Private Equity Eyes $3B Construction Consultancy Deal

Private equity firm Leonard Green and Partners is reportedly close to acquiring Cumming Group, a construction project consultancy, for approximately $3 billion. This acquisition would represent a significant exit for the current owner, New Mountain Capital, after previous divestiture plans were abandoned.

Cumming Group, which advises on major global infrastructure projects such as the JFK airport terminal one redevelopment, is set to be purchased by Leonard Green in the coming weeks. The deal is being scrutinized against a backdrop of a subdued private equity market.

Deal-making in the private equity sector has seen a decline of over a third this year. Factors contributing to this slowdown include persistently high interest rates, the disruptive influence of artificial intelligence, and ongoing geopolitical tensions, creating pressure on the exit market for investments.