Private Equity 3 Hours

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

Private Equity Deal Flow & Strategy

Volatility is causing renewed hesitation among dealmakers as private equity firms reassess entry multiples, though activity in specific niches remains high. Sentinel Capital Partners is actively marketing its industrial manufacturer NSI Industries for an expected sale price around $3bn, targeting buyers focused on infrastructure and commercial end markets. Separately, JLL Partners announced a new investment into professional services firm CAI, intending to fund global expansion and technology upgrades for the target. This move suggests that while M&A caution exists, firms are still deploying capital into specialized service providers poised for international growth.

Software & Technology Investment Theses

Leading technology investors are focusing on deep specialization as the primary defense against AI-driven disruption in the software sector. Thoma Bravo emphasized that future winners will possess 'deep domain expertise' and franchises that are 'deeply trusted' by large enterprise customers, a view shared by peers like Clearlake Capital and Riverside. This focus contrasts with the perceived devaluation of generic technical skills; as generative AI lowers the barrier to entry for basic coding, technical expertise alone no longer serves as a differentiator for early-stage startup teams. Meanwhile, the growth in late-stage private funding continues, with April seeing 28 new unicorns created, led primarily by entrants in robotics and frontier labs, suggesting capital is flowing toward tangible, high-automation physical technologies.