Last updated: March 20, 2026, 5:30 AM ET
Private Equity Deal Activity & Exits
European dealmakers are exploring substantial exits, with CVC & Nordic Capital positioning for a potential €3 billion sale of Cary Group, while portfolio companies continue to execute complex liquidity events. Audax & Keystone are reportedly seeking divestitures in the HVAC sector, juxtaposed against Pophouse Entertainment's acquisition of music interests from Tina Turner, including a catalog purchase snagging Tina Turner's assets alongside BMG. On the financing front, Bindley Capital-backed Guardian priced a 'synthetic secondary' offering for its Atlanta-based long-term care pharmacy service, Guardian Pharmacy Services, signaling alternative structures gaining traction.
In the mid-market space, Ares is leading two vehicles in Europe: one exceeding £400 million for nursery operator Kids Planet via Fremman, and another €300 million vehicle managed by MCH to house a frozen baked goods asset, following MCH's prior successful single-asset continuation vehicle for premium bakery Europastry, which secured JC Flowers’ Small-Cap Deal of the Year. Further consolidation is evident as Blackstone-backed Chartis acquired health tech firm Leap AI in Chicago, while in the life sciences sector, B-Flexion Life Sciences facilitated the merger of Paratek and Radius Health, underpinned by a substantial $1.3 billion financing.
Secondaries Market & Fund Structuring
The secondaries market is seeing sophisticated maneuvers, exemplified by the $1.1 billion continuation fund QHP Capital finalized for Azurity Pharmaceuticals, which saw leadership from Harbour Vest Partners and participation from Pantheon Ventures. This trend of strategic LP sales is being met by disciplined buyers, as several secondaries players brought offerings to market over the last 15 months, distinguishing themselves through methodical selling approaches. Furthermore, firms are launching new strategies within this segment; HighVista Strategies appointed Raudel Yanez to spearhead its GP-led secondaries investing strategy, specifically targeting the lower middle market.
Sector Focus: Tech, Defense, & Energy
Investment is flowing into specialized sectors, notably defense, where venture capital anticipates a strong pipeline, with VCs identifying 12 defense startups expected to watch in 2026, a sector where consolidation complications arising from M&A are already being observed by LPs Side Letter noted. In energy, LS Power is set to acquire 4.4 gigawatts of predominantly natural gas-fired generation capacity from Constellation Energy for $5 billion, marking a major infrastructure purchase. Meanwhile, in climate tech, BNP Paribas Asset Management Alts backed Farm Carbon to scale methane reduction efforts within agriculture, while Fort Point invested in environmental services firm Boston Green to recapitalize the entity Fort Point invests in Boston Green.
Venture Capital Dynamics & European Tech
The venture ecosystem shows mixed indicators, with some established platforms securing fresh capital, such as Bluesky announcing a $100 million Series B to scale its team and further develop its ATProto technology following a CEO transition. Conversely, European tech faces pressure, with survey data suggesting that as many as one in five UK founders plan to relocate internationally within the next year, reflecting shifts in the operating environment characterized by faster execution but potentially smaller competitive 'moats' and leaner teams Sifted observed. Despite these challenges, there is a perceived "tech bro renaissance" in Europe, though some observers greet this with apprehension Europe's tech bro renaissance. GPs are also directing capital toward specific growth niches; for instance, Verdane and Bpifrance backed Medadom, the first French teleconsultation provider accredited by the Ministry of Health.
Operational & Internal Firm Matters
Firms are also focusing on internal structures and legacy planning. An insider's guide detailed estate planning strategies for GPs, specifically how gifting carried interest earlier can allow future appreciation to accrue outside the estate for tax optimization. Furthermore, established firms continue to rationalize assets; Permira is moving to exit its investment in Altamar CAM, a global private markets investment firm with €20 billion in assets under management, selling it to Mercer. In management updates, American Pacific promoted Rahul Mohan to managing director, while ICG backed railway maintenance provider Comcreta to support its expansion amid Italy’s accelerating rail infrastructure investment ICG backs Comcreta.