Oliver Tant of KPMG said: ‘Most of our respondents expect some market recovery over the next two years.’ Realisations in 2004 would have to treble the values of 2002 to correct last year’s shortfall.
In other news, deal values in the European media sector are expected to reach €20bn (£13.3bn) and transactions number more than 100, a new report has claimed.
According to research by PricewaterhouseCoopers, 2003 witnessed deal values climb sharply from €11.5bn in 2002 to €16.8bn. The number of deals increased from 78 to 85, and 10 of the deals were valued at more than €500m.
Olivier Wolf of PwC corporate finance said: ‘Private equity houses were attracted by the strong cash generation qualities of media companies and the fragmentation of the sector, a pressing need to invest capital and a lack of competition from financially-constrained trade buyers.’