Value Creation

Smarter cash management strategies have the potential to supercharge GPs’ efficiency drives, says Kevin Cook, CEO and co-founder of TreasurySpring.

Add-ons, in a vacuum, don’t create enduring value. The operational capabilities and related growth levers required for a successful buy-and-build should go beyond the scope of M&A, argue Audax Private Equity’s Young Lee and Keith Palumbo.

With AI-powered tools, PE firms have the potential to derive meaningful insights and improve workers’ day-to-day experiences, says Rachel Barger, go-to-market president at UKG.

Even in capital-intensive sectors, a systematic approach to operational improvements can drive value creation without relying on leverage, says MiddleGround Capital managing partner John Stewart.

In a world where private equity firms can no longer rely on leverage and multiple arbitrage, operational due diligence has become more important than ever, say LEK’s Claudio Molinaro, Sebastien Beausoleil and Tom Marshall.

Value creation efforts that capture the benefits of AI are particularly effective in services and healthcare businesses, say Permira’s Riccardo Basile and Ben Rogers.