Portfolio value creation for private equity sponsors

Private Equity (PE) firms have a proven track record of performance in both good and bad markets, consistently outpeforming other asset classes over multiple business cycles. With inflation and interest rates rising, along with labor and other resource constraints, PE firms and portfolio company CEOs must continue to prove they can drive growth and increase EBITDA.

The strategic intent of the KPMG advisory team is to support our clients’ success by accelerating sustainable EBITDA value in portfolio companies. Where feasible, we work side-by-side with a PE firm’s deal and operating teams and its portfolio company’s management team to identify levers that drive value.

To help our clients, we have designed a rapid diagnostic process to help portfolio companies quickly identify potential near-term cash generation, EBITDA, and other performance improvements. Our approach features an holistic assessment of a company's financial and operating performance along with its processes and systems, combined with proprietary KPMG tools and technologies and our deep subsector and functional experience.

Through this process, we identify opportunities across areas of the company and suggest targeted actions for achieving cash generation, EBITDA, and other performance improvements. Once we have reviewed these opportunities and gained alignment, we work with you to align your capabilities and availability of resources to development a roadmap for implementation.

Then, at your organization’s discretion, our experts can further guide you through the execution of select initiatives focused on value creation opportunities that have been identified.