Q1 | Torys Quarterly • Winter 2025
The private capital issue

Despite geopolitical uncertainty, private markets are looking ahead to an active year of dealmaking. Our commentary looks at what to expect in the year ahead.

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Dealmaking

We explore what may be in store for acquirors and investors as market activity (and competition) increase, and as broad regulatory and policy objectives shift in Canada and the United States.

While we may see some ebbing and flowing in specific enforcement actions, these overall heightened enforcement trends seem to be a rare example of political consensus in these times.
— Enhanced merger scrutiny and enforcement: a cross-border outlook on competition/antitrust changes

Opportunities in private equity

The sector is set for an active year, with expanding classes of investors, investment strategies, fund types and opportunities.

We expect that a flurry of fundraising in recent years by increasingly large secondary flagship funds and new evergreen secondary funds flush with retail investor capital will continue to drive demand for secondaries.
— Secondaries in 2025: building on a record year

Sectors in focus

From real estate to family offices, many areas of private capital are changing their playbooks in response to changing market conditions, private investment options and government incentives.

A lack of liquidity in the market and dramatically fluctuating valuations have made property sales much more difficult, and to preserve value, many investors are being forced to pursue a removal and replacement of their sponsor.
— What to expect when you’re expecting (to remove your GP): a real estate investor’s checklist

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