Patria Investments' Alan Gauld: FCA review is an opportunity to dispel private equity valuation myths

'An opportunity to change misconceptions'

The topic of private equity valuations has always generated a debate, particularly so over the last couple of years.

While some commentators from outside the private equity sector have questioned private market valuations, our experience is that valuation process and governance in the private equity buyout space have long been robust and have materially improved since valuation methods were first developed decades ago. Buyout firms are still typically selling businesses at a meaningful valuation uplift, yet the misconceptions regarding valuations still, frustratingly, haunt the industry. FCA's Rathi calls on private equity to be 'proactive' in sharing information to gauge potential risks It is ti...