"Capital isn't scarce; vision is."
-Sam Walton
March 01,2017
Private Equity Continues to Expand Channel Presence
“There aren’t many larger solution providers that don’t have some sort of funding behind them.”
That was martinwolf Managing Director for Supply Chain Anthony Lembo in CRN’s latest cover story: “Private Equity Power Play: Why Solution Providers Are the Next Big Bet.”
Anthony Lembo |
Following our analysis last year of private equity involvement in 2015’s channel M&A activity, we once again worked with CRN to perform a similar analysis for 2016. Our conclusion: nearly 70 percent of transactions involving solution providers last year also included private equity.
In many instances, it’s a smart play: as Anthony details in the article, private equity can contribute both management skill and overall strategy, as well as the all-important capital required for continued expansion. And, as Anthony points out, “It’s clearly still on the rise” – expect a “second wave” of M&A activity as private equity players look to bulk up newly acquired platforms.
For more of our analysis, as well as to read interviews with channel CEOs and other accompanying content from CRN, click here to view the complete article.