Post by Richard Sheiman
Clarity1, InfoscreenWater & Zeus Tallow
This was a fantastic LinkedIn broadcast - which highlights the pitfalls of growth for growth sake, and recognizing the merits of sound growth for the benefit of customers, founders, investors, and other stakeholders alike. It seems that private equity replaced the conglomerate and now the independent sponsor community will carry private equity forward. The world is too complex to support these global conglomerates, and that was true when General Electric tried to buy Honeywell and was stopped by the European economic community as an anti-monopolistic measure. Bigger is not inherently better, but it does have its merits. When it comes to new private equity platforms, the key is sustaining deal flow among closely held companies that are seeking a partner to take their company to the next level while also de risking and spreading equity to their management team - or whatever their goal set may be. The biggest trend in M&A is that high quality platform scale companies in great markets like Packaging and Filtration will get to decide what they want in a transaction
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