Notable News in Private Equity May 2020

A monthly email providing news from the world of private equity.

Notable Notes  ...COVID-19 macro impacts include destruction of production capital, on-shoring, shrink in consumer spending and fall of marginal competitors ...all impacting various industries differently and leading to opportunities for companies that survive

 ...NYC COVID-19 cases are 20 per thousand, compared to 1 per thousand in Texas ...in 2008, "too big to fail" shaped who succeeded; in 2020, government and consumers are deciding what is "too essential to fail" ...the oil & gas industry is 9% of the Texas economy

US PE Equity Breakdown Q1 2020 US PE dealmaking activity in Q1 2020 rose YoY as the COVID-19-induced slowdown is likely to be felt in the coming quarters. Read more files.pitchbook.com PE Pulse - April 2020 Quarterly insights and intelligence on PE trends Read more assets.ey.com US PE Middle Market Summary - 2019 Annual US PE middle-market (MM) dealmaking activity crossed the $500 billion threshold for the first time in 2019 after cresting $400 billion in 2018. Read more files.pitchbook.com US Private Equity During Economic Turmoil - April 2020 The investment landscape changed abruptly within the first few months of the new decade. A global pandemic has overtaken the discourse, and forecasts of record-breaking drops in GDP growth and employment have rattled financial markets, despite a ... Read more files.pitchbook.com Opinion | Don't Reward States' Bad Decisions Congress has taken significant action over the past two months to address the unprecedented economic crisis brought on by the coronavirus pandemic. We've pumped hundreds of billions of dollars into the health-care system, significantly boosted... Read more www.wsj.com

How a COVID-19 Recession Is Likely to Affect Buyout... Until the COVID-19 outbreak about three months ago, fund managers consistently cited high asset prices as the main threat to private equity returns. Indeed, 60% of fund managers surveyed by Preqin in November 2019 said that valuations were the... Read more www.preqin.com Buyout Funds in Times of Crisis Examining how buyout funds act and perform during periods of economic duress Read more files.pitchbook.com Opinion | Get Ready for the Return of Inflation The economists Milton Friedman and Anna Jacobson Schwartz demonstrated in "A Monetary History of the United States" that a collapse in the quantity of money was the main cause of the Great Depression. Hoping to avoid a repeat, the Federal Reserve ... Read more www.wsj.com Texas Economic Indicators, April 2020 April 21, 2020 The Texas economy contracted in March, as payrolls declined and unemployment ticked up as a result of the coronavirus (COVID-19) pandemic. Texas led the nation in the dollar amount of approved loans from the Paycheck Protection... Read more www.dallasfed.org

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