Private equity firms are accelerating exit plans as Audax and Keystone Capital prepare to sell HVAC businesses, while Pophouse Entertainment acquires Tina Turner's music catalog. The market shows a dramatic shift in deal activity, with 60 companies coming to market this year compared to 18 a year ago. Blackstone and Tinicum-backed PennAero recently closed a $1.45 billion aerospace carveout.

Hold periods for portfolio companies have reached historic highs, with McKinsey reporting an average of 6.6 years globally. The backlog of PE portfolio companies held for four years or longer now represents 52 percent of total buyout-backed inventory. Strategic trade sales dominated European exits at 60 percent in 2025, while IPO activity remains muted with fewer than ten deals annually since 2021.

The secondaries market is poised for record growth, with Houlihan Lokey forecasting volumes to surpass $225 billion. Technology, business services, healthcare, and industrials are expected to see the most activity. Matt Swain of Houlihan Lokey estimates that roughly 15 percent of traditional M&A exits have shifted to continuation vehicles, though strategic buyers still complete about 10 percent of CV processes.