We examine the performance implications of private equity (PE) investors, particularly focusing on expansion capital in the value of publicly listed firms. In a context of multiple significant shareholders, we address two main research questions: Is the presence of private equity investors associated with firm valuation? How does this relation change in the presence of other types of large shareholders? Our findings indicate that the presence of private equity investors is associated with higher valuation. However, in combination with other shareholders, the results are bounded by the type of shareholders they interact with. We explain those results as a consequence of divergences in agency costs, and the role of PE in reducing those costs more effectively than other types of shareholders.