The hunt for corporate growth through acquisitions will continue next year as the outlook for earnings remains fairly negative, Scott Sperling, co-president of private equity firm THL Partners, said Monday.
Third-quarter S&P 500 earnings fell 0.7 percent, while revenues dropped 4.4 percent, according to Thomson Reuters.
"I think as we look into 2016, I'm not sure organic revenue growth is any easier to come by. I don't know if we're late cycle or midcycle. It's very hard to call," he told CNBC's "Squawk Box."
"If you look at duration, we're late cycle. If you look at movement from trough, we're clearly not late cycle. We're more midcycle."
With that in mind, companies will likely continue to look for acquisitions that are immediately accretive to earnings but also set them up to capture better organic growth in the future by making operations more efficient and focused.
Global M&A activity officially reached a full-year record of $4.61 trillion — the most since 2007 — on Dec. 4, according to Dealogic.