1、vf mnr 町mhMequity emerging from the fog By AlexandeEdlich,Christopher Croke,Fedrik Dahlqvist,and Warren TeichneGlobal uncertainties remained in 2024,but the path forward for private equity became clearer,with a rebound in dealmaking and distibutions.T巾casuagloba川弘Fundaisi1g enained tough一down 24 pec

2、ent yea oveyeafortaditional comni1gledvehicles,makingthe third consecutive year of decline.Investment returns were muted,especially compared with buoyant public markets.Our analysis reveals a more nuanced picture.Aftetwo years of murky conditions,private equity started to emerge fom the fog in 2024.

3、For one,the long-awaited uptick in distibutions finally arrived.For the first time since 2015,sponsors distributions to limited partners(LPs)exceeded capital contributions(and were the third highest on ecod).11 This increase in distributions arrived at an important time for LPs:In our 2025 poprietar

4、ysurvey21 of the worlds leading LPs,2.5 times as many LPs ranked distibutions to paid-in capital(OPI)as a“most citical”pe斤ormance metic,compared with thee years ago.Thee was also a ebound indealmaking after two years of decline,with a notable increase in the value and numbe oflage private equity dea

5、ls(above$500 million in enterprise value).Exit activity,in tems of value,stated to whir again as well,especially sponsor-to-sponso exits.This resurgence was powered by a much more benign financing envionment.The cost of financing a buyout declined(even though it remains much higher than the ten-year

6、 average),and new-issue loan value foPE-backed borrowes almost doubled.In a sign of sponsoSconfidence amid impovingfinancing conditions(spued by monetary easing),enty multiples inceased after declining in 2023,as sponsors could sell more companies at a highe average price per company.The contrast be