Private Equity 3 Days

Last updated: July 10, 2026, 5:30 PM ET

Fundraising and Investor Activity

Harbour Vest Partners closed its seventh co-investment programme at $4.75 billion, exceeding its fundraising target. The Minnesota State Board of Investment is seeking a general investment consultant, issuing a request for proposal. Meanwhile, two Korean entities, the Industrial Accident Compensation Insurance and Prevention Fund and the Korean Teachers' Credit Union, are looking to commit funds to domestic blind PE/VC funds in 2026, totaling 270 billion Korean won and 100 billion won respectively. L1 Impact across four funds with a social impact focus, intending to allocate capital in the Middle East and India. Q2 saw record, buoyed significantly by the $49 billion raised for MGX Fund I in June.

Sector Focus: AI, Healthcare, and HR Tech

AI continued to dominate venture funding, claiming five of the ten largest announced rounds, including two billion-dollar financings for AI infrastructure and cybersecurity as reported by Crunchbase News. EQT, Advent, and KKR are reportedly considering a takeover of the European molecular testing company Qiagen. In healthcare, Apollo, Kain, and OMERS, a sector attracting attention for its growing need for digital infrastructure. KKR also called Allyntra to leverage innovation in medical devices, anchored by existing portfolio company Precipart. The HR tech sector has seen significant deal activity, with Shore Capital, Lightyear, and Bridgepoint, and Shore Capital acquiring HR tech firm Thrive Pass. Ardian closed $1 for HR Path, a business focused on HR consulting and implementation.

M&A and Deal Activity

Global M&A activity continues to hinge on the presence of mega-deals, indicating private equity's substantial role in the market. Ares, Littlejohn, Palladium, and TPG are evaluating sales of environmental service providers, with four such companies expected to come to market. In the music sector, Ares backed Firebird Music's $750 million fund for catalogue acquisitions, while CVC Capital is set to invest in music distributor Distro Kid, with Insight Partners retaining a minority stake. Bregal-backed Juniper Landscaping acquired two aquatic maintenance firms, Compass Environmental and Aquatic Weeds, to expand its commercial landscaping platform. PE-backed Pye-Barker acquired security and life safety firm Response TECH, and Coalesce-backed Decision HR snapped up payroll service Paymasters Inc. Tricor Pacific Capital acquired Arctec Alloys Limited, planning to merge it with Rockmount Research & Alloys to create a North American maintenance welding platform. Arrow Global signed a deal to acquire Fusion Specialty Group, a managing general agent that has written approximately £290 million in gross premiums.

Venture Capital and Startup Funding

Europe posted its strongest venture funding quarter in four years in Q2, with startups raising $24 billion, a roughly one-third increase sequentially. AI startups continue to attract significant investment, with Nvidia backing voice AI startup Gradium, bringing its seed round to over $100 million as reported by Sifted. Paradigm, a crypto VC firm to invest in "technical frontier" startups, expanding its focus beyond cryptocurrency to include robotics and AI. EdVisorly, an AI-native platform focused on college transfers, secured $13.3 million in Series A funding. Solo GP Ashley Smith announced the close of a $25 million Fund II for Vermilion Cliffs Ventures, backing startups in AI, security, and other areas as detailed by Tech Crunch Venture. Meanwhile, a lawsuit filed by college app Fizz alleges that a Maveron VC with a rival, Sidechat, during a fundraising meeting.

Secondaries Market and Investor Strategies

Secondaries activity is expected to pick up in the second half of the year following a turbulent first half. James Redmayne of Searchlight sees "offensive AI and structural resilience" as a compelling combination, noting a bifurcation in the market where premium assets with defensible fundamentals attract buyer interest, while more cyclical or AI-exposed businesses struggle. The secondaries market is becoming increasingly sophisticated, as reflected in Secondaries Investor’s new Advisory and Law Firm surveys. Schroders anticipates that GP-led transaction volumes could treble as noted in PEI's Side Letter.

International Deals and Sector Trends

Center Gate Capital invested in Canadian Dental Labs, which manages eleven dental laboratories across Canada. Warburg Pincus backed Australian credit agency Creditor Watch to fuel its expansion in Asia. SoftBank Corp and Pay Pay are in talks to invest in Seven & i Holdings, the Japanese owner of the 7-Eleven convenience store chain. In the defense sector, Tikehau's Emmanuel Laillier sees opportunities in electronics and mechanical components, and views asset mergers as key to a unified European defense strategy. Lovable is reportedly in talks to raise $300 million at a $13.2 billion valuation.

Fund Management and Firm Appointments

Blue Wolf appointed Anne Bailey as lead operating partner, with George Judd continuing as an operating partner. O2 Investment Partners tapped Micah Dawson as an operating partner to focus on driving value across its portfolio companies. American Pacific promoted Luchi Mmegwa to managing director. Nandan Nilekani has left his GP role at Fundamentum as the firm launches its third fund of $200 million, though he remains an anchor investor. Yann LeCun’s newly launched fund has shut down amid reports of exclusivity relationships emerging.