Welcome back. Our Maria Armental shares news of Domain Capital Group raising $768 million to back assets that benefit from the rising demand created by video-streaming services. The firm helped finance Oscar-winning films “Sinners” and “One Battle After Another.” 

Child care has joined the growing list of industries where private equity’s involvement is drawing government attention, our Chris Cumming writes. 

And I wrote about an attempt by credit evaluator Egan-Jones Ratings to regain its ability to grade asset-backed and government securities running into skepticism at the Securities and Exchange Commission.

Finally, the Journal's Alexander Saeedy writes about big banks that are paring back risk and sensing opportunity from the weakness of private-capital firms that are simultaneously their clients and competitors. It's a delicate balance. 

Now onto the news...

Domain Capital Group, an investment firm that helped finance Oscar-winning films “One Battle After Another” and “Sinners,” raised $768 million to back assets that benefit from the rising demand created by streaming platforms and broader adoption of smart devices, WSJ Pro’s Maria Armental reports. The final tally for Domain Entertainment Fund II and a related co-investment vehicle surpassed the more than $700 million the firm raised for the fund’s predecessor in 2022.

Child care has joined the growing list of industries in which private equity’s influence is facing renewed government skepticism, WSJ Pro's Chris Cumming writes. On Tuesday, Sen. Jeff Merkley (D., Ore.) announced an investigation into whether two private-equity firms are putting their own profits ahead of the safety and welfare of children at the facilities the firms control. His probe is focused on companies backed by Partners Group and American Securities.

An attempt by credit evaluator Egan-Jones Ratings to restore its asset-backed and government securities authorization ran into skepticism at the Securities and Exchange Commission, which on Monday questioned whether the company has the “financial and managerial resources to consistently produce credit ratings with integrity.” The SEC also cited findings from annual examinations of the company by its Credit Ratings office as well as certain nonpublic information it has access to, WSJ Pro's Isaac Taylor reports. The agency said it had determined that a formal review and a hearing are needed before a decision can be made on the application to expand the company’s ratings authorizations.

Big banks are paring back risk and sensing opportunity from the weakness of private-capital firms that are simultaneously their clients and competitors, Alexander Saeedy writes for the Journal. Private-capital firms are among the biggest fee-payers on Wall Street, and banks including JPMorgan Chase & Co. and Goldman Sachs have lent billions of dollars directly to private-credit funds and unrolled initiatives of their own to get in on the action. The complicated relationship has led to a few awkward missteps. Along with JPMorgan, Bank of America had created a strategy for some clients to bet against stocks with exposure to private credit. But the bank quickly retracted it and apologized for the move, with its research analysts later attributing the continuing downturn to “media attention.”

As more women rise through the industry ranks, they shape not only the cultures of their own firms but also the industry itself. Join us for a conversation with some of our past and present Women to Watch honorees, as we discuss issues female professionals face building their careers, as well as some of the emerging themes that stand to shape dealmaking as the year unfolds. Register here to join the webinar at 1 p.m. ET March 26.

Apollo Global Management is acquiring Nippon Sheet Glass Co., marking its largest private-equity investment in Japan to date, totaling about $3.7 billion in enterprise value, the Journal reports. Apollo said it aims to support the Japanese company’s financial position and long-term growth. The firm expects Nippon Sheet Glass to capture rising demand for architectural glass, automotive glazing and solar products thanks to its manufacturing capabilities and deep customer relationships.

Impact investor TPG and the investment arm of insurer Allianz Group led a $350 million commitment to Cambridge Mobile Telematics, joined by insurer State Farm. The Cambridge, Mass.-based company develops technology used to monitor motor vehicle operations and driver behavior that property and casualty insurers including State Farm and Allianz use to identify and mitigate risks. TPG is investing through its Rise Funds.

Dallas-based energy and infrastructure investment firm Endurance Investment Partners led a $1 billion recapitalization of assets for San Antonio-based oil and gas exploration and development company GulfTex Energy with support from GulfTex’s management, PGIM Energy Partners, and other minority investors.

Agila Investments is backing renewables-focused ArtIn Energy with a $255 million investment to support the company's U.S. utility-scale solar, battery storage and green-fuel infrastructure holdings. The firm is investing at a roughly $14.5 billion valuation.

Startup investor Founders Fund led a $220 million growth investment in ranching technology developer Halter, joined by Bond Capital among others. The Auckland, New Zealand-based company, whose global positioning system-enabled devices are used to track livestock, was valued at $2 billion in the deal.

Technology-focused growth investor PSG Equity led a $90 million investment round backing traffic management company NoTraffic, joined by others including M&G Investments. The company develops technology used in urban settings to control the flow of people and vehicles through intersections.

Intact Private Capital led a $42 million growth investment in commercial insurance underwriting services provider Shepherd, joined by others including Spark Capital. The company uses artificial intelligence technology to accelerate the process of pricing insurance.

Clayton, Dubilier & Rice acquisition target Sealed Air said the $6.2 billion take-private transaction unveiled in November has received all necessary regulatory approvals to proceed, with a closing expected next month. The deal gives the Charlotte, N.C., business an enterprise value of about $10.3 billion.

St. Louis, Mo.-based midmarket firm Thompson Street Capital Partners is making a growth investment in Karpel Computer Systems, a provider of prosecutor case management software for state and local government agencies.

Software-focused investment firm Main Capital Partners has acquired a majority interest in Gingco Systems, a German provider of enterprise resource management software.

Consumer focused private-equity firm Main Post Partners has made a minority growth investment in Stellar Snacks, a "better-for-you" pretzel company. Stellar Snacks’ products are sold through retailers that include Costco, Target, Sprouts, Kroger, Albertsons and Safeway.

Princeton Equity Group, a private-equity firm that backs franchised companies, has invested in KidStrong, a franchisor and operator of science-based children’s training programs.

Advent International in Boston is acquiring a majority stake in body care brand Salt & Stone, a Los Angeles-based operation that sells deodorant and other products through retailers such as Sephora and online. Founded in 2017, the company generated revenue of about $165 million last year.

Etna Capital in Austin, Texas, has acquired software developer CodeRoad, which focuses on integrating artificial intelligence in enterprise applications, according to an emailed news release. The company became a standalone operation in 2024 after separating from software company Mojix.

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

Lower midmarket private-equity firm Chicago Capital Partners has exited its stake in Nickerson NY with the company’s sale to Cross Rapids Capital. Chicago Capital initially backed the equipment and furniture manufacturer in 2022.

Consumer-focused growth investor Prelude Growth Partners has agreed to sell its stake in Minneapolis-based cold-pressed energy juice shot brand So Good So You to fellow private-equity investor Bansk Group.

Temasek-backed hospital operator Manipal Health Enterprises in India has registered for an initial public offering of shares worth as much as $1.17 billion, Reuters reports. Investors including Temasek, TPG and Novo Holdings are among the sellers in the offering.

Leonard Green & Partners led the formation of a continuation fund that allows midmarket firm Falfurrias Management Partners to recapitalize its investment in Crosslake, a data-driven technology provider for private-equity firms and their portfolio companies. Falfurrias initially backed Crosslake in 2020 and remains a significant investor in the company through the continuation fund.

Inflexion's latest flagship fund is on track to close above the London firm's target, Sebastian McCarthy reports for sister publication Private Equity News in London, citing people familiar with the matter. The firm is set to close its Buyout Fund VII with roughly €4.5 billion, or about $5.23 billion, after setting an initial target of as much as €4 billion. The firm closed a predecessor fund with £2.5 billion, or $3.36 billion, in 2022.

Pritzker Alternative Strategies has collected nearly $385 million for its first commingled investment fund, Pritzker PAS I, with an anchor commitment from trusts benefitting the Tony Pritzker family, according to an emailed news release. Other participants in the fund include "like-minded family investors" who prefer to back emerging fund managers and firms that invest in lower to mid-market companies, including co-investment opportunities. Pritzker Alternative Strategies is led by Paul Carbone, the co-founder and vice chairman of Pritzker Private Capital.

David Blitzer's Bolt Ventures as well as Blackstone joined other investors in the $1.79 billion purchase of the Royal Challengers Sports cricket club in India, led by the Aditya Birla Group. Seller Diageo India confirmed the sale in a statement Tuesday. Blackstone invested through its perpetual private-equity strategy, known as BXPE, that is tailored to individual investors. The club fields both men's and women's teams.

Invictus Growth Partners has added Scott Keane as an operating partner at the firm to help its portfolio companies develop AI-driven sales and marketing revenue operations. Keane most recently served as vice president of global sales development at Databricks.

Ares Management limited withdrawals from its Ares Strategic Income Fund to 5% after receiving redemption requests totaling 11.6% of the shares outstanding at the end of January, joining the expanding ranks of debt-fund managers that have barred investors from pulling out as much cash as they'd like, Matt Wirz reports for the Journal. Investors who will get about 43% of what they asked for will have another opportunity to request withdrawals in the coming quarter, the business development company said in a securities filing Tuesday. Ares, which formed the BDC about four years ago, said the 5% redemption would take $524.5 million from the BDC's coffers, noting that it has about $5 billion in undrawn liquidity. Ares said most of the withdrawal requests came from a small number of family offices and institutional investors. In separate filings, the BDC said it had aggregate net assets of about $10.7 billion at the end of last month and that about 21% of its assets were tied to software and services companies.

Investors were hopeful that Asia’s dealmaking recovery would continue this year, but the market faces a new hurdle: the conflict in the Middle East, the Journal reports, citing a Bain & Co. consultant. A sustained energy shock that weighs on the region’s economies could pour cold water on any rebound, with macro uncertainty posing the biggest short-term risk to the region, said Bain's Sebastien Lamy, co-head of its Asia-Pacific private-equity practice. “We’re not seeing that yet, though,” Lamy said.

Trian Fund Management and General Catalyst prevailed over rival Victory Capital in their contest to acquire Janus Henderson after raising its offer Tuesday in response to Victory's increased cash and stock bid worth the equivalent of $57.05 a share, the Journal reports. Trian and General Catalyst added $3 to their all-cash offer, bringing it to $52 a share. Janus Henderson said its directors had determined that the Victory bid fell short of the Trian-GC offer and "presents unacceptably high closing risks." Victory subsequently bowed out.

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