Thousands of portfolio companies are ripe for exit. Here are the industries to watch

Private Equity portfolio company holding periods serve as a leading indicator for future deal flow, especially when viewing industry concentrations. 

According to data from our M&A research database, the median holding period for PE-backed portfolio companies is 5.8 years. The database shows 6,626 portfolio companies that have been held between 5 to 7 years, making them prime candidates for near-term exits. 

Portfolio companies held longer than 7 years are often owned by private equity firms without a typical investment time horizon, sometimes investing from their own funds with a buy-and-hold-forever strategy. 

Using our database of private equity portfolio companies, we identified ten industry sectors that lead in this range of holding periods:

1. Computer Systems Design and Related Services
2. Management Consulting Services 
   
3. Freight Transportation Arrangement
4. Packaging and Labelling Services 
   
5. Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors 
   
6. Cosmetics, Beauty Supplies, and Perfume Stores 
   
7. Material Handling Equipment Manufacturing 
8. Financial Transactions Processing, Reserve, and Clearinghouse Activities  
   
9. Security Systems Services 
   
10. Plumbing, Heating, and Air-Conditioning Contractors  

Private Equity Info makes it easy to find and connect with private equity-backed portfolio companies. The database allows private equity professionals to filter PortCo's by industry and acquisition date, to determine a holding period, and find the right executives to contact at the portfolio company and the holding private equity firm.

For example transactions from our database, you'll find each industry detailed below.

1. Computer Systems Design and Related Services 

• Insightsoftware held by TA Associates 

• VertiGIS held by Battery Ventures 

• Dynamic Quest held by Spire Capital Partners 

• AdSwerve held by Abry Partners 

2. Management Consulting Services 

• Shift Paradigm held by Growth Catalyst Partners 

• LeadVenture held by TA Associates 

• Iron Markets held by Boyne Capital 

• Vyne held by Health Catalyst Capital 

3. Freight Transportation Arrangement 

• Market Express held by Concentric Equity Partners 

• National Logistics Services held by Fulcrum Capital Partners 

• ACS Logistics held by Headhaul Capital Partners 

• Ascend held by Wellspring Capital Management 

4. Packaging and Labelling Services 

• conTeyor held by Gilde Equity Management 

• Asteria Labels & Packaging held by Waterland Private Equity Investments 

• Lumson held by FSI 

• Mac Papers + Packaging held by Monomoy Capital Partners 

5. Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors 

• ELIQUENT Life Sciences held by GHO Capital Partners 

• RadarFirst held by Vista Equity Partners 

• Tigera held by Insight Partners 

• TrustArc held by Bregal Sagemount 

6. Cosmetics, Beauty Supplies, and Perfume Stores 

• AQUA Dermatology held by Gryphon Investors 

• Medica held by Gulf Capital 

• Cosmetic Solutions held by Lee Equity Partners 

• Westman Atelier held by Prelude Growth Partners 

7. Material Handling Equipment Manufacturing 

• Unibloc Hygienic Technologies held by May River Capital 

• Clarience Technologies held by Genstar Capital 

• Baker’s Computer Services held by Corbel Capital Partners 

• Transportation Equipment Network (TEN) held by I Squared Capital 

8. Financial Transactions Processing, Reserve, and Clearinghouse Activities 

• WEX held by Warburg Pincus 

• CORE Business Technologies held by Banneker Partners 

• Stax held by Greater Sum Ventures 

• One held by Great Hill Partners 

9. Security Systems Services 

• Interface Security Systems held by Everberg Capital 

• Converged Security Solutions held by Tecum Capital 

• Dragos held by Quantum Capital Group 

• Levata held by Odyssey Investment Partners 

10. Plumbing, Heating, and Air-Conditioning Contractors  

• North Shore Mechanical Contractors held by HB Global 

• Functional Devices held by Shorehill Capital 

• Evergreen Services held by Alpine Investors 

• Easykit held by Vectis Private Equity