The fourth quarter of 2015 may be only one indication of what Madison Street Capital M&A analysts are forecasting to be a record year in 2016 for hedge fund M&A transactions. The release of its fourth edition of an overview of hedge fund industry merger and acquisition transactions looked at many key drivers that have created momentum and found despite mediocre performances in hedge fund strategies, hedge fund assets are at an all time high. The Madison Capital overview noted that in 2015, these transactions had a twenty-seven percent higher volume over the previous year.
Karl D’Cunha, Senior Managing Director at Madison Street Capital, states that the strong deal environment in 2015 will continue, yet with a greater variety of deal strategies being employed, such as seed or incubator deals which supply the capital for early-stage companies and reap profits upon the companies success and through private equity bolt-ons, which have the potential to create much more value by partnering with a larger company that can expand into a market. These alternative asset management deals may work to achieve higher returns as liability rises.
Madison Street Capital (MSC), located in Chicago, IL, was established in 2011. Recognized as a world premier middle market investment banking as well as corporate finance and merger and acquisition advisors. With offices also located in Asia and Africa, they have also assisted a wide range of clients with restructuring services, buy side and sell side services for private equity and business valuation services for financial reporting. Currently, MSC carries an exclusive in-house deal count of over one hundred deals. MSC’s expertise in carefully analyzing each clients unique needs to arrange optimal matches between buyer and seller is the result of a combined team of professionals with extensive relationships, experience and knowledge in middle market investments.
MSC sets a leading example for its employees in charitable giving by financially supporting the United Way disaster relief efforts. Recent natural disaster in the Midwest and Gulf Coast has been an opportunity for the company to establish an ongoing fundraising effort within its organization to help rebuild the lives of families affected by these disasters. MSC is committed to working diligently within local and global communities by working with United Way.