Value Creation

Middle Market Definition: A Comprehensive Guide for Finance Practitioners

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While there’s there’s no single definition for middle-market companies that everyone agrees on, we’re generally talking about privately held U.S. operating businesses pulling in ~$10M–$1B in revenue per PitchBook. In dealmaking terms, most private-equity transactions in this segment fall around ~$25M–$1B in enterprise value (EV). Note ranges can vary by industry and region; use revenue for operational … Read more

Private Equity DPI: The Liquidity Metric That Matters in 2025

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Private Equity DPI: The Liquidity Metric That Matters in 2025

Summary Summary — DPI That Pays (Not Just Paper) Start: 60-sec primer — DPI vs TVPI vs RVPI (net of fees) + one mini example. Quantify the gap — compute ADR / distribution yield and DPI Pace (DPIP); show why cash ≠ marks. Frame “The Great Elongation” — exited holds vs current portfolio age; explain … Read more

Private Equity Value-Creation Levers Explained

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Diagram showing the 3 private equity value creation levers: operational improvements, multiple expansion, and leverage, driving private equity value.

Private equity firms generate returns through operational improvements, multiple expansion, and leverage. Learn how these three levers work together to drive value.