Private Equity 3d Briefing
×Last updated: March 19, 2026, 3:30 PM ET
Exits and Continuation Vehicles Dominate Secondary Markets Activity
Private equity firms are actively pursuing exits and utilizing continuation vehicles (CVs) to manage liquidity, even as overall exit pipelines face headwinds; CVC Capital Partners and Nordic Capital are exploring options pe-insights.com to divest their stake in Cary Group, potentially valuing the business at over €3 billion, while Advent and Cinven weigh a massive €25 billion exit pe-insights.com for TK Elevator amid takeover interest from Kone. This trend toward structured liquidity solutions is evident in the secondaries market, where QHP Capital finalized a $1.1 billion continuation fund pehub.com for Azurity Pharmaceuticals, led by Harbour Vest Partners, and Ares Management drove a €300 million CV pe-insights.com for Europastry following a halted IPO attempt. Furthermore, Bindley Capital-backed Guardian Pharmacy Services priced a ‘synthetic secondary’ offering pehub.com, showing alternative ways to package and sell assets, though general concerns persist that the clog in PE’s exit pipeline is becoming harder to clear privateequityinternational.com, affecting even assets purchased during less frothy periods.
Secondaries Strategy and LP Shifts
The secondary market is seeing participation from sophisticated sellers, with some secondaries players demonstrating a disciplined approach to bringing sales to market secondariesinvestor.com over the last 15 months, contrasting with other LPs. This activity occurs against a backdrop where some institutional investors are actively reducing exposure; for example, Nevada PERS is moving its Clearlake exposure privateequityinternational.com due to perceived conflicts of interest arising from Clearlake’s planned acquisition of Pathway Capital Management, and another US pension fund is reportedly slashing its overall private equity allocation privateequityinternational.com due to liquidity concerns. On the staffing front, HighVista Strategies tapped Raudel Yanez pehub.com to launch its GP-led secondaries investing strategy focused specifically on the lower middle market, while former CVC MD Jonathan Au joined Revelation Partners secondariesinvestor.com.
Dealmaking Across Sectors: Healthcare, Industrials, and Infrastructure
Activity remains diverse across deal types, with significant transactions occurring in healthcare, infrastructure, and technology. In healthcare, B-Flexion Life Sciences-backed Paratek and Radius Health completed a merger pehub.com, a combination supported by a substantial $1.3 billion financing led by Blackstone Credit & Insurance pe-insights.com, while Blackstone-backed Chartis scooped up health tech firm Leap AI pehub.com. Infrastructure saw a major transaction as LS Power agreed to acquire 4.4 gigawatts of natural gas assets pehub.com from Constellation Energy for $5 billion, and EIG-backed MidOcean secured $500 million from Idemitsu Kosan pe-insights.com to expand its LNG platform. Industrials saw several platform expansions, including KKR launching a $310 million partnership pe-insights.com to grow its Allfleet platform, and Fort Point recapitalizing environmental services firm Boston Green pehub.com alongside an acquisition by its portfolio company Visu Sewer of United Survey pehub.com. Furthermore, European firms are active, with ICG backing railway maintenance provider Comcreta pehub.com to fuel expansion in Italy’s rail infrastructure.
European Exits and Fundraising Momentum
European dealmakers are testing the market across various segments, including large-cap technology and mid-market services. CVC and Nordic Capital are exploring a €3 billion exit pe-insights.com for Cary Group, while Accel-KKR won a deal of the year award pehub.com for its exit from Smart Communications, a London-based software company. Mid-market activity includes Ares leading a CV for bakery firm Europastry pe-insights.com and MCH closing a separate CV for the same company pehub.com, following an earlier win by JC Flowers for Europastry in a small-cap category pehub.com. In fundraising, Ares also led two European mid-market CVs secondariesinvestor.com, one for Fremman’s fund targeting nursery operator Kids Planet at over £400 million and another for MCH’s frozen baked goods asset at €300 million. Separately, Permira is planning to exit its investment pehub.com in global private markets firm Altamar CAM to Mercer.
Investment in Climate Tech and European Scaleups
Capital deployment toward climate solutions and technological scaleups demonstrates targeted growth strategies. Bain invested in climate tech firm Duravent Group pehub.com, joining existing investor Egeria, and BNP Paribas Asset Management Alts backed FarmCarbon pe-insights.com to accelerate methane reduction efforts in agriculture. In the energy transition space, EQT and World Bank backed ‘flying ferry’ startup Candela sifted.eu with €30 million for its global rollout. European tech growth is also receiving focused backing, as seen by Verdane and Bpifrance supporting telehealth company Medadom pehub.com, France’s first accredited teleconsultation provider, and Oakley Capital backing Groupe Senef pehub.com. Conversely, concerns over the viability of keeping high-growth companies within the UK persist, with a survey indicating that one in five UK founders plan to relocate abroad sifted.eu within the next year, complicating policy efforts to retain deeptech startups news.crunchbase.com.
Firm Strategy, Personnel Changes, and Governance
Firms are making strategic hires and refining internal governance structures. Apollo is building out its private credit platform pe-insights.com, hiring a Warburg Pincus executive for its new $1 billion Singapore fund, and concurrently partnering with NYSE owner Intercontinental Exchange pe-insights.com to develop private credit data infrastructure. On the governance side, tax advisors are emphasizing proactive planning, noting that gifting a portion of carried interest early privateequityinternational.com allows future appreciation to accrue outside of a GP’s estate for significant tax benefits. Meanwhile, Australia’s Future Fund experienced senior departures privateequityinternational.com, with joint managing directors for private equity and real assets resigning, and Maine’s pension fund outlined plans secondariesinvestor.com to cut its private equity target for the second time in four years, potentially using secondaries sales strategically.
Technology Acquisitions and AI Investment Focus
Acquisitive activity in the software and IT services space continues, often bundling complementary businesses. PE-backed Audax snapped up property management firm Akam pehub.com, while its peer Sterling acquired managed IT services firm Cyber Advisors pehub.com. In software consolidation, Main-backed Cisbox and Millum are merging pehub.com to form a source-to-pay provider expanding across the DACH and Nordic regions, and TPG launched Velotic to focus on industrial software pehub.com. In the burgeoning AI sector, investors are shifting focus from general pilots to measurable outputs, as experts argue that the fastest AI wins are not emerging from large enterprises sifted.eu, while others are funding specific applications, such as Index backing Parallel with $20 million sifted.eu to deploy AI agents in hospitals. In related venture activity, Palantir veterans launched Edra with $30 million and a Sequoia stamp of approval techcrunch.com to automate operational data workflows.
Geographic Expansion and Sector-Specific Deals
Firms are expanding geographically and targeting niche industrial and service sectors. A Singaporean buyout shop planted its first overseas flag in Hong Kong privateequityinternational.com to bolster investment and investor relations capabilities, while a Hong Kong-based firm is reportedly eyeing Gulf capital redirection privateequityinternational.com toward home markets amid global retrenchment. In the US, Truelink-backed Southern Carlson acquired distributor Greenwald Supply Direct pehub.com, and Knox Lane-backed Ruppert Landscape acquired Landscapes Unlimited pehub.com. European expansion efforts include EQT and World Bank backing Candela’s global rollout sifted.eu, and TPG launching One Aged Care pe-insights.com platform in Singapore and Malaysia to capitalize on aging care demand. Finally, defense technology is attracting attention following geopolitical events, with ETNA acquiring electro-optical systems developer Brolis Defence Group pehub.com, following broader defense investment trends noted across LPs privateequityinternational.com.