EQT AB is to acquire Baring Private Equity Asia (BPEA), a private markets investment firm in Asia with EUR17.7 billion of assets under management (AUM).
The total consideration for the the transaction is EUR8.6 billion, consisting of USD191.2 million new ordinary EQT shares, valued at EUR5.3 billion, plus EUR1.5 billion in cash
The combination with BPEA, a Pan-Asian private markets firm, provides a step-change to EQT’s presence in Asia, and ideally positions EQT to execute on the structural growth opportunity in Asian private markets.
Following the combination, EQT will be local-with-locals in 25 countries, representing ~80 per cent of global GDP, thereby creating a truly global platform poised to expand its active ownership strategies across its core markets.
The combined Asian Private Capital business will be rebranded as BPEA EQT Asia and will continue to be led by BPEA CEO Jean Eric Salata and BPEA’s senior management team.
The combination, which is expected to be immediately high single digit accretive to EQT’s EPS, represents a step-change in EQT’s global reach with immediate Pan-Asia presence at scale and with its thematic investment approach, supporting companies from early stage to maturity, EQT will continue to scale and expand its range of strategies across its European, North American, and Asian core markets and deliver for its clients.
