Estimated reading time: 8 minutes The article in brief: European private markets stabilized during the second quarter of 2026, although investors have become more selective regarding sectors and credit profiles. Public credit spreads tightened from first-quarter levels, while financing conditions remained competitive for high-quality borrowers. Direct lending markets remain characterized by abundant dry powder and limited new issuance. Financing terms have remained favorable for stronger credits, while AI-exposed, cyclical, and lower-quality borrowers continue to face higher risk premiums and greater scrutiny. M&A...

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Earnouts are often presented as a solution that can help get a deal across the finish line. If a buyer and seller disagree on valuation, an earnout can help bridge that gap by tying a portion of the purchase price to the future performance of the company post-closing. It’s a simple concept in theory. If the company performs as expected, the seller will receive additional payments. If the company does not meet the established metrics, the buyer pays less. However, in practice, earnouts can introduce a...

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Following the publication of the “Digital Omnibus” on 19 November 2025, the political promise of easing regulatory burdens and moving towards simplification was initially welcomed by the market. However, nearly a year on, the effects have yet to be felt by stakeholders, and may be further contained now that both the European Parliament and the Council have taken positions on the text. In an urgent drive to relaunch the European economy, ease the regulatory burden on businesses, and compete with...

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