Private Equity 3 Days

Last updated: May 22, 2026, 5:35 AM ET

Strategic Shifts in Private Equity

Partners Group is targeting a yield-focused niche in corporate private equity with its new Total Return Strategy, which plans to hold businesses for up to 12 years while delivering immediate cash yield alongside long-term appreciation. The move comes as EQT's Per Franzén emphasizes a "very, very high sense of urgency" to operationalize AI across portfolio companies, with legacy code rewriting capabilities potentially expanding the investable universe for private equity firms. Meanwhile, Convective Capital has raised an $85 million fund to build disaster resilience, broadening its mandate beyond initial fire tech investments, and Earlybird is raising a €500 million defense fund with French investor AVP amid growing interest in European security technology.

Major Exits and Portfolio Sales

KKR has agreed to sell CIRCOR Aerospace to Parker Hannifin for $2.55 billion, marking a significant return on a business it carved out of its broader CIRCOR International platform after acquiring the company for $1.8 billion in 2023. The transaction allows KKR to maintain ownership of CIRCOR's naval and industrial businesses. In another major portfolio sale, CPP Investments has completed the sale of $2.9 billion in private equity portfolio interests to Blackstone Strategic Partners and Ardian, involving 33 limited partnership fund interests. Leonard Green & Partners has completed a take-private buyout of Mister Car Wash for $7 per share, putting the company at a $3.1 billion enterprise valuation.

Personnel Moves and Advisory Appointments

Capitol Meridian has appointed former U.S. Navy Secretary Ryan McCarthy as an operating partner, where he will advise on defense market trends, investment opportunities, and portfolio company value creation. HIG Capital has tapped Brian Dutzar as managing director for its private wealth management team, alongside Adam Whitman and Steven Stack as principals. Oakley Capital has recruited former Red Bull Formula One team principal Christian Horner as an adviser on investments in the premium sports sector.

Defense and Aerospace Investments

One Bow River has backed aerospace company Ptero Dynamics, with the investment enabling accelerated development and flight testing of the company's transwing VTOL unmanned aircraft systems. Trinity Hunt Partners has formed Elevation Landscape Group with its first investment in Landscape Endeavors, a Colorado Springs-based commercial landscaping company. Kingswood Capital has sold marine services firm Lind Marine to Tallvine Partners, three years after acquiring the business in partnership with Seneca Partners.

Healthcare and Life Sciences Consolidation

GHO Capital and CBC Group have merged to form a $21 billion healthcare investment giant, with co-founders Mike Mortimer and Fu Wei serving as co-CEOs of the combined company. Bregal Sagemount and Ardian have backed health tech firm Ennov, supporting continued expansion with a focus on AI innovation and global go-to-market acceleration. Yellow Wood-backed Scholl's Wellness Company has acquired athletic performance brand Vktry, expanding beyond foot care into performance products.

Technology and Software Investments

Accel-KKR has invested in asset operations platform UpKeep, supporting continued platform expansion and the build-out of its AI-native vision for asset operations. Balderton-backed payments startup Primer has raised $100 million in Series C funding, reaching a $1 billion valuation with KKR backing. Digital banking startup Mercury has raised $200 million in Series D funding at a $5.2 billion valuation, representing a 49% increase from its previous valuation.

Consumer and Retail Activity

Authentic Brands Group is acquiring denim brand Lee, expanding its portfolio of consumer brands and entertainment properties. Beaumont-backed Southern Home Services has acquired Blazer Heating, Air & Plumbing, continuing consolidation in the home services sector across Southeast, Midwest, and Mid-Atlantic markets. Boyne Capital has backed consumer apparel brand Local Boys Outfitters in partnership with Sisu Equity and Consumer Growth Partners.

Secondaries and Fundraising Developments

Step Stone will adjust fee rates in its flagship secondaries funds, lowering fees during investment periods and increasing them afterward according to head of strategy Michael McCabe. ICG has delayed the launch of its mid-market Strategic Equity fund, with its current Strategic Equity Fund V having raised $11 billion last year as the largest dedicated fund for continuation vehicles. Pantheon's $1 billion CFO has unlocked secondaries access for constrained investors while providing a compelling capital raising strategy for the firm.

European Tech and AI Landscape

The EU is rapidly rewriting the AI Act, with significant changes emerging as regulators respond to industry feedback and geopolitical pressures. EQT wants to back UK startups with the EU's €5 billion superfund, targeting over 100 companies in the pipeline according to the firm's strategy. Cohere has snapped up a second German AI startup weeks after acquiring Aleph Alpha, signaling continued consolidation in European artificial intelligence.

Infrastructure and Energy Transactions

H.I.G. Bayside has refinanced UK care provider Lifeways with a £90 million unitranche facility, providing capital solutions for the special situations arm of H.I.G. Capital. Post Oak has sold its UpCurve Energy assets, including oil and gas properties in the Southern Delaware Basin in West Texas. Hull Street will acquire First Light USA from PSP Investments, gaining nearly 1,400 MW of clean energy generation in the Northeast.

Market Structure and Operating Trends

Longer hold periods and lower distribution rates mean limited partners can expect managers to offer alpha-delivering strategies through increasingly differentiated approaches. Extended holding periods are reshaping private equity structures, with value creation and post-deal due diligence becoming more important as firms hire more operating partners. GP stake sales are booming, raising questions about fund diligence as managers selling minority stakes in their businesses have implications for limited partners.