On Target: 2024 Private Equity Outlook
Despite rising interest rates and inflationary pressures, the Canadian private equity market remained quite active in 2023. What can private equity participants in Canada expect moving forward? To help sophisticated investors navigate the market uncertainty and find creative ways to deploy capital and generate value, our National Private Equity Group published its 8th annual Private Equity Outlook.
On Target: 2024 Private Equity Outlook examines last year’s activity and provides a comprehensive analysis of the Canadian private equity landscape over the past 12 months, including a detailed breakdown of 2023 deal numbers, market conditions and industry shifts, fundraising activity and other hot-topic issues that will impact 2024 deal making.
Download our Private Equity Outlook to get the latest insights on:
- 2023 in Numbers—Canadian Private Equity Overview
- Trends in Global Fundraising
- Addressing Conflicts of Interest
- Foreign Direct Investment: The Looming Threat of National Security Reviews
- Opportunities to Generate Long-Term Value in Distressed Assets
- Private Equity Fighting Climate Change
- Amendments to the Reportable Transaction Rules Under the Income Tax Act
- Rules Impacting Investment Limited Partnerships Turn Four This Year
Read an excerpt from the publication below:
2023 in Numbers—Canadian Private Equity Overview
Despite the impact of inflation, a steady increase in interest rates, volatility in the market, concerns about a possible recession and global geopolitical uncertainty, the Canadian private equity market remained quite active in 2023. As of December 5, 2023, 441 private equity transactions have closed in 2023 for a total deal value of C$16 billion. In 2017, 2018 and 2019, there was a year-over-year increase in both deal count and deal value, followed by a decline in such metrics in 2020. The numbers as of December 5, 2023 track with 2020 with respect to both deal value and deal count. From 2020, deal count increased significantly in 2021 and 2022 (608 deals in 2021 and 581 deals in 2022), although deal value remained largely flat during that period.
The total 2023 deal value of C$16 billion as of December 5, 2023 remains relatively robust compared to the C$14.4 billion of total deal value for 2022.
This chart compares both deal value and deal count between 2013 and December 5, 2023.
About McCarthy Tétrault’s Private Equity Group
Our clients include large and mid-market private equity firms, as well as pension funds, sovereign wealth funds, family offices, venture capital firms and other institutional investors, based in Canada and elsewhere. With offices across Canada’s major commercial centres and in New York and London, our national private equity team has substantial presence and capabilities to help our clients successfully complete transactions nationwide and across borders. We take an active interest in our clients’ businesses so that we can deliver best-in-class legal advice. As active participants in the private equity industry, we advise our clients on key trends and issues, mitigate risk and apply innovative strategies to acquisitions, dispositions, joint ventures and other transactions. Find out how we can help advance your business interests.
About McCarthy Tétrault
McCarthy Tétrault LLP provides a broad range of legal services, providing strategic and industry-focused advice and solutions for Canadian and international interests. The Firm has a substantial presence in all of Canada’s major commercial centres as well as in New York and London.
Built on an integrated approach to the practice of law and delivery of innovative client services, the Firm brings its legal talent, industry insight and practice experience to help clients achieve the results that are important to them.
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