibiting some worrying symptoms of the past
and has introduced some new risks,’ the IMF said in a report.
Peter Terry joins the North West advisory team
The average cost of fraud increased 35.4% to £3.9m in 2016, compared to 2015 data
Tallat Mahmood appointed to corporate finance team of Top 20 firm
Andrew Tyrie airs views on the Finance Bill, 'Making Tax Policy Better' report, and Brexit