Private Equity 3 Days

Last updated: March 27, 2026, 2:30 PM ET

Private Equity Strategy and Market Shifts

The private equity industry is entering a more selective phase, moving away from a decade defined by cheap debt and rising multiples toward a focus on "substance over structure," as evidenced by firms adjusting operational models. This shift comes as dealmakers face friction in fund financing processes and some LPs slash their Africa budgets due to dwindling risk appetites. Concurrently, the secondaries market is seeing activity, with healthcare-focused PE firm Linden mulling a dedicated secondaries strategy, joining a growing trend of buyout firms entering that space, while Evercore notably builds out its Europe-based credit secondaries team by hiring four professionals, two from PJT.

Sector-Specific Dealmaking and Exits

Deal activity saw significant movement across several verticals, with healthcare remaining a focus area; LDC, the PE arm of Lloyds Banking Group, completed its exit from occupational health business PAM Healthcare to Optima Healthcare, while the women’s health sector is attracting substantial attention, with Kearney noting a "$1 trillion gap" and firms like Astorg, Cinven, and Nordic targeting pathology assets. In technology, SAP plans to acquire New View Capital-backed data firm Reltio, with closing expected between the second and third quarters of 2026, while Advent agreed to sell its stake in beauty brand Olaplex to Henkel for $1.4 billion, marking a full exit for the firm. Further exits included an investor group led by Astorg and Cinven selling clinical trial data firm Clario to Thermo Fisher for $8.9 billion, alongside HIG Capital selling a Brazilian internet service provider to Claro for approximately $750 million.

Defense, Infrastructure, and Regulatory Targets

Investment in defense and critical infrastructure is accelerating, with Advent preparing to deploy up to $1 billion into defense technology, including funding Shield AI’s planned acquisition of Sagewind Capital portfolio company Aechelon Technology. In power services, Clearlake Capital is acquiring Qualus from New Mountain Capital amid rising power demand, a deal which provides Cool IT Technologies employees with a payout from KKR’s exit. Meanwhile, Brookfield and La Caisse agreed to acquire Boralex in a $9.7 billion take-private deal aimed at scaling renewables growth, and Aurelius is exploring the carve-out of Carrefour’s Belgian business in a transaction valued around $4.6 billion.

Regional Investment Trends and Fund Strategy

Middle Eastern capital continues to play a role in global transactions, as seen when Alterra backed General Atlantic’s investment in Wireless Logic, alongside Montagu, while Blackstone committed $250 million to a UAE payments platform as part of a $1 billion regional bet. Managers focusing on the region are advised to commit capital and serve specific investor needs to secure success, though geopolitical tensions could prompt a rebalancing among Gulf LPs, whose collective sovereign wealth funds total $5.4 trillion turning inwards recently. In Europe, Pictet Alternative Advisors closed its inaugural direct private equity strategy fund at €403 million ($440 , specifically targeting founder-led businesses, while Bow River Capital announced plans to acquire VC firm Spur Capital, expected to close in Q2 2026.

Technology, AI, and Venture Capital Dynamics

The artificial intelligence sector continues to draw massive capital injections, exemplified by OpenAI’s disclosure of raising another $10 billion, as the firm uses M&A—totaling 17 companies in three years—to bolster offerings, having already completed nearly as many deals this year as in all of last year according to Crunchbase data. In related tech areas, TPG and Allianz led a $350 million strategic investment in mobility platform CMT, and AI notetaking startup Granola achieved unicorn status with a $125 million Series C round. Despite overall market pressures, seed funding is skewing larger, with only rounds of $10 million and above growing in 2025 among U.S. deals, while Austin’s startup scene hit an all-time high for venture funding.

Firm Restructuring and Operational Adjustments

In response to market pressures, European venture firm Speedinvest cut 10% of its team following a period of internal churn, reflecting broader belt-tightening in the tech ecosystem. Meanwhile, firms are actively engaging in portfolio management via continuation funds, as TowerBrook completed a continuation fund transaction for consulting firm Eisner Amper, led by Carlyle Alp Invest, where Tower Brook has reportedly spent "considerable money, time and resources" transforming the business. Furthermore, Bank of America launched a dedicated Private Capital M&A Group aimed at facilitating private equity exits, underscoring the need for streamlined disposition processes.

Specialized Add-ons and Niche Sector Acquisitions

Add-on activity remained steady in specialized corporate services. TowerBrook acquired French sports platform ID Unlimited, which supplies customization components for sports apparel, just as it tapped into jersey personalization demand. Sovereign-backed Affinia completed an add-on acquisition of a firm founded by LB Group, which Sovereign invested in during May 2023. In workforce solutions, Trinity Hunt-backed Allvia snapped up HR Pals, and in the logistics space, Sun European invested in B&H Worldwide, an aerospace component logistics provider, following earlier reports that Sun European was buying a Heathrow-based logistics firm amid beauty dealmaking pressures.