Private Equity 8 Hours

Last updated: March 23, 2026, 12:30 PM ET

Fundraising & Strategy Shifts

Growth equity firm Lead Edge landed $3.5bn for its seventh fund, signaling continued appetite for software investments despite market volatility, while attention turns to specialized strategies where sponsors hunt for outsized returns. Research indicates that independent sponsors, prioritizing greater deal selectivity and lower valuation multiples, often seek returns exceeding 3x, a target generally higher than those expected from traditional large-cap funds. In the expanding secondary market, a Japanese secondaries shop aims to close its debut fund near its hard-cap, offering flexibility across direct secondaries and primary funding rounds, reflecting heightened interest in portfolio liquidity solutions.

Secondaries and Investor Moves

The pursuit of liquidity is a key driver in the secondary market, exemplified by Mercer’s acquisition of a rival which brings crucial secondaries capabilities to Altamar CAM, a move Michael Dempsey noted addresses investor demands for exit optionality. This focus on liquidity contrasts with potential structural issues in other parts of the market, where evergreen structures may be facing scrutiny due to risks associated with 'mis-selling' or poor structuring, according to one industry observer in a side letter analysis. Meanwhile, the industry sees new dealmakers emerge, such as former Green Bay Packers wide receiver Terrence Murphy, who unveiled Synergy Sports Capital and announced its inaugural transaction this month.

Energy & Infrastructure Deals

Private equity and infrastructure funds are accelerating their focus on Gulf energy assets, with sponsors reportedly targeting a $7bn Kuwait pipeline deal as regional energy transactions gain momentum. Separately, Ares Management committed €1bn toward Plenitude as part of a broader €1.5bn capital increase, valuing the asset at €13.1bn in a major European energy transaction. In specialized infrastructure, Bridgepoint-backed PEI Group expanded its reach by acquiring Scientific Infra & Private Assets, a benchmark provider for private infrastructure and equity markets, indicating a push to better assess these complex assets.

Buyouts and Sector Acquisitions

Dealmaking across sectors remained active, with major players executing complex transactions. Apollo-managed funds agreed to acquire a 37% minority stake in Syntegon, valued at €1.75bn, in partnership with CVC to support the packaging firm's next growth phase. In the environmental services space, Actis completed the purchase of a 90% stake in Singapore-based 800 Super, an environmental management company, bringing Actis’s Southeast Asia deployment to $1.7bn. Furthermore, in the UK, One Equity executed a take-private of wholesale distributor Kitwave, while Olympus Partners is looking to divest its holdings, planning to sell the retina business of Eye South for an expected proceeds of $1.1 billion.

Software, Tech, and Add-on Activity

The software and technology sector continues to attract significant capital through both platform investments and strategic add-ons. Diversis clinched the acquisition of fintech firm LTi, ensuring the co-founders retain minority stakes and operational involvement. In the enterprise software space, Gryphon-backed Rootstock bolstered its platform by acquiring Ascent Solutions, which specializes in cloud ERP applications on the Salesforce platform. Simultaneously, in the push for AI investment, OpenAI is offering a guaranteed minimum return of 17.5% to private equity firms looking to fund its joint venture initiatives, seeking capital in a highly competitive technological area.

Firm Personnel and Exits

Firms continued to adjust senior leadership, with GTCR appointing Donnie Phillips as managing director and chief administrative officer based in its Chicago office, while ECI welcomed David Danon as a new partner following nearly two decades at Bain Capital. On the exit front, Sovereign concluded the sale of Knovia to Eureka Education, following a period where Knovia more than quadrupled its revenue through organic growth exceeding 15% annually alongside strategic acquisitions. Separately, market observers suggest that exit difficulties are causing sponsors to prepare for longer sellside processes and consider partial sales as an alternative, as seen with the planned sale of Advent portfolio company Ultra Cyber to Airbus Defence and Space.