Private Equity 3 Days

Last updated: August 15, 2026, 2:31 AM ET

Venture Capital and AI Enthusiasm

Joshua Kushner, co-founder of Thrive Capital, has cautioned Silicon Valley venture capitalists against excessive enthusiasm for artificial intelligence, urging them to maintain investment discipline despite the sector's immense potential. He emphasized that while the AI opportunity is significant, it would be a "grave error" to let excitement compromise fundamental investment principles. Similarly, Thrive Holdings, backed by OpenAI, has secured $2 billion in new funding at a $12 billion valuation, with participation from SoftBank, D1 Capital Partners, and Altimeter Capital, aiming to bring AI to the enterprise. In a related development, Battery Ventures is backing Vetspire, an AI operating system for veterinary practices, with the funds intended to accelerate product innovation and AI development to support veterinary teams. Crunchbase News reports that 40 companies joined the Unicorn Board in July, the highest count in four years, with financial services, robotics, AI orchestration, multimodal AI, energy, and semiconductors leading the surge.

Major Funding Rounds and Acquisitions

Databricks is once again raising capital, seeking an additional $5 billion, just eight months after a similar funding round. This substantial investment underscores the ongoing demand for data and AI infrastructure. Other significant funding rounds highlighted by Crunchbase News include those for an AI neolab, data center and electricity storage solutions, and defense technology. In the manufacturing sector, Shurco, backed by Behrman, has acquired Heavy Motions Inc., expanding its offerings in cargo control and containment systems. Charger-backed Wolf-Gordon has acquired two interior surfaces providers, Andor Willow and Walls & Interiors, bolstering its position in the architectural and design market. Astora Capital has acquired Dynatec, an industrial wastewater treatment firm serving diverse sectors such as food & beverage, automotive, and data centers. In the realm of insurance, Thoma Bravo is set to acquire the specialty insurance risk exchange platform Accelerant for over $4 billion, with Altamont Capital Partners and the company's founders retaining equity stakes. Reverence Capital-backed Sunstar has acquired insurance agency RJR Faribo.

Data Centers and Infrastructure Investments

The demand for AI infrastructure is driving significant activity in the data center sector. CVC DIF, the infrastructure arm of CVC, has agreed to acquire a majority stake in firstcolo, a Frankfurt-based colocation data center operator, from Cube Infrastructure. This deal highlights the increasing investment in digital infrastructure. Meanwhile, Silver Lake and Digital Bridge are reportedly exploring an exit for Vantage Data Centers, a hyperscale operator, which could value the company at approximately $100 billion, with options including an IPO or a sale. Mistral AI has secured backing from companies like ASML and Amadeus to support its data centre buildout, signaling strong enterprise confidence in its expansion plans.

Private Equity Dealmaking and Strategies

Private equity firms continue to actively pursue deals across various sectors. Providence Equity has agreed to acquire Hometrack, a firm providing property valuation data and analytics to mortgage lenders in the UK and Netherlands. In the beverage sector, Harbour Vest is deploying its $4.75 billion flagship fund, with recent deals involving Bain, Platinum Equity, and Monogram. Mountaingate has exited its investment in Relevate, a healthcare commercialization platform. One Rock is set to sell environmental services firm EnviroServe for $470 million. Apax is selling its food supply chain logistics provider Tosca to Goldman Sachs Alternatives. TDR Capital is exploring the sale of Arrow Global, a private credit manager it previously took private.

Fundraising and Investment Trends

EQT's Scaleup Europe Fund has debuted with a significant €450 million investment in ICEYE, a satellite operator valued at €10 billion. This move underscores the growing interest in satellite technology and data. In the US, Northern Gritstone is expanding its reach by opening a San Francisco office to tap into the vibrant startup ecosystem. The Weymouth Retirement Board has issued an RFP for private equity co-investment managers, indicating continued allocation to this asset class. Korea's National Pension Service (NPS) has increased its exposure to credit secondaries by $1 billion, bringing its total in secondary funds and co-investments to approximately $3.7 billion. The NPS has also reported a 12% rise in its PE AUM, though overall growth in the sector is slowing.

Valuations and Regulatory Scrutiny

Valuations in the private markets are coming under increased scrutiny. The SEC is reportedly focusing on private funds valuations, with examiners requesting information on specific funds and enforcement actions potentially increasing. This heightened attention reflects a broader trend of investors and regulators seeking greater transparency and accuracy in how private assets are valued. Separately, US investors have raised questions regarding credit secondaries valuations, highlighting a need for clear and consistent valuation methodologies in this evolving market.

Sector-Specific Investments

In the financial services sector, Bank of America is set to invest up to $1.9 billion for a stake of up to 49.9% in Jio Credit, the lending arm of Jio Financial Services. Goldman Sachs is acquiring ETF provider Neos Investments for $2.25 billion, a move that will add $30 billion in assets under management across 19 options-based income ETFs. In the travel and tourism sector, private equity is showing renewed interest, with West Bridge agreeing to acquire a majority stake in Beckett Investment Management from Foresight Group. Beckett has seen significant growth in assets under management, rising from £800 million to £2.1 billion since 2021.

Emerging Technologies and Startups

The drone industry is seeing significant VC interest, with one startup, Uforce, reportedly targeting an valuation upwards of $4 billion in its latest funding round. Sifted highlights ten drone startups to watch in 2026, indicating a dynamic and innovative landscape. In the AI space, Multiverse Computing, a Spanish startup, is positioning itself as a potential European AI champion. Index Ventures is reportedly in talks to lead a $500 million round for a new AI lab founded by a former Deep Mind researcher. Sarah Buchner, a carpenter by background, has founded Trunk Tools, an AI construction startup aimed at improving efficiency in the building industry.

European Market Dynamics

European fintech is facing cultural challenges, according to Sifted, which could impact growth and investment. In a notable fundraising, Lovable has raised $400 million at a $13.3 billion valuation, supported by the EU's Scaleup Fund. Accel has raised $800 million for its ninth early-stage Europe fund, signaling continued investor confidence in the region's tech startups. The European market also sees active public funds, with Sifted identifying the 30 most active public funds in the first half of 2026.

Fund Strategy and LP Relations

La Caisse's private equity portfolio experienced a 4.3% decline in the first half of 2026, significantly underperforming a benchmark that gained 8.0%, highlighting the challenges of private equity returns in certain market conditions. The LA Fire and Police Pension system is reaffirming its commitment to the lower mid-market and emerging managers, believing their distributions have performed well even in a challenging environment for Limited Partners. Former APG PE veteran John Renkema advises that internal asset class evaluations and specific goal assessments are crucial for pensions to effectively assess performance. Investors are increasingly focusing on local economy themes, according to a former heavyweight LP turned consultant.

Credit and Secondaries Markets

Private credit heavyweights, including Pimco and Pollen Street, are reportedly considering a €1.2 billion ($1.4 billion) non-performing loan package being sold by Italy's BFF Bank. CVC Credit has priced Apidos LVIII, a new $550 million collateralised loan obligation, extending its active year of issuance. Hollyport Capital has secured the backing of Blue Owl, choosing to remain independent, a move that reflects the industry's growth dynamics. New 2ND Capital is nearing a $1.25 billion close for its Fund IV, which has already completed its first deal.