Hardman & Co Research Evaluates NBPE's Strategy in High-Interest Rate Environment

Hardman & Co Research recently published findings on how NB Private Equity Partners (NBPE) manages value creation amidst rising interest rates. The report highlights the adjustment in strategies by NBPE's General Partners (GPs) to foster both organic and inorganic EBITDA growth. This approach aims to counterbalance the financial strain from elevated interest costs. Notably, despite the challenges presented by the current interest rate landscape, NBPE maintains its long-term return targets for new investments, indicating a robust, adaptive strategy in face of short-term market fluctuations.

The discussed methodologies build on the fundamentals of achieving superior EBITDA growth through the expansion of portfolio companies, a theme previously detailed in their 2023 value creation analysis. Hardman & Co emphasizes that interest rate fluctuations are among several variables managed by GPs in the realm of private equity investment. This perspective is derived from NB’s broader outlook on sustaining value generation within such a dynamic economic scenario.

For those interested in a deeper dive into NBPE’s strategies, Hardman & Co provides a full report accessible through their website. Additionally, opportunities to engage directly with the company are available for interested parties.