Private valuations have yet to catch the knife of sharply lower public equity prices as capital sources dry up. 

Private equity and venture capital-backed companies are faced with conserving cash and shoring up costs in the choppy stock market of 2022, as capital from initial public offerings and syndicated debt markets dries up, investment executives at Goldman Sachs said. 

Private debt providers have been able to step in to provide capital in a challenging economic environment, as institutional investors ponder the cash requirements of businesses they support in the face of inflation and the prospects of an economic slowdown in 2023. 

"There is an extreme focus on cash and cash runway -- cash becomes king," said Nishi Somaiya, global co-head of growth equity at Goldman Sachs Group Inc. (GS). "We're very focused on the ability to weather a more challenging environment. Growth rates will be lower, so cost bases have to be adjusted. Scenario planning is something we're focused on."