Steve Brotman, Managing Partner of Alpha Partners, was recently highlighted in a MarketWatch article that shines a light on the changing dynamics within the venture capital and private equity sectors. The piece, titled “IPO freeze gives way to cautious optimism as dealmakers see signs of a thaw,” encapsulates the cautious optimism that is now permeating the industry after a period of slowed initial public offerings (IPOs) and mergers that had previously left venture-capital and private-equity firms in a holding pattern.”Businesses are focusing on profitability — that means they’re not growing as quickly,” Brotman told reporter Steve Gelsi at MarketWatch. “Some are facing the idea that they can be profitable with half the staff but they’re not going to grow.”

The article elaborates on how the landscape for private-equity and venture-capital firms has evolved, especially in the context of the economic challenges that emerged following the 2008 financial crisis. Initially, these sectors experienced significant growth, fueled by low-interest rates, which facilitated a flurry of mergers and acquisitions alongside a robust pipeline of IPOs. However, this momentum began to slow down in 2022 and continued into most of 2023, as the financial environment shifted from a risk-on to a risk-off stance, influenced by rising interest rates, inflation, and increased geopolitical uncertainties. Brotman’s feature in this insightful MarketWatch article underscores the adaptability and resilience of the venture capital and private equity sectors in navigating through the complexities of the current economic landscape.

Click here for the full article by Steve Gelsi. 


Save the Date: AlphaMarket, October 16, 2024.