To Paraphrase "A Rising Tide Lifts All Boats" - Apollo Deal for Arconic Could Be Sweet for Other Industries
"Private-equity firm Apollo Global Management Inc. is in talks to acquire aerospace-parts maker Arconic Corp. ... Apollo submitted a bid in February and has debt financing in place [sources indicated]." - The Wall Street Journal, February 28, 2023
This signals that there is life in the private equity. Recently dealmaking in that niche has fallen off the cliff. Hit with it have been the businesses of law firms and financial institutions. If the acquisition is a go happiness can fill the land.
There are so many reasons for the downturn in private equity. But essentially there are two major drivers.
One is the lack of financing which, if available, has become expensive. Apollo can bypass the impediment with its massive credit arm. Because of that it has control over structuring the financing.
The other is the inability of buyers and sellers to come together on price.
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