Private equity-backed IPOs in the US are expected to make a comeback as market conditions improve.

Last year, these companies, supported by buyout firms, had only $8.7 billion in IPO exits, a significant drop from the pre-pandemic average of $45.1 billion.

The previous decline in the IPO market was mainly due to high interest rates, macroeconomic uncertainty, and escalating geopolitical risks, which created a challenging environment for private equity-backed firms.

However, as these factors stabilize, there is growing anticipation for a revival in IPO activity, indicating a potential shift in the financial landscape.