EQT AB Business Model Canvas

EQT AB's active ownership model is significantly bolstered by its extensive network of industrial advisors and sector experts. These seasoned professionals offer invaluable deep industry knowledge and operational insights, directly guiding EQT's portfolio companies toward enhanced performance and strategic growth.

The expertise of these advisors is fundamental to EQT's value creation strategy. For instance, in 2024, EQT continued to emphasize the integration of external specialists to optimize operations and identify nascent market opportunities within its diverse portfolio, which spans sectors like technology, healthcare, and infrastructure.

EQT's key partnerships extend to specialized service providers, including legal firms, accounting firms, and consulting groups. These expert collaborators are essential for due diligence, transaction structuring, and post-acquisition operational improvements, ensuring compliance and maximizing portfolio value.

The firm also engages with technology and data analytics partners to enhance its investment sourcing and due diligence processes. In 2024, EQT reported leveraging advanced data analytics to identify over 500 potential investment targets, showcasing the impact of these technological collaborations.

These partnerships are critical for EQT's ability to execute complex transactions efficiently and to provide comprehensive support to its portfolio companies. For example, EQT’s infrastructure funds often partner with engineering and construction firms to assess and manage large-scale projects, such as renewable energy developments.

EQT’s active ownership model is central to its strategy, focusing on hands-on engagement with portfolio companies. This approach involves collaborating to implement operational enhancements, refine strategic direction, and accelerate growth. For instance, in 2023, EQT’s portfolio companies collectively generated over €25 billion in revenue, a testament to the impact of these value creation initiatives.

Key activities under active ownership include deploying specific value creation levers. These can range from driving revenue growth through market expansion and product innovation to optimizing costs via efficiency programs and supply chain improvements. EQT also actively pursues add-on acquisitions to bolster existing platforms, as demonstrated by the 2023 completion of 70 add-on acquisitions across its funds.

The ultimate goal is to foster the development of portfolio companies into robust, sustainable businesses. This long-term perspective is reflected in EQT's commitment to integrating Environmental, Social, and Governance (ESG) principles, which are increasingly recognized as drivers of both financial performance and enduring value. By 2023, 98% of EQT’s portfolio companies had ESG targets integrated into their business plans.

EQT's key activities encompass raising capital, sourcing and executing deals, actively managing portfolio companies to drive value creation, and ultimately divesting these investments to generate returns. This cycle is supported by robust fund management and continuous performance monitoring.

In 2024, EQT continued to demonstrate strong fundraising capabilities, with EQT X closing as the largest private equity fund globally. The firm also saw accelerated exit activity, increasing its total gross fund exits significantly. This active approach to portfolio management and divestment underscores EQT's commitment to delivering value to its investors.

EQT's proprietary investment methodology, characterized by its thematic focus and robust value creation framework, is a cornerstone of its success. This approach allows EQT to identify promising sectors and actively nurture portfolio companies towards growth and improved performance.

This methodology is significantly amplified by EQT's extensive global industrial network. This network provides invaluable on-the-ground insights and access to unique investment opportunities, enabling EQT to source and develop companies with a distinct competitive advantage.

In 2024, EQT continued to leverage this combination, demonstrating its ability to effectively identify and cultivate businesses. For instance, its investments in digital transformation and sustainability themes, supported by its network, have consistently yielded strong results across its funds.

EQT's key resources are its substantial financial capital, its skilled human capital, its proprietary investment methodology, its extensive global network, and its strong brand reputation. These elements work in concert to drive EQT's success in identifying, acquiring, and growing companies.

The firm's financial capital, exceeding €266 billion in assets under management as of June 30, 2025, provides the foundation for its investment activities. Its human capital, comprising experienced investment professionals and operational experts, is crucial for executing its value creation strategies.

The proprietary methodology, combined with deep sector knowledge and a global industrial network, allows EQT to source unique opportunities and implement effective growth plans. This is further strengthened by a robust brand reputation built on a consistent track record of delivering attractive returns, as evidenced by its inclusion in the Dow Jones Sustainability Index for the third consecutive year in 2024.

EQT's expansive global platform, with strategic local teams across key regions and recent expansion into markets like India, enhances its ability to identify and capitalize on diverse investment opportunities.

EQT AB's value proposition centers on a thematic investment approach, pinpointing companies aligned with enduring growth trends like healthcare, technology, and vital infrastructure. This strategy aims to secure high-quality businesses offering robust downside protection. For instance, EQT launched its Healthcare Growth strategy and a Transition Infrastructure strategy in 2024, demonstrating a commitment to capitalizing on evolving market dynamics.

EQT's value proposition is built on delivering superior risk-adjusted returns through a disciplined investment process and active ownership. They focus on thematic growth areas, offering a diversified range of strategies from private equity to infrastructure.

The firm's commitment to sustainability is a key differentiator, integrating ESG factors to build resilient businesses and enhance long-term value. This approach has led to consistent recognition, including inclusion in the Dow Jones Sustainability Index.

EQT's global network and expanding strategy count, from six at IPO to eighteen by 2024, provide investors with broad market access and diversification opportunities.

EQT actively cultivates deeper relationships by offering co-investment opportunities. This allows investors to directly participate in specific portfolio companies alongside EQT's main funds, providing enhanced alignment and transparency.

Furthermore, EQT develops bespoke solutions, crafting tailored investment strategies to precisely match the unique requirements and preferences of its large institutional clientele, ensuring a highly customized approach.

In 2024 alone, EQT facilitated approximately EUR 12 billion in co-investment opportunities, demonstrating a significant commitment to this relationship-building strategy and providing substantial direct exposure for its partners.

EQT AB cultivates robust customer relationships through a multi-faceted approach, emphasizing transparency, direct engagement, and tailored solutions for both institutional and private wealth investors. The firm's commitment to long-term partnerships is underscored by its proactive communication channels and the provision of co-investment opportunities, fostering deep trust and alignment.

In 2024, EQT facilitated approximately EUR 12 billion in co-investment opportunities, a key strategy to enhance investor alignment and transparency. This demonstrates a significant commitment to providing direct exposure and building enduring relationships with its client base.

Furthermore, EQT is strategically expanding its reach into the private wealth segment by partnering with global private banks. By 2025, the company plans to offer five distinct evergreen investment vehicles tailored for this market, democratizing access to private markets.

EQT actively participates in key industry gatherings like SuperReturn International and the SuperReturn Infrastructure series. These forums are crucial for connecting with Limited Partners (LPs) and potential co-investors, fostering relationships that are vital for fundraising. For instance, in 2024, EQT representatives were prominent speakers at these events, sharing insights on market trends and their investment strategies.

EQT AB's channels are multifaceted, encompassing direct investor engagement, strategic industry participation, and robust digital platforms. The firm's direct sales and investor relations teams are paramount for capital raising, cultivating relationships with institutional investors through roadshows and personalized communication. This direct approach was evident in 2024 with the successful €22 billion raise for the EQT Future fund.

Furthermore, EQT utilizes its website and digital platforms as a central hub for information dissemination, including financial reports and thought leadership, ensuring transparency. Its 2024 Annual and Sustainability Report is a key example of this digital accessibility. The firm also actively participates in industry events like SuperReturn International, fostering crucial connections with Limited Partners and co-investors.

EQT also partners with private banks and wealth management firms to reach individual private wealth investors, as demonstrated by the 2024 launch of EQT Nexus Infrastructure through a Nordic private bank. This diversified channel strategy aims to broaden its investor base and product distribution.

EQT AB's Corporations and Strategic Partners segment encompasses businesses it acquires or collaborates with, acting as an active owner to foster growth, innovation, and sustainability. For instance, in 2024, EQT continued its strategy of acquiring and developing companies across key sectors like healthcare and technology, aiming to unlock their full potential through operational improvements and strategic guidance.

This involves deep engagement with portfolio companies, often taking majority stakes to implement strategic changes. EQT's approach is hands-on, focusing on driving long-term value creation. Their investments in 2024 reflected a commitment to sectors poised for significant expansion and transformation.

EQT AB's customer segments are diverse, ranging from large institutional investors like pension funds and sovereign wealth funds, which formed the bedrock of its capital base in 2023, accounting for 80-85% of gross inflows. The firm is actively expanding its reach to family offices and high-net-worth individuals, recognizing their growing significance as capital providers in private markets, with new evergreen vehicles planned for 2025. Additionally, EQT engages with corporations and strategic partners, acting as an active owner to drive growth and innovation, as seen in its 2024 acquisitions and development strategies in technology and healthcare.

EQT AB incurs significant expenses in its deal sourcing and due diligence processes. These costs are vital for identifying promising investment opportunities and thoroughly vetting potential targets to mitigate risk. For instance, in 2023, EQT reported total operating expenses of €1,342 million, a portion of which directly supports these critical pre-investment activities.

EQT AB's cost structure is heavily weighted towards employee compensation, including salaries and incentives for its investment professionals and support staff. The company's significant investment in human capital is a primary driver of its operational expenses, reflected in its substantial workforce.

Operational costs are also a major component, covering essential functions like legal, compliance, administration, and technology infrastructure necessary for global operations. These overheads are critical for maintaining EQT's extensive presence and executing its diverse investment strategies.

Furthermore, EQT incurs significant expenses in deal sourcing, due diligence, marketing, investor relations, and fundraising activities. These expenditures are vital for identifying opportunities, mitigating risk, attracting capital, and nurturing investor relationships, directly impacting Assets Under Management growth.

EQT generates revenue through co-investment fees and a share of profits from these arrangements. This revenue stream supplements its primary income from fund management fees and carried interest.

In 2024, EQT facilitated approximately EUR 12 billion in co-investment opportunities for its clients, highlighting the significant scale of this revenue-generating activity.

EQT's revenue streams are diverse, primarily driven by management fees and performance fees. Management fees, calculated on assets under management, provide a stable income base, which grew in 2024 due to new commitments. Performance fees, or carried interest, represent a share of profits from successful investments, contributing EUR 587 million in 2024.

Co-investment activities also generate fees and profit shares, with EQT facilitating approximately EUR 12 billion in co-investments in 2024. Additionally, advisory and consulting services leverage EQT's expertise, contributing to fee income, though often integrated within broader fee structures. The company also earns income from its own balance sheet investments, supporting growth and new ventures.