Global private equity M&A has languished for years under the weight of elevated interest rates, stubborn valuation gaps, and shifting regulatory regimes. The slowdown isn't merely about fewer deals — it's about deals that crawl. A 2024 Boston Consulting Group report shows transactions above $2 billion now require an average of 191 days to move from signature to close, an 11 percent increase over the 2018-2022 period.

That timeline stretches well beyond two quarters, exposing funds to financing risk, macro volatility, and the opportunity cost of capital locked in limbo. Longer closings also compress the hold period for portfolio companies, pressuring IRR targets that LPs already scrutinize. For sellers, the extended runway increases the odds of retrades or walk-aways when markets shift.

The data suggests a structural change, not a cyclical dip. Regulatory reviews — particularly antitrust and CFIUS — have become less predictable, while financing markets demand more documentation at wider spreads. Sponsors that once modeled 90-120 day closes now need to budget for six months or more, reshaping fund pacing and deployment forecasts.