Private Equity Bros Weekly

📊 Weekly Summary

The top financial and economic headlines from the past week:

The US and UK struck a new trade agreement, while central banks signaled diverging paths: the BoE cut rates to 4.25%, and the Fed held steady but flagged rising economic risks. Meanwhile, PIMCO warned of heightened US recession odds, and Asian currencies surged as capital flows shifted away from dollar assets.

Despite tariffs, China’s exports rose 8% in April. Private credit funds revealed deepening stress in lower-rated borrowers, and Moody’s cautioned on increasing retail exposure to illiquid credit markets. On the corporate front, BlackRock ordered MDs back to the office full-time.

Let’s break it down.

📈 Recent Finance News

US and UK announced a trade agreement: The UK is the first country to agree a deal with US since Trump imposed sweeping tariffs in April (Guardian)

BoE cut rates to 4.25% as it sees tariff hit to growth: Recent volatility in the global economy underscores the need for cautious, gradual rate cuts (RT)

Fed held rates at 4.25%-4.5% but warned of economic risks: The Fed judges that the risks of higher unemployment and higher inflation have risen (Axios)

'Asian crisis in reverse' as currencies soar on the dollar: Asia’s dollar selloff casts doubt on the tradition of investing trade surpluses in US assets (YF)

PIMCO sees heightened US recession risks: US bond giant PIMCO said recession risks in the country are at their highest in years (Investing)

China exports jumped 8% in April despite tariffs: Rising shipments to Southeast Asia offset a sharp drop in exports to the US (CNBC)

Private credit fund results expose pockets of market stress: Some CCC-rated firms earn too little to service their debt, signaling worsening financial health (YF)

BlackRock to order MDs back to office five days a week: More junior staff will still be allowed to work from home one day a week (Guardian)

DOGE plans to roll out software to speed up job cuts, even as Musk steps back: It updates an old Pentagon program automating dismissals (Independent)

Moody's warned of risks of rising retail exposure to private credit: Highlights growing systemic risks as retail investors enter complex, illiquid markets (USN)

🔍 Newly Released Reports

• How Firms Grow National Productivity (McKinsey & Co.)

• VC to PE: The 2025 Guide for Tech Startups (Clipperton)

• Fair Value in Structured Investments (Houlihan Lokey)

• UK Banking / Lending Market Update Q1-25 (KPMG)

• KKR Credit & Markets: Market Review Q1-25 (KKR)

• Equity Capital Markets Update (Houlihan Lokey)

• Deep Tech & the Future of Compute (AlbionVC)

• Medtech Market Report Q1-25 (J.P. Morgan)

• The Growing Role of Private Credit (Apollo)

• New Zealand Private Capital Monitor (EY)

• Trust, Attitudes, and the Use of AI (KPMG)

• Private Equity in Canada Report (BDO)

🤝 M&A Activity

Japan's NTT plans to take NTT Data private (RT)
Potential Deal Value: $16.4B

Bain Capital seeks to sell China data center operator WinTriX DC (YF)
Potential Deal Value: $4B

Coinbase to acquire crypto derivatives exchange Deribit (CNBC)
Deal Value: $2.9B

Chinese carmaker Geely offers to take EV unit Zeekr private (ST)
Potential Deal Value: $2.2B

TPG and Corpay to buy AvidXchange in strategic fintech move (PEI)
Deal Value: $2.2B

CoStar to acquire Domain Holdings Australia for real estate expansion (RT)
Deal Value: $1.9B

Veolia buys CDPQ’s remaining 30% stake in Water Technologies unit (Veolia)
Deal Value: $1.75B

Shionogi acquires Torii Pharmaceutical in strategic healthcare deal (Law 360)
Deal Value: $1.1B

Oxford Properties purchases CPP’s 50% stake in Canadian office portfolio (CPP)
Deal Value: $1.1B

TA Associates in talks to acquire FD Technologies for digital analytics play (RT)
Potential Deal Value: $722M