Private Equity 3 Days

Last updated: May 6, 2026, 8:30 AM ET

Deal Flow & Exits: Manufacturing, Industrials, and Services

Private equity exits saw varied activity, including Sentinel Capital's planned $3bn sale of industrial manufacturer NSI Industries, which supplies the infrastructure and commercial end markets. In Europe, Mutares sold its European motorized two- and three-wheeler manufacturer, Peugeot Motocycles, back to its management team. Meanwhile, a flurry of activity in industrial sectors saw Investindustrial construct an Italian mechatronics hub, TACH Systems Group, by combining acquisitions of TSM Sensors, High Tech Products, and Almec, while Hypax carved out Metra Non-Ferrous Metals from Grillo-Werke, a UK distributor of architectural metals.

Sector Acquisitions: Infrastructure, Tech, and Healthcare

The infrastructure and technology services space remained active with several strategic bolt-ons. Cinven is expanding its footprint in logistics software by investing in Sweden’s Ongoing Warehouse, which offers cloud-native warehouse management systems, while its portfolio company, Alter Domus, agreed to acquire fund administration services provider MSC Group. In healthcare, Carlyle acquired two health tech firms, Knack RCM and Equalize RCM, with the founders of the acquired companies reinvesting a portion of their proceeds. Elsewhere, Goldman Sachs-backed Xpress Wellness expanded its rural and suburban footprint by acquiring Midwest Counseling Services, a provider of urgent care and behavioral health services.

Specialized Sector Investments and Platform Builds

Firms continued building specialized platforms across various niches. Boyne invested in H&B Facility Services to launch a new commercial cleaning platform, while Sterling Group-backed HLSG acquired Texas Textile Services to bolster its outsourced linen laundry and management services for healthcare institutions. In waste management, Allied Industrial-backed Liberty Waste Solutions picked up Randolph County Garbage Services in North Carolina. Furthermore, JLL Partners injected capital into professional services firm CAI to fund global expansion and technology upgrades, and Coalesce Capital-backed Miller Environmental Group completed the acquisition of Central Ohio Oil to enhance its environmental services offering.

Technology, AI, and Software Investment Strategies

Investment strategies in software are increasingly focusing on deep expertise amid AI disruption, according to leaders from firms like Thoma Bravo and Clearlake. They emphasized that firms with deep domain knowledge trusted by enterprise customers will differentiate themselves, a theme echoed in broader startup funding where AI continues to dominate large rounds; global venture funding hit $56 billion in April, the third-highest month in a year. However, the nature of differentiation is shifting, as technical expertise alone is no longer sufficient for early-stage teams due to AI commoditizing basic building capabilities. Meanwhile, Bregal Milestone made a majority growth investment in Meteoviva, an AI-powered predictive building energy management provider.

Secondaries Market Dynamics and Evergreens

The secondaries market is showing signs of evolving terms and increased importance due to the influx of private wealth capital. Hamilton Lane data suggests secondaries now constitute an average of 13% of private wealth client portfolios, prompting analysis of sentiment through new market surveys from Secondaries Investor. Furthermore, the next generation of evergreen vehicles is being engineered around the specific asset class rather than simply the investor type, even as lessons are taken from recent redemption rushes in credit evergreens regarding the need for careful calibration in democratizing private markets.

Divestitures and Strategic Sales in Tech and Industrials

Several firms are advancing or completing strategic sales processes. THL Partners plans to sell semiconductor design firm AMI to Lattice Semiconductor for $1.65 billion, with closing anticipated in Q3 2026. In the HVAC sector, bidders have progressed to the second round for Audax’s sale of Nextech, with valuations reportedly reaching 15x EBITDA, or approximately $1.5 billion. Separately, KKR and XPV Water Partners are selling Axius Water, which they formed in 2019 to unify nutrient management companies, to CRH; sources indicate Copley Equity Partners is testing the market for engineering firm LJB at a potential 12x-14x EBITDA multiple during its own sales process.

Personnel Moves and Firm Expansions

Senior leadership changes and promotions reflect continued activity across the industry. AnaCap has promoted Alberto Sainaghi to partner, following his tenure as managing director since December 2023. In the US, Amulet Capital tapped Adam Grossman as partner to focus on scaling healthcare services platforms, while RoundTable appointed Amardeep Kahlon as an operating partner to accelerate value creation in portfolio companies. On the LP side, the Hong Kong multifamily office ALPS Advisory has found a sweet spot investing in Europe's mid-market, according to its head of investments.

Venture Capital and Frontier Technology Funding

While AI giants command attention, specialized venture funds are securing large commitments for adjacent or deep-tech areas. Katie Haun secured $1 billion for new funds dedicated to backing crypto and blockchain startups. In the realm of emerging compute, Intel participated in a $178 million Series B funding round for quantum startup Quantware to industrialize production, while a Y Combinator alum raised $9 million for an AI-supercharged law firm. Robotics and frontier labs continue to attract high valuations, leading the list of new unicorns in April with 28 companies achieving the $1 billion threshold.

Corporate Development and Consolidation Moves

Add-on acquisitions remain a core component of PE value creation strategies across diverse sectors. Cinven-backed Alter Domus is set to acquire MSC Group, a professional trustee and fund administration provider. In the sports sector, PE-backed Vasco acquired two court contractors, Howard B. Jones and Court Surfaces, to build out its presence in tennis and pickleball court construction. Furthermore, MBF Healthcare-backed Arete Health acquired Virginia Rehabilitation & Wellness and Summerville Physical Therapy & Balance, consolidating its outpatient physical therapy platform in Florida.