'Hard' Industries' Share of Private-Equity Buyouts Rises -- Market Talk

Dow Jones03:12

1512 ET - So called "hard" industries such as energy, chemicals and machinery accounted for 46% of the total value of leveraged buyouts worldwide in 1Q, up from only 13% in the first three months of last year, according to private-equity firm Carlyle Group, which cites data from Dealogic. Meanwhile, information industries' share of such deals dropped to 11% from 27%. "Capital is moving toward physical infrastructure, energy resilience and rebuilt industrial capacity," Carlyle says. Public markets also reflect the trend, with stocks of industrials, materials and energy companies that are part of the S&P 500 index all climbing more than 12% year-to-date, Carlyle adds. "Persistently higher interest rates and greater long-term uncertainty may be encouraging investors to focus on companies with near-term cash flow generation." (luis.garcia@wsj.com; @lhvgarcia)

(END) Dow Jones Newswires

May 19, 2026 15:12 ET (19:12 GMT)

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