Welcome to the WSJ Pro Private Equity newsletter this Tuesday morning.

Luis Garcia leads off with a report about OneIM's strategy targeting U.S. rare-earth-magnet companies, a niche in which the firm has struck two recent deals.

Next, Freddy Sebastian reports for the Journal on a massive deal signed by QXO, a building-products business backed by Apollo and Temasek.

Now on to the news...

One Investment Management is targeting investments that support U.S. efforts to build domestic supplies of rare-earth magnets, Luis Garcia reports for Pro. The firm, known as OneIM, recently invested in two U.S. manufacturers of rare-earth magnets: Durham, N.C.-based Vulcan Elements, and San Marcos, Texas-based Noveon Magnetics.

Temasek- and Apollo Global Management-backed building-materials distributor QXO is acquiring insulation products company TopBuild for $17 billion, paying $505 a share in cash or QXO stock, Freddy Sebastian reports for The Wall Street Journal. The deal, QXO's biggest so far, represents a 23% premium to TopBuild's closing price on Friday. Temasek and Apollo led a deal to provide QXO with $1.8 billion in acquisition financing in January, after Apollo led an earlier $1.2 billion investment in the company's convertible preferred stock.

Apollo Global Management is buying a minority stake in the medical-surgical division of pharmaceuticals distributor McKesson, which began a process of separating out the operation last year, Katherine Hamilton reports for the Journal. Apollo is investing $1.25 billion in convertible preferred equity of the unit to acquire about 13% of the business ahead of its planned spinoff, valuing it at about $13 billion. Irving, Texas-based McKesson first disclosed its plans for the unit about a year ago.

RedBird Capital Partners has acquired accounting services provider Affinia, investing alongside management of the U.K. business, according to an emailed news release. Affinia specializes in working with small and midsize companies.

Sixth Street Partners is joining British property investor HSPG, the trading name used by Hornsearle Property Investments, as a backer of Park Properties Housing Association, a for-profit developer in the U.K. that plans to invest more than £1 billion, or $1.35 billion, in new projects. HSPG acquired Park in 2020

Inspirit Capital, a private investment firm focused on corporate carveout deals, plans to acquire Kaplan Languages Group, a language education unit of education company Kaplan, which is itself a part of publicly traded Graham Holdings. Kaplan Languages Group comprises Kaplan International Languages, Alpadia Language Schools, Azurlingua and ESL Education, which offer a total of more than 20 language schools in eight countries.

Grovecourt Capital Partners is backing healthcare-focused Guide Architecture to support the growth of the business. The Dallas-based company specializes in designing hospitals, outpatient clinics and medical offices. Founded in 2022, West Palm Beach, Fla.-based Grovecourt invests in midmarket businesses.

Technology-focused TA Associates in Boston is discussing a possible buyout of London-listed Advanced Medical Solutions Group, according to a regulatory filing Monday. The developer of surgical products including tissue adhesives, sutures and internal sealants has about 219.7 million ordinary shares outstanding. The stock jumped about 16% Monday to close at 265 pence, or $3.58, giving the company an equity value of roughly $786.5 million.

Aerospace- and defense-focused Acorn Capital Management in Oklahoma City, Okla., is acquiring a majority stake in repair services and parts supplier MTI Aviation, investing through its sixth flagship fund and joined by company founder and Chief Executive Jorge Mejia. The Miami-based company specializes in hydraulics, electro-mechanical and pneumatic systems, as well as power generation components.

Brazilian conglomerate Novonor and NSP Investimentos are selling petrochemicals giant Braskem to IG4 Capital's Shine I fund, Reuters reported, noting that the deal would be through a court-supervised sale of both common and preferred shares. The fund and state-controlled oil company Petrobras, which holds a 36% stake in Braskem, are working out a shareholder agreement on governing Braskem to take effect once the deal closes, Reuters said.

Caisse de dépôt et placement du Québec, or La Caisse, and Washington-based energy investor EIG have added €200 million, or $235.7 million, to a €250 million credit facility set up for independent power producer ILOS Projects, which is backed by BNP Paribas Asset Management Alts. The facility will support the company's development of European solar and battery storage capacity.

European buyout firm IK Partners is buying Selatek Holding from Amplio Private Equity, investing through its 10th flagship fund. Stockholm-based Selatek installs security systems, electrical infrastructure and automation technology in buildings and other structures. Amplio has backed the 900-employee business since it was formed in 2022.

Financial services-focused Aquiline Capital Partners is backing insurance-distribution-management-services provider EnrollHere. The Pinehurst, N.C.-based company operates in the Medicare Advantage health insurance market.

Trinity Capital is backing bioelectronic medicine company Cala Health with a $50 million growth investment. The San Mateo,Calif.-based company has developed a wearable device designed to help patients manage hand tremors, including those caused by Parkinson's disease, through counteractive nerve stimulation.

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

Blackstone-backed sandwich chain Jersey Mike’s has confidentially submitted a draft registration statement with the Securities and Exchange Commission for a proposed initial public offering, Colin Kellaher reports for WSJ Pro. Blackstone acquired a majority stake in Jersey Mike’s last year in a deal that valued the business at around $8 billion, including debt. The company has more than 3,200 locations and trails only Subway in sales in its category.

Bain Capital in Boston has sold an office building in Rome housing 12,000 square meters of space. The sale of the Severo 246 property on the Via Cristoforo Colombo follows a renovation and repositioning that was completed last year.

Macquarie Group's asset-management arm is selling its interest in Romanian electricity grid owner Evryo Group to strategic buyer Premier Energy Group in a deal valued at about  €700 million, or $823.6 million. Macquarie Asset Management first backed the business in 2021, investing through its Macquarie European Infrastructure Fund 6 and other pools.

Credit-focused NorthWall Capital is exiting its support for managing general underwriter Eaton Gate Group in the U.K., which is being acquired by industry investor Doxa Insurance Holdings, according to an emailed news release. NorthWall supplied £43.5 million, or $58.8 million, in a senior secured lending facility to Eaton Gate in December 2024.

Deerfield Management-backed medical device company CathWorks has been acquired by strategic buyer Medtronic at a $585 million valuation. New York-based Deerfield led a $30 million growth investment in the developer of a physiological assessment system using coronary angiograms in 2019.

Cerberus Capital Management closed on $2.3 billion for a single-asset continuation fund for Subsea Communications led by CVC Capital Partners' CVC Secondary Partners arm. Cerberus also participated, investing fresh capital in the installer of undersea cables and retained a controlling interest in the business. Cerberus first backed the company in 2018 through a carveout from TE Connectivity.

Midmarket-focused firm J.F. Lehman & Co. has raised at least $225 million so far for JFL Credit Opportunities Fund II, according to a regulatory filing. Investors that have disclosed commitments to the opportunistic credit fund include the Boston Retirement System, the Connecticut Retirement Plans and Trust Funds and the New York State Teachers’ Retirement System. The regulatory filing did not specify a fund goal, but documents presented earlier this year to the Connecticut funds indicated the firm has a $500 million upper limit for the vehicle.

Bridgepoint Group has hired Exponent private-equity dealmaker Jack Andrews to join its business and financial services sector team as the No. 2 under Charles Welham as it ramps up a business services push, Sebastian McCarthy reports for sister publication Private Equity News, citing people familiar with the matter. Andrews is making the move after almost eight years at Exponent where he served as a director.

London-listed asset manager ICG has appointed Mathieu Paillat as head of France for its European corporate strategy, a newly created role based in Paris. He joins from PAI Partners.

Bow River Capital in Denver has added Amanda Tallman as head of business development with its private-equity team. She joins from Monroe Capital.

Hamilton Lane has added Alexandre Hökfelt as a managing director with the direct credit team and appointed Christopher Alpaugh as a managing director and head of national sales, based in New York. The Conshohocken, Pa.-based firm also promoted eight executives to managing director positions and 10 to principal posts.

U.S. regulators plan to exempt smaller private-fund managers from the requirement to report their asset holdings, a measure originally put in place to prevent unexpected shocks to the financial system. The Securities and Exchange Commission and Commodity Futures Trading Commission on Monday proposed to raise the threshold for managers required to file Form PF reports to $1 billion in assets under management from the current $150 million, among other changes. While Form PF filings are more relevant for hedge funds than private-equity managers, the SEC during the Biden administration made several changes to collect more information from private-equity firms. SEC Chairman Paul Atkins on Monday said managers now face “overly burdensome disclosure requirements” that he wants to roll back. The changes can take effect after a 60-day comment period.

Blue Owl Capital is acquiring New York-listed Sila Realty Trust for about $2.4 billion, investing through its Blue Owl Real Estate Capital arm, Connor Hart reports for the Journal. The firm is offering $30.38 a share in cash for Tampa, Fla.-based Sila, representing a 19% premium to its Friday close. Sila invests in leased healthcare properties and its directors favor the buyout.

Private-equity firms eying the Benchmark wealth-management unit of Schroders reportedly include TowerBrook Capital Partners, Hg and Vitruvian Partners, according to multiple reports in the U.K. Schroders, which is being acquired by Nuveen for $13.5 billion, is also entertaining interest from Aquiline Capital Partners, according to InforCapital. Proposals have gone as high as $270 million for the adviser, which oversees about £26 billion, or $35.14 billion, InforCapital said.

About three-quarters of the financial advisers who guide individual investors emphasize their ability to provide access to private markets when they pitch their services, and 90% say they are either increasing allocations to private equity or maintaining them at current levels, a survey by Blackstone's private wealth group shows. The survey included more than 200 advisers that participate in the New York-based asset manager's U.S. network.

Investcorp business development company Investcorp Credit Management BDC has retained investment bank Houlihan Lokey as it explores strategic alternatives. The Nasdaq-listed BDC said it had net assets of $61.3 million at the end of last year, down about 16% from the end of September, when it reported the decline on March 30 and also announced the strategic review.

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