Private Equity 3 Hours

Last updated: May 8, 2026, 5:30 AM ET

Private Equity Dealmaking & Valuation Headwinds

The current geopolitical climate is complicating defense deal valuations, according to Houlihan Lokey, as evidenced by EQT’s rejection of its third formal offer for the assurance, testing, inspection, and certification services provider, Intertek. Elsewhere, Australian superannuation funds may see an overhaul in performance testing, where reforms could drive adoption of total portfolio return benchmarking rather than measuring asset classes separately, potentially altering how PE exposure is assessed down under Australian performance test overhaul.

Technology & Sectoral Focus

While large-scale M&A faces valuation pressure, specialized technology investment continues, though opportunities in certain regions lag. European investment activity, particularly within the trades sector, is being hampered because the necessary AI tools are not being designed to meet the specific operational requirements of those industries. This gap suggests future bespoke software acquisitions may be necessary to unlock digitalization gains across the continent's skilled labor markets AI opportunity in Europe’s trades sector.