Key Pros and Cons of Consortium Deals for Investors

Consortium deals are back in fashion but what does this mean for investors?

July 10, 2019

As deal values and multiples rise, Michael J. Preston considers the impact this will have on consortium deals and what to watch out for.

Key takeaways for this month’s Market Wrap

  • Multiples passed the 11.6x (EV to EBITDA multiple) high water mark of 2007 and equity cheques rose to a 5.7x high, according to figures from PitchBook.

  • Key areas to consider when looking in to a consortium deal including, the governance, fees and expenses, structuring as well as exits for those involved.
  • A view from the sell-side explores what issues consortium members might face when negotiating with sellers.

To read this month’s Market Wrap in full click here.