Private Equity 3d Briefing
×Last updated: March 13, 2026, 1:30 PM ET
Private Equity Market Dynamics
Private equity firms recorded €21.9bn in exits privateequityinternational.com in 2025, marking a 77% surge from the prior year as valuations stabilized and strategic buyers remained active. Meanwhile, I Squared Capital approaches $10bn pe-insights.com for its next flagship infrastructure fund, capitalizing on booming demand for energy transition assets. The firm's fundraising pace reflects broader sector momentum, with Copenhagen Infrastructure Partners securing €1.3bn pe-insights.com at first close for its green credit fund, targeting renewable energy and grid modernization projects across Europe.
GP-Led Transactions and Secondaries
GP-led deal volume hit record highs secondariesinvestor.com in 2025, though LPs continue grappling with continuation vehicle process inefficiencies. Structured solutions secondariesinvestor.com are emerging as a key tool for keeping assets within flagship funds, with W Capital Partners advocating for compounding growth to mitigate what it calls an increasingly "K-curve market." The practice of NAV "squeezing" in secondaries is drawing scrutiny secondariesinvestor.com from investors like Cliffwater CIO, who cites "weird time arbitrage" for evergreen funds buying into vehicles at similar points. Lexington Partners' Christophe Browne noted that a higher percentage of LPs rolling into CVs secondariesinvestor.com would signal market health, while Lindsay Goldberg expands secondariesinvestor.com into CV investment strategies alongside other PE entrants.
Infrastructure and Energy Deals
ArcLight acquired a 50% stake pehub.com in Infra Bridge's 5.4 GW natural gas-fired power portfolio, comprising 11 combined-cycle plants across Washington, Illinois, Pennsylvania, and Ontario. The deal underscores private equity's appetite for baseload energy assets amid the AI-driven data center boom. Separately, TPG completed a $4.75bn sale pehub.com of Intersect's grid-tied power business to Google, spinning off the assets into an independent company backed by existing investors including Climate Adaptive Infrastructure and Greenbelt Capital Partners.
Healthcare and Life Sciences
Private equity's healthcare investments span diverse segments pehub.com, with Ardian, Charterhouse, CVC, and L Catterton backing various women's health initiatives. In medical technology, Waiv raised $33m sifted.eu to scale AI-powered diagnostic testing after spinning out of Owkin, while Chicago Pacific Founders invested pehub.com in Nexben, a Minneapolis-based healthcare benefits management provider. The Med Tech infrastructure sector continues pulling premium valuations pehub.com, according to Houlihan Lokey, as firms seek operational improvements in fragmented markets.
Industrial and Manufacturing
Quadrivio Group acquired pe-insights.com a majority stake in French hair care brand Les Secrets de Loly through its Made in Italy Fund II, expanding its portfolio of consumer brands. In industrial manufacturing, Norea Capital took a majority position pehub.com in Metalunic, a specialized producer of metal panels for siding and roofing. AE Industrial's AIM MRO pehub.com made its fourth add-on acquisition since the firm's investment, buying AA Bushings to strengthen its aerospace and defense aftermarket capabilities.
Technology and AI Infrastructure
Private equity is paying high multiples pehub.com for data center refrigeration and structural design plays, with Lincoln International's Guillaume Suizdak and Juan Carlos Montoya citing HVAC sector tailwinds from AI compute demand. Meanwhile, Blackstone and Hellman & Friedman explore pe-insights.com an AI joint venture with Anthropic, while Blackstone and Blue Owl acquired pehub.com a minority stake in $16bn PE platform Atlas Holdings, expanding their industrial portfolio. The AI infrastructure boom is also driving Deutsche Bank's $30bn private credit exposure pe-insights.com, as the bank plans expansion amid growing demand for AI-related financing.
Regional Market Developments
France remains a steady presence privateequityinternational.com in European private equity despite fundraising slowdowns, with €19.5bn in exit value generated in 2025. In Southeast Asia, Warburg Pincus reviews options pe-insights.com for Oona Insurance, a digital general insurer, potentially through sale or partnership. The region's growth is attracting infrastructure capital, with Brookfield exploring a $1.3bn acquisition pe-insights.com of EQT and PAI-backed World Freight Company.
Venture Capital and Emerging Managers
VC mega-funds are returning with force techcrunch.com, as General Catalyst reportedly raises $10bn and Spark Capital targets $3bn, following several other firms' large fund closes. Breakout Ventures raised $114m techcrunch.com for its fund backing AI science startups in biology and chemistry, while UVC Partners closed €77m sifted.eu for its growth fund, marking a "move into multi-stage investing." The AI agent builder space saw Gumloop land $50M techcrunch.com from Benchmark, with general partner Everett Randle emphasizing the importance of empowering every worker with AI capabilities.
Fundraising and LP Dynamics
Evergreen funds are showing strong performance privateequityinternational.com, with early analysis from Hamilton Lane indicating they outperform closed-end peers over one- and three-year periods. This trend is upending traditional private markets privateequityinternational.com, as evergreen structures gain traction among LPs seeking more flexible capital deployment. The shift comes as GPs grow less confident privateequityinternational.com about PE outperformance, prompting some to reconsider return expectations and fee structures.
Strategic Portfolio Moves
Riverglade-backed Dynamic Access acquired pehub.com Picc Stat, a Minneapolis-based vascular access services provider, expanding its healthcare platform. In the food and beverage sector, E2P sold Furlani Foods to Arbor Investments pehub.com after a three-year hold, achieving operational goals faster than planned. The deal reflects continued consolidation in the middle market, where valuation mismatches remain pehub.com a challenge as AI adoption reshapes industry dynamics.
Regulatory and Market Structure
The EU's proposed 28th regime faces criticism sifted.eu from industry groups who argue current plans are insufficient for cross-border fund operations. Meanwhile, Revolut finally secured sifted.eu its UK banking license after a five-year process, clearing a major hurdle for the fintech's expansion. In the US, a pension banned private markets privateequityinternational.com from its DC portfolio, highlighting ongoing debates about retail access to alternative investments.
Emerging Trends and Market Outlook
The secondaries market in Europe is booming sifted.eu, with sellers asking "who isn't selling?" as liquidity options expand. GP-led transactions are evolving secondariesinvestor.com, with next-generation professionals predicting greater specialization and more complex continuation vehicle structures. The market is also seeing novel offers privateequityinternational.com to take assets off GPs' hands, likely to increase as firms optimize portfolios in a higher-rate environment.