EQT Chief Christian Sinding Eyes Acquisitions Amid Expected Private Equity Consolidation.

EQT, Europe's largest publicly traded private equity group, is preparing for a potential wave of consolidation in the $10tn private capital industry. CEO Christian Sinding revealed that the company is considering acquisitions of specialized private investment groups, including secondaries firms, growth-oriented investment firms, and those with a niche focus in healthcare. The Stockholm-based firm is also exploring opportunities in digital infrastructure and carbon transition-focused asset managers.

Sinding emphasized that any acquisitions would complement EQT's existing businesses, with no immediate deals on the horizon. The company's strategy involves using its public stock, currently valued at $36bn, as acquisition currency. Since its 2019 IPO, EQT has significantly expanded its assets under management to €246bn, more than quadrupling its portfolio.

The CEO highlighted the growing trend of pensions, endowments, and sovereign wealth funds favoring fewer managers with resources to maintain investment consistency. Sinding predicted that some firms would thrive in this environment, while others might go out of business. He also expressed optimism about the continued growth of the private equity market, citing the ongoing trend of companies leaving public markets and preferring private equity partnerships.

Report by Financial Times