Private Equity 3 Days

Last updated: May 21, 2026, 2:35 AM ET

European Mega-Deal Creates Healthcare Giant

London-based GHO Capital and CBC Group merged to form a $21 billion healthcare investment manager, creating what the firms describe as the world's largest dedicated healthcare investment platform. The combined entity will be led by co-CEOs Mike Mortimer and Fu Wei, leveraging complementary portfolios across pharmaceuticals, medical technology, and healthcare services. Meanwhile, Swiss pension fund Publica is preparing to commit up to $1.1 billion to direct lending strategies as institutional investors seek yield in private credit markets.

Major Take-Private and Platform Acquisitions

Leonard Green completed a take-private buyout of Mister Car Wash at $7 per share, valuing the car wash operator at a $3.1 billion enterprise valuation. The transaction represents one of the largest recent retail take-private deals in the consumer services space. ACP-backed Marco expanded its specialty components platform through the acquisition of Pride Seals, adding to its portfolio of rubber, plastic, and metal component offerings. In a separate deal, Wynnchurch-backed EMS acquired American Metals Supply, extending its aluminum products distribution network in the Southeast.

Technology and AI Investment Surge

Digital banking startup Mercury raised $200 million in Series D funding at a $5.2 billion valuation, up 49% from its previous $3.5 billion mark, as fintech funding shows signs of recovery. The company's growth reflects increasing demand for business banking solutions among startups and scale-ups. In artificial intelligence, Cohere acquired a second German AI startup just weeks after purchasing Aleph Alpha, signaling aggressive consolidation in the European AI sector. Sequoia backed AI agents scaleup Dust in a $40 million Series B, while Index Ventures led a $20 million round in AI inspection startup Scope.

Quantum and Deep Tech Funding Momentum

Biotech company Imperagen raised £5 million in seed funding from PXN Ventures, IQ Capital, and Northern Gritstone to apply quantum physics and AI to enzyme engineering. Despite broader quantum computing investment slowing in 2026, Europe maintains its lead in the quantum race, though US giants are actively acquiring European talent and technology. Stilta raised $10.5 million from Andreessen Horowitz and Y Combinator to help companies rediscover dormant patents using AI-powered intellectual property research.

Healthcare Services and Medical Device Deals

Nautic-backed Integrated Home Care Services acquired Dina Care, expanding the in-home benefit manager's footprint in Florida's healthcare market. Salt Creek acquired medical device firm MML Diagnostics Packaging, promoting Geoffrey Pestes to CEO after his decade-long tenure leading operations. QHP-backed Lexitas Pharma Services picked up Erie Retina Research, strengthening its ophthalmology clinical research capabilities.

Energy and Infrastructure Transactions

Hull Street agreed to acquire FirstLight USA from PSP Investments, gaining nearly 1,400 MW of clean energy generation capacity across the Northeast. The transaction includes hydroelectric and renewable assets that will diversify Hull Street's power portfolio. Barings closed $19 billion for its Global Direct Lending strategy, marking one of the largest private credit raises of the year as institutional demand for alternative yield persists.

Consumer and Retail Platform Expansions

Yellow Wood-backed Scholl's Wellness Company acquired athletic performance brand Vktry, expanding beyond footwear into sports performance products. Kelso-backed Novvia acquired APC Packaging, bolstering its rigid container and life sciences packaging distribution capabilities. Boyne Capital invested in consumer apparel brand Local Boys Outfitters, partnering with Sisu Equity and Consumer Growth Partners on the deal.

Secondaries Market and LP Activity

H.I.G. Bayside refinanced UK care provider Lifeways with a £90 million unitranche facility, demonstrating continued lender appetite for healthcare infrastructure assets. CPP Investments unloaded a European non-performing loan portfolio to a joint venture between Arrow Global Group and Fortress Investment Group, recycling capital into higher-yielding opportunities. Investec's Callum Bell highlighted secondaries as an 'excellent way' to accelerate platform growth, with the firm launching its inaugural European senior debt fund through an innovative secondaries process backed by Carlyle Alp Invest.

AI Value Creation and Operating Partnerships

Blackstone invested $5 billion in a joint venture with Google, focusing on AI infrastructure development as the firm leverages longer hold periods to maximize value creation. Verdane invested in healthcare tech company Eterno, citing zero churn and rapid enterprise pipeline growth as key investment drivers. Bregal Sagemount and Ardian backed health tech firm Ennov with plans to accelerate AI innovation and global expansion.

Music Rights and Alternative Asset Classes

European private equity interest in music rights continues accelerating, with Pophouse acquiring Tina Turner's catalog and legacy to introduce the late superstar to new generations through IP development and streaming. Sverica sold agentic AI firm WinWire to NTT Data after a four-year hold period, realizing gains from the company's growth in enterprise AI solutions.

Fintech and Payment Technology Consolidation

PE-backed NMI acquired payment tech firm Dwolla, combining embedded payment infrastructure capabilities with account-to-account payment solutions. Primer raised $100 million Series C from Balderton and other investors, expanding its payments infrastructure platform for online merchants. Status AI raised $17 million to transform social media into interactive entertainment, targeting Gen Z users who prefer engagement over passive content consumption.

Venture Capital Concentration and