Fierce competition heats up the mid-market

Because of intense competition in the mid-market for deals, the time GPs have to complete due diligence and decide on closing a transaction have shrunk, and require a lot more upfront work around things like market analysis, writes Michael Baruch on the Hub today.

The average time to complete a deal has compressed to probably around two to four weeks, down from six to eight weeks, according to Dave Tayeh, head of private equity, North America at Investcorp

“Even though there are a lot of firms and a lot of competition, there are actually a lot of deals in the market. If it’s not something we feel great about, we’re not going to spend a ton of time [on it], because we know others will.” he said