business

Apollo's Kleinman: Private Equity Must Adjust Valuations Amid Rising Borrowing Costs

10 Haziran 2026Bloomberg

Scott Kleinman, Co-President of Apollo Global Management Inc., has indicated that private equity firms are facing a reckoning as borrowing costs normalize. He noted that the sector 'lost its way a little bit' during the period of easy money, suggesting that firms will need to adjust their valuations.
This shift marks a significant change in the landscape for private equity as it adapts to new economic realities.
The private equity sector has been characterized by aggressive investments and high valuations during the era of low borrowing costs. However, as interest rates rise and economic conditions tighten, firms are now confronted with the need to reassess their portfolios and investment strategies.
Kleinman's remarks highlight a critical juncture for private equity, which has thrived in a low-interest-rate environment. The anticipated capitulation on valuations may lead to a reevaluation of investment strategies and could signal a broader shift in the financial markets.

NewsAI özeti

This article reflects the views of Scott Kleinman and does not necessarily represent the opinions of Bloomberg or its affiliates.