Private equity firms are increasingly targeting corporate carve-outs as they look for new investment opportunities and ways to generate returns in a market still constrained by higher interest rates, elevated valuations and geopolitical uncertainty, according to law firm White & Case.

Gamma Communications has entered early-stage discussions with Waterland Private Equity Investments over a potential takeover of the UK telecoms services provider, adding another private equity bidder to the company’s strategic review, according to a report by Reuters.

Steadfast Group has agreed to a AUD7.7bn ($5.5bn) takeover by a consortium backed by KKR, in one of the latest major Australian public-to-private transactions targeting the country’s financial services sector, according to report by Reuters.

Carlyle Group has joined JPMorgan Chase and Andreessen Horowitz in a more than $1bn funding round for defence technology company Castelion, highlighting growing PE and institutional investor interest in next-generation weapons manufacturing, according to a report by the Wall Street Journal.

CVC Capital Partners is preparing a potential offer for UK challenger bank Aldermore, adding to a growing list of bidders circling the lender as parent company FirstRand looks to exit the business, according to a report by Sky News.

KKR-backed sports investment firm Arctos Partners is in discussions to acquire a 10% minority interest in NFL franchise the Atlanta Falcons, according to a report by Bloomberg citing unnamed people familiar with the matter.

Swedish private equity firm EQT has acquired a majority interest in Australian rugby league club Melbourne Storm, marking its first direct investment in a professional sports team according to a report by the Financial Times.