Good morning. I joined a recreational softball league earlier this year, but the team still hasn’t played a single game on account of six rainy Sundays in a row.

Essentially my team, On Deck, has had a small taste of how private-markets firms feel regarding stalled deal flow. I remember in July of last year talking to excited sources who confidently predicted that once the elections were over, the flood gates would open. But that benchmark got pushed to the start of the new year. Now well into 2025, industry participants are skeptical that any meaningful increase will happen this year—at all.

We’ll have to wait and see how long it keeps raining.

In today's news, Shamrock Capital is backing consulting company Neocol, Maria Armental reports. Neocol is the first investment from the firm’s new strategy targeting smaller deals. 

And Luis Garcia brings news of Brookfield Asset Management betting that rising demand for energy, artificial-intelligence systems and private credit will continue to boost its businesses despite tariff-related market turbulence.

Now onto the news ...

Investment firm Shamrock Capital is backing consulting company Neocol, betting on a business that helps companies with subscription-based revenue integrate the disruptive tide of artificial intelligence—including AI agents, which can automate complex tasks, WSJ Pro’s Maria Armental reports. Neocol is the first investment from Shamrock’s new strategy targeting smaller deals. Called Clover and led by partners Ryan Smiley and Sam Halls, the fund typically writes equity checks of up to $45 million.

Brookfield Asset Management is betting that rising demand for energy, artificial-intelligence systems and private credit will continue to boost its businesses despite tariff-related market turbulence, WSJ Pro’s Luis Garcia writes.  “Whether it’s the growth and demand for AI infrastructure, the rising global need for energy or the increasing role private credit plays in capital markets, these trends continue to drive capital markets,” Chief Executive Bruce Flatt said Tuesday during a call with securities analysts. Brookfield’s focus on essential sectors makes the firm more resilient to periods of turmoil, when investors seek assets that are less sensitive to market fluctuations, Flatt said.

Existing backer New Enterprise Associates led a $600 million growth investment in online food emporium Wonder Group, joined by others including Accel and strategic backers, according to a post on company founder Marc Lore’s LinkedIn page. New York-based Wonder plans to use the capital infusion to expand its network of retail locations to more than 90 outlets, including in Philadelphia and Washington, by year-end, up from 46 in the U.S. Northeast today.

Buyout firm TPG is acquiring payments and accounts payable automation software provider AvidXchange Holdings, in a $2.2 billion take-private deal backed by Corpay, Stephen Nakrosis reports for Dow Jones Newswires. The transaction calls for AvidXchange shareholders to get $10 per share, or a 22% premium to Tuesday’s close at $8.20 in New York. Investing through its TPG Capital strategy, the firm will buy a majority interest in the Charlotte, N.C.-based company while Corpay will get a minority stake. AvidXchange’s directors and top managers support the transaction.

Strategic investor Dick’s Sporting Goods led a $120 million growth investment in youth-focused Unrivaled Sports, joined by other investors including Dynasty Equity and existing backer Chernin Group. The company was started by Apollo Global Management co-founder Josh Harris and Blackstone senior executive David Blitzer and has been investing in youth sports organizations since at least 2023.

Fortress Investment Group is providing a forward-flow commitment to lending facilitator Upstart and agreed to purchase up to $1.2 billion of consumer loans originated by the business over the next year or so. Citigroup is providing financing to Fortress to back the deal.

Balderton Capital led a €160 million ($181 million) growth investment in aerial intelligence systems developer Quantum Systems, joined by others including Bullhound Capital and strategic backers. The company plans to use the new money to advance its design and production of unmanned aircraft used for surveillance as well as other drone systems used by NATO and Ukrainian forces.

Kurma Partners and Angelini Ventures led a $45 million growth commitment to biotech Nuevocor, joined by existing investors and others. The Singapore-based company is developing treatments for certain cardiomyopathies.

Private-equity firm Endless is in talks with Primark owner Associated British Foods about a potential transaction involving its struggling business Allied Bakeries, Michal Susin reports for WSJ Pro, citing a filing by the London-listed company. Known as AB Foods, the company said Allied Bakeries continues to face a challenging market backdrop, and that it is evaluating options. Britain’s Sky News reported Saturday that Endless was in talks to combine Allied Bakeries with Hovis, a baking company held by the firm.

Durable Capital Partners, Altimeter Capital and General Catalyst led a $120 million growth investment in agentic artificial intelligence developer Parloa, with others including EQT AB’s venture arm participating. The transaction pushed the Berlin company’s value past $1 billion, according to its founders.

Iconiq Capital led a $100 million growth investment in software-development systems provider Statsig in a transaction that valued the business at about $1.1 billion, Stephen Nakrosis reports for Dow Jones Newswires. Iconiq, investing through its growth strategy, was joined by existing investors Sequoia Capital and Madrona Venture Group.

Alumni Capital has issued an equity line of credit to Brazil Potash Corp., a mineral development company. The company expects the financing to further its flagship Autazes Potash Project. Under the terms of the agreement, Brazil Potash has the right to sell, and Alumni has the obligation to purchase, up to $75 million worth of common shares over a 24-month period at prices based on the market value at the time of each sale to Alumni.

Brighton Park Capital led a $72.5 million growth commitment to Orca AI, with existing investors Ankona Capital and Hyperlink Ventures also participating. The company is developing autonomous maritime systems.

Apollo Global Management is acquiring liquefied natural gas carrier Hav Energy LNG Holding from HitecVision. The transaction includes two LNG tanker vessels and eight under construction in Korea with deliveries later this year and next.

Francisco Partners has restructured its investment in software maker Movella Holdings, which the private-equity firm helped to a public listing through a blank-check company in 2023. The company delisted its shares last year and on Tuesday said it has transferred its operating assets to Francisco to partially pay debt obligations owed to the firm. Francisco provided $75 million to the company in the blank-check transaction through a private investment in public equity deal.

Avalt, a family capital-backed midmarket private-investment firm, is partnering with family-backed investment firm VantEdge to launch Wall Works Holdings, a construction contractor platform. Concurrently, the firms also announced Wall Work’s investment in Optimum Building Systems, a Litchfield, N.H.-based provider of drywall, acoustic ceiling tile, waterproofing and exterior cladding installation services to general contractors.

Arcapita Group Holdings in Manama, Bahrain, has acquired a majority interest in legal services provider Trustpoint.One. The Atlanta-based company’s technology-enabled services include discovery, legal staffing and cybersecurity.

Our add-on deal interactive tool allows you to sort and analyze volumes of add-on deal data compiled by WSJ Pro. View more.

Buyout firm TPG has agreed to acquire digital infrastructure investment firm Peppertree Capital Management for as much as $960 million in cash and TPG shares, with Peppertree backer Affiliated Managers Group in line to receive about $240 million – $102 million of it in cash – for its stake. AMG first backed the company in October 2022. The company is a digital infrastructure investment firm with $7.7 billion in assets under management and a focus on wireless communications towers. TPG also agreed to pay as much as $300 million in the form of earnouts based on future performance.

Spark Capital-backed mobile securities trading app developer eToro Group has filed for an initial public offering of shares with plans for a Nasdaq listing, Kelly Cloonan reports for Dow Jones Newswires. The company expects to price the 10 million share IPO at $46 to $50 each, a regulatory filing shows. Spark holds more than 14% of the voting power in the company in both class A and B shares and plans to sell a small portion of its stake in the offering. EToro would have a market capitalization of $4 billion if the IPO prices at the top end of the expected range, Steve Gelsi reports for sister publication MarketWatch.

Coatue Management is setting up a multi-strategy fund tailored to individual investors, with commitments totaling $1 billion from Amazon.com founder Jeff Bezos and computer entrepreneur Michael Dell, Angel Au-Yeung reports for the Journal. The firm is working with Swiss bank UBS Group and plans to make the vehicle available to investors and their advisers as soon as this week. The fund has a $50,000 investment minimum and offers quarterly redemptions capped at 5%.

Rotunda Capital Partners in Bethesda, Md., has closed on $735 million for Rotunda Capital Partners Fund IV, easily surpassing the firm’s $550 million target. The new pool is roughly 80% bigger than its 2022 vintage predecessor, which the firm closed with over $405 million. Rotunda focuses on backing family- and founder-owned businesses and managed about $812.7 million at the end of last year, a regulatory filing shows.

Asset manager and investment adviser Hamilton Lane is offering a new venture-capital investment pool to accredited and qualified U.S. investors and their advisers. The Hamilton Lane Venture Capital and Growth Fund is evergreen in structure.

Climate-focused growth investor Active Impact Investments in Vancouver, British Columbia, has closed its third fund with 110 million Canadian dollars, equivalent to about $79.6 million, or nearly twice the amount collected by its predecessor vehicle, according to an emailed news release. A commitment from Northleaf Capital Partners anchored the latest fund, which has already backed seven companies.

Deerfield Management in New York has collected more than $600 million for its Deerfield Healthcare Innovations Fund III, which is now closed to new investors. The firm makes growth investments from the fund across the life sciences, medical technology and healthcare services sectors. The fund’s predecessor closed with $840 million in 2020.

Warburg Pincus has appointed Phil Venables as a senior advisor, working with the firm's technology group. In his new role, Venables will identify and evaluate new investment opportunities in cybersecurity and support the technology portfolio. He was previously chief information security officer of Google Cloud, where he led the risk, security, compliance and privacy teams.

Cerberus Capital Management-backed Stratolaunch, a developer of hypersonic aircraft, conducted two successful test flights of its Talon-A planes with rocket motor provider Ursa Major, Heather Somerville reports for the Journal. The test flights provide one of the starkest examples yet of how venture- and private-equity-backed technology companies are providing the Defense Department with a long overdue boost.

U.S. private-credit defaults remain elevated, according to a new report from Fitch Ratings. The trailing 12-month default rate in Fitch’s privately-monitored ratings portfolio remained high, dipping slightly to 7.8% in the first quarter from 8.1% at the end of last year.

Monroe Capital, Sumitomo Mitsui Banking Corporation and MA Asset Management have created a new joint venture, which will invest up to $1.7 billion in senior secured loans to U.S. middle-market borrowers. The joint venture’s investable capital will be provided by the three asset managers backing it.

A blank-check company led by Gores Group founder Alec Gores as chairman has sold an additional $2.25 million worth of shares after raising $358.8 million through an initial public offering of shares late last week. The transactions give Gores Holdings X around $358.8 million to finance the combination with a private company to bring it public. Gores Holdings indicated that it intends to take advantage of the connections and experience of the special-purpose acquisition company’s managers in finding a deal in sectors where they have done business in the past, according to research provider Boardroom Alpha.

Australian asset manager HMC Capital lowered its annual operating earnings estimate to 66 Australian cents per share from 70 cents at the start of last month, citing declines in the fair value of holdings in its A$600 million, or $388.1 million, private-equity fund and other financial assets over the course of April. The revised guidance would represent a 78% increase from the past fiscal year, according to a company presentation. HCM shares fell 5.8% in Sydney Tuesday following the disclosures.

CAZ Investments has entered into a partnership with iCapital to deliver financial advisers and their clients access to one of its core investment strategies, ownership of professional sports teams. iCapital is a fintech platform for alternative investments that serve the wealth and asset management industries.

UBS Group and General Atlantic have formed a partnership focused on private-credit opportunities. The collaboration between UBS and General Atlantic Credit will aim to enhance investing clients’ and borrowers’ access to a broader set of direct lending and other credit products.

Clearlake Capital is combining newly acquired MV Credit with WhiteStar Asset Management and the firm’s existing credit operations to create Clearlake Credit, representing over $57 billion in investments deployed globally to date. Clearlake bought MV Credit from Natixis Investment Managers.

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Maria Armental; Ted Bunker; Chris Cumming; Luis Garcia; Rod James; Laura Kreutzer; Isaac Taylor; Chitra Vemuri.

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