Despite a vortex of growing uncertainties across all global financial markets, effected by an unstable economic climate and the COVID-19 pandemic, the private equity industry continues to buy and sell investments, and generate relatively strong returns. By 2019 year-end, global private equity-backed volume reached $1.5 trillion in unspent capital, three-times higher than private equity deals closed in 2018. This is a number that could potentially be eclipsed as an ever-growing number of distressed businesses seeking angel investors become a top deal driver during the second half 2020.
Indeed, mergers and acquisitions this year could grow on a scale never witnessed before. Economic experts have confidently cast the spotlight for robust private equity-backed consolidation on technology and the payments sectors, in particular, continuing the trend from 2019.
According to BSPE, due to an “increasing share of cashless payments at the point of sale and growing e-commerce revenues, payment companies are expected to maintain a high level of revenue growth over upcoming years. Additionally, the business models of payment companies are highly scalable and cost structures feature relatively few variable costs, implying access to untapped market potential that also indicates bottom-line growth.” Growth within the contactless payment environment is already on the rise and the Coronavirus is likely to contribute to a substantial shift in consumer adoption of this payment method in the long run.
As technology adoption continues to dictate and shape a new digital reality, as evidenced by the multi-million downloads of apps such as Houseparty, Zoom and DisneyPlus within the last four months, private equity in this sector is poised for insurmountable growth and ROI. Other industries that may present opportunities for companies to scale their business via private equity funding include pharmaceuticals and healthcare, deliveries, supermarkets and the manufacture of electronic goods.
Growth and opportunity across these sectors and others translate into a need for additional human resources to support a business’ strategies and expansion plans. MSI Recruiting has successfully placed over 25 executives with private equity companies and their portfolios, including the best and brightest performers in various roles within the corporate hierarchy. In addition, we have placed over 60 professionals with one nationally recognized private equity’s most successful portfolio companies.
We deliver the best candidates through data-driven insights using behavioral and skills assessment tools like Predictive Index. We combine that with a unique ability to pinpoint recruit for culture and skill set fit based on our clients’ needs. We recruit across the executive level and various VP-level executives in a variety of businesses and locations for their portfolio companies.
“We’ve worked with MSI for over 20 years and they’ve helped us hire at least 10 executive-level employees for my firm. I’ve come to rely on MSI to find qualified candidates for us to consider. They always do a great job of comprehending our needs and our environment and practice discretion when representing our firm. I truly feel MSI has always had our best interest at hand and we will continue to use them to hire A-Team performers at Amzak Capital.” – Mike Kamza, CEO of Amzak Capital.