Private Equity 3 Days

Last updated: April 3, 2026, 5:30 PM ET

Fundraising & Capital Deployment

Private equity firms made significant strides in capital formation, highlighted by KKR closing its North America Fund XIV at a substantial $23 billion, marking its largest regional fund to date amid sustained investor interest. Elsewhere in fundraising, BC Partners secured a $2.5 billion first close for its new flagship fund, signaling continued European commitment despite shifting market dynamics, while L Squared Capital Partners successfully capped its fifth fund at an oversubscribed $2 billion. On the venture side, Gateway Capital announced the first close of its $25 million Fund II, enabling the Milwaukee-based firm to commence investment operations.

Further evidence of capital flow emerged from large-scale credit and real estate strategies, where Ares raised nearly $9.8 billion for its opportunistic credit strategy, capitalizing on the demand for flexible financing solutions, and concurrently secured approximately $5.4 billion across its U.S. and European value-add real estate mandates as recovery drives demand. In a related move demonstrating portfolio restructuring, ACP finalized a $405 million continuation fund for the legal tech firm Proceed, which recently rebranded after completing twelve add-on acquisitions.

Dealmaking: Tech, Healthcare, and Industrials

The technology sector saw major activity, though not exclusively confined to traditional PE buyouts, as Anthropic acquired stealth biotech startup Coefficient Bio in a $400 million stock transaction, illustrating deep integration between AI developers and specialized life sciences firms. In enterprise software, Court Square acquired cloud communications firm CallTower from BV Investment, gaining exposure to Unified Communications as a Service (UCaa S) and Contact Center as a Service (CCaa S) platforms. Meanwhile, in AI infrastructure funding, KKR led a $90 million Series C round for Coder to bolster enterprise AI development tools, following a broader trend where Q1 2026 investment reached $300 billion driven by AI compute spending.

Healthcare services remained a focus for add-on activity and platform expansion, with multiple firms targeting the fragmented caregiver market; Carlyle, HIG, LLR Partners, and Main Capital are all actively transacting in this resilient sector. Specific acquisitions included 5CP-backed Radon acquiring Majestic Medical Solutions to broaden geographic reach, and New Mountain and Francisco Partners-backed Office Ally acquiring Jopari Solutions to modernize healthcare administrative workflows through automation. In specialty pharma, GHO Capital divested VISUfarma to Lupin Limited, a deal designed to accelerate Lupin's specialty franchise buildout in Europe.

Industrial and infrastructure assets saw several transactions, including Antin acquiring LNG service provider Sapphire Gas Solutions from Apollo, strengthening Antin’s position in liquefied and compressed natural gas services. In the energy transition space, FlexGen acquired utility energy storage developer Clean Energy Services to create an integrated model accelerating project delivery for utility clients. Furthermore, Goldman Sachs-backed Liquid Environmental scooped up New Orleans Grease Trap Cleaning, adding non-hazardous wastewater collection facilities to its network.

Exits and Secondary Markets

Exits provided liquidity for several sponsors, with HGGC completing the sale of Grand Fitness Partners to Flynn Group, allowing Flynn Group to expand its franchise platform. In Europe, AURELIUS agreed to sell LSG Asia-Pacific to a Japanese consortium following a successful operational turnaround and margin expansion strategy. Separately, Court Square successfully exited Kodiak Building Products for $2.25 billion, selling the North American building products distributor to QXO.

The secondary market environment continues to evolve, prompting firms like Lead Edge to structure its seventh flagship fund to incorporate a wide range of secondaries strategies amid AI-driven shifts in the underlying portfolio. Liquidity pressures are also causing LPs to grapple with changing terms, while interest in structured solutions and CFO technology is increasing. Meanwhile, infrastructure secondaries are showing resilience, though dry powder remains insufficient to cover a full year of potential transaction volume, according to Macquarie.

Sector-Specific Trends and Firm Movements

The retail and consumer space saw investment activity, including Stride Consumer backing the beauty services brand Peach, which launched in 2019. In a high-profile potential transaction, Panini’s shareholders are evaluating a sale with private equity interest building around the iconic Italian brand, targeting an exit valuation near $5.8 billion. On the operational front, Sycamore Partners is targeting a $4 billion profit increase at Walgreens following its $10 billion take-private acquisition.

In terms of firm strategy and personnel, Partners Group appointed Pete Zippelius as Co-Head of its Private Equity Health & Life vertical, bringing in a veteran to co-lead the $13.2 billion strategy. The firm is also seeing internal recognition, with Silvia Oteri of Permira and Christen Paras of MiddleGround recognized for their contributions, as firms like Carlyle and HIG continue to attract attention in caregiver services. Furthermore, KKR’s Jennifer James and Thoma Bravo’s Jennifer James were also named among PE Hub’s Women in PE honorees.

Geographic Focus: Japan and AI Integration

Japan remains a key focus area, with market reforms unleashing the full potential of private equity according to NSSK, while global capital pours in, albeit with an uneven fundraising picture due to domestic constraints as noted in several recent reports. Opportunities are being found in fragmented industries ripe for roll-ups, leveraging ageing founders for buy-and-build strategies as J-STAR notes, and in specialized areas like home-based healthcare driven by demographic shifts per Nihon PMI Partners. Separately, the rise of AI is prompting operational shifts, with the Florida SBA nearing vendor selection for a tool to streamline data workflows for private markets, allowing staff to focus on analyzing distributions.