EQT holds first closing of infrastructure fund at €12.5bn

EQT holds first closing of infrastructure fund at €12.5bn

EQT has held its first closing for the EQT Infrastructure V fund, reaching approximately EUR 12.5 billion which corresponds to the communicated target fund size.

EQT expects the infrastructure fund to reach its hard cap of EUR 15 billion during 2021.

”However, the actual fund size remains dependent on the final outcome of the fundraising process. Active fundraising efforts are expected to be materially concluded in H1 2021,” said EQT in a statement.

As previously communicated, the EQT IX fundraising is materially concluded. The fund is expected to hold its final closing during Q2 2021, reaching its hard cap of EUR 15 billion.

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EQT has also set the target size for the EQT Growth fund at EUR 2 billion. No hard cap has been set to date. The actual fund size is dependent on the outcome of the fundraising process and may ultimately be higher or lower than the target fund size.

EQT also said it continues preparations for its thematic long-hold strategy. EQT has decided that it will seek to charge management fees on net invested capital during the full term of any future fund within this strategy.

”This means that management fees will be charged only as and when investments are made by any such fund, i.e. fees ramping up over time as commitments are deployed,” said the company in a statement.

This represents a different revenue profile for fees generated within the thematic long-hold strategy as compared to most other EQT investment strategies. No target size of a potential fund has been set to date.