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EQT AB (publ) Q3 announcement 2021Future-proofing for growth STOCKHOLM, Oct. 20, 2021 /PRNewswire/ -- "EQT continues to leverage its thematic investment approach and we remained active in a strong market during the third quarter, signing several investments and exits. In addition, we continue to implement future-proofing measures in our portfolio companies and, combining this with strong market conditions, valuations are developing well across all key funds. We are also taking further steps to future-proof EQT AB. During the third quarter, we accelerated investments into our operating platform to manage our rapid growth. We have implemented a revision of the EQT AB Partner share ownership lock-up structure to proactively address a number of challenging issues which we identified. As part of the revision, we have nearly doubled the IPO lock-up duration for EQT AB Partners. While extending lock-ups to fully expire nine years post EQT's IPO, Partners were also allowed to sell less than half of the shares which would have been released next year. Fifty percent of the net proceeds from this partial share sale will be reinvested into EQT funds. As a result, we secure stronger client alignment and a better ownership framework, together with a more diversified shareholder base and improved share liquidity. In the period post the share placing, liquidity has been elevated at more than twice the year to date daily volumes (Bloomberg). In terms of EQT's fundraising efforts, we continue our good momentum. The recent launch of EQT Future represents a new asset class – a longer-hold fund aimed at driving the sustainable transformation of companies. We will apply our proven active ownership model to attain positive impact at scale alongside attractive risk adjusted returns. Soon, we will complement this with a longer-hold fund focused on infrastructure. In parallel, we are preparing for the next generation of funds, starting with EQT X and Ventures III. Our impact agenda is closely connected to climate change, and I am proud that EQT has become the first private markets firm to set science based targets. We have formalized our greenhouse gas emission reduction targets in line with the 1.5°C pathway described in the Paris Agreement. EQT has a unique position to take an active role in addressing climate change and we are fully committed to combat it holistically across the EQT ecosystem and all portfolio companies. Setting science based targets is an important milestone towards this goal. We see potential headwinds for the global economy related to factors such as higher energy prices, rising inflation and higher interest rates, as well as strained supply chains. We also experience strong competition for high-quality assets. However, EQT has an attractive investment pipeline covering all strategies and geographies and a solid platform for continued and sustainable growth." Christian Sinding, CEO and Managing Partner Highlights for the period Jul-Sep 2021 (Jul-Sep 2020)
Highlights during the last twelve months (Compared to twelve months ending September 2020)
Events after the reporting period
Presentation of EQT AB's Q3 announcement 2021 Financial analysts and media are invited to participate in a conference call, including a presentation at 08:30 CEST. The presentation and a link to follow the webcast and conference call live can be found here and a recording will be available afterwards. To participate by phone, please use the following dial-in details below, at least 10 minutes in advance. Sweden: +46 856 642 651 Information on EQT AB's financial reporting The EQT AB Group has a long-term business model founded on a promise to its fund investors to invest capital, drive value creation and create consistent attractive returns over a 5 to 10-year horizon. The Group's financial model is primarily affected by the size of its fee-generating assets under management, the performance of the EQT funds and its ability to recruit and retain top talent. The Group operates in a market driven by long-term trends and thus believes quarterly financial statements are less relevant for investors. However, in order to provide the market with relevant and suitable information about the Group's development, EQT publishes quarterly announcements with key operating numbers that are relevant for the business performance (taking Nasdaq's guidance note for preparing interim management statements into consideration). In addition, a half-year report and a year-end report including financial statements and further information relevant for investors is published. Finally, EQT also publishes an annual report including sustainability reporting. Contact Kim Henriksson, CFO, +46 8 506 55 300 Olof Svensson, Head of Shareholder Relations, +46 72 989 09 15 Nina Nornholm, Head of Communications, +46 70 855 03 56 EQT Shareholder Relations, [email protected] EQT Press Office, [email protected], +46 8 506 55 334 This is information that EQT AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 07:30 CEST on 20 October 2021. This information was brought to you by Cision http://news.cision.com https://news.cision.com/eqt/r/eqt-ab--publ--q3-announcement-2021,c3436066 The following files are available for download:
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