EQT beats fundraising expectations, AUM hits €142.4 bln, exits to slow

Published 16/04/2025, 08:06
© Reuters

Investing.com -- EQT AB (ST:EQTAB) on Wednesday beat expectations in its latest quarterly results, reporting assets under management (AUM) of €142.4 billion as of March 31, much ahead of Visible Alpha consensus estimates of €137.6 billion. 

The private equity company’s gross inflows for the quarter reached €12.4 billion, far surpassing the expected €5.1 billion. 

This strong performance was primarily driven by the early activation of BPEA IX, which has already exceeded $10 billion in commitments by mid-April. Additionally, the Infrastructure VI fund contributed €3.2 billion, closing at €21.5 billion.

Investment activity for the quarter remained steady, with €4 billion in signed investments, matching the level of the first quarter of 2024. 

Exits also showed robust activity, totaling €4 billion, a jump from €1 billion in the same period last year. 

Public market sell-downs accounted for approximately one-third of the exit volume, including EQT VII’s sales in Galderma, Azelis, and Waystar, as well as EQT Infrastructure III and VI’s exit from Kodiak. 

After the quarter ended, EQT VIII completed the full exit of Karo Healthcare and initiated a partial exit from IFS, in partnership with EQT IX.

Despite some fluctuations in the performance of its key funds, EQT’s funds are largely on track or ahead of plan. 

There were modest improvements in gross Multiple on Invested Capital (MOIC) for several funds, including BPEA VII (up from 2.5x to 2.6x), EQT IX (from 1.6x to 1.7x), and EQT X (from 1.1x to 1.2x). 

However, some funds experienced slight declines in MOIC, with EQT VIII, BPEA VIII, and Infrastructure III all seeing a 0.1x decrease. 

The EQT VII and EQT VIII funds, as well as BPEA VII and BPEA VIII, are above plan, while other flagship funds remain “on plan.”

The company flagged that while the first quarter and early second quarter were strong in terms of exits, the pace of exits is expected to slow in the coming months due to a deterioration in market conditions. 

While EQT does not foresee significant first-order impacts from tariffs on its portfolio, it is closely monitoring potential second- and third-order effects. 

Additionally, the company expects the value of its listed stakes, which make up less than 10% of key funds, to negatively impact second-quarter valuations.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.