The Exit Clock is Still Ticking

Longer hold periods are reshaping private equity’s playbook.

Private equity firms are holding portfolio companies longer than at any point in recent history. Assets held in funds more than 10 years old reached a record $348 billion at the end of 2025, while another $500+ billion sits in funds approaching the end of their traditional investment periods. Higher interest rates, valuation gaps, and a slower M&A market have left many sponsors waiting for the right exit opportunity. 

The result is a growing backlog of mature assets, increased pressure from limited partners seeking liquidity, and greater focus on creative solutions to unlock value. Whether through strategic acquisitions, recapitalizations, operational improvements, continuation vehicles, or targeted divestitures, sponsors are increasingly looking beyond a traditional sale process to position portfolio companies for successful exits. 

Market conditions may change, but the need for thoughtful execution does not. 

G2 helps companies and investors navigate pivotal moments, providing strategic advice and execution that creates value across the business lifecycle.