EQT AB (publ)

Good morning, everyone, and welcome to EQP's Q3 announcement. A quarter where we've continued to deliver on our priorities. We maintain focus on exits and returning liquidity to our clients, having realized 19 billion euros across the globe over the past 12 months. We continue to deliver on our fundraising agenda with good momentum in our flagship fundraisers and certain other strategies. We launched a European long-term investment fund to complement our Nexus product suite, and we launched a successor fund within our active core infrastructure, our first open-ended structure for the institutional segment. All while continuing to deliver returns for our clients with half of our key funds performing on plan and half performing above plan. Finally, the nomination committee has proposed that Jean Salata becomes chair of EQT as our founder and chair, Connie Johnson, expects to step down from his role at our AGM in May 26. And with that, I'll hand it over to you, Per. Next slide, please.

Thank you, Olof, and good morning to you all, also from myself, and thanks for joining us. It's now more than nine months into the year and eight months post the announcement of the CEO transition. So let me quickly reflect on where we stand in terms of our priorities. Over the last couple of months in the executive committee, we've taken a number of actions to maintain a firm-wide focus on excellence in deal-making and value creation across everything we do. We continue to build a client-centric firm that creates the most compelling client experience in the private markets. The actions taken will also ensure that we stay true to our values, that we remain that entrepreneurial and fast-moving organization that we want to be so that we can continue to attract and retain the best people in the industry. And that we run ETT with an effective and efficient operating model. Over the past few months, we've made great progress reducing complexity and driving simplification. merging a number of platforms such as our capital markets and client relations platforms, combining our ventures and our growth teams, and integrating our value creation capabilities further into the investment organization. This enhanced and near-term focus on efficiencies will be materially concluded during this quarter, And, yeah, but having said this, of course, working smarter is really part of our DNA. And in this context, we've made and will continue to make significant investments into our Bengaluru and Warsaw operations, also into our tech platform, our AI capabilities, and we will leverage all of those capabilities to find new ways of working smarter also in the future. So I'm confident that also going forward, we will be achieving productivity improvements in our organization. At the same time, we will continue to invest into our alpha generating capabilities, our value creation functions, and into growing our presence in our target geographies to ensure that we continue to deliver for clients. As long as we maintain our strong performance, we see very attractive growth opportunities in all of our existing strategies. We also see a significant opportunity to broaden and strengthen our client base, and we have strong momentum in our newly launched private wealth products. Going forward, we will continue to participate in the ongoing consolidation of the industry and we remain committed to delivering on our margin targets. We have a number of ongoing conversations with well-performing firms in the private markets that want to become a part of EPT, and we are looking to build both existing business lines and to potentially also fill gaps that we have in the platform. Next slide, please. We want to continue to build EGT to be the most attractive client-centric platform in the industry. We want to be the most attractive counterparty for institutional and individual investors in the private markets, focused on delivering global alpha. Today, EGT is the largest private equity firm outside of the US and the second largest private equity firm globally. This gives us unique advantages offering investment opportunities across the US, Europe, and Asia for our clients. The first nine months of the year illustrate the advantages of that diversification. Taking the public markets as an example, Europe outperformed in the first quarter, the US came back in the second quarter, and now Asia has outperformed global markets quite significantly in the third quarter. In Essex, we've seen the dollar depreciate approximately 10% versus the Euro this year, and that means that in US dollar terms, the European and Asia outperformance year-to-date is quite significant. In the third quarter, we continue to make progress on our exit agenda, realizing a further 2 billion Euros for fund investors. another 2 billion euros for ETT co-investors. Over the last 12 months, exits by the ETT funds amount to 19 billion euros. including co-investments, we realized closer to 25 billion euros of proceeds on behalf of our clients. And geographically, 75% of our fund-based exits were in Europe and Asia and 25% in North America. Within equity, which is a strategy that sits in our private capital, business line, and this is our oldest and most well-established strategy, we're currently raising the next flagship fund, ETT11. Over the last 12 months in this strategy, realizations have corresponded to approximately 30% of net asset value. three times more than the industry average. So a remarkable outperformance of the industry, in particular also if you take into account the growth that we've had in fund sizes in this strategy over the past couple of fund cycles. As we continue to monetize assets, we expect to increasingly also generate real cash for EPT and our shareholders from carried interest. EGT8, a fund where we've recognized carry in our financial statements for some time already, is now fast approaching the hurdle for when cash carried interest payouts happen. And once EGT8 reaches this hurdle, we enter a so-called catch-up phase whereby all proceeds are distributed as cash carry until we have a true 80-20 split of the profit. As a result, assuming market conditions remain broadly unchanged compared to where they are today, we expect to receive approximately 500 million euros of cash from the EGT8 fund in the near term. In total, assuming a gross MOIC of 2.5 times for EGT8, EGT8 alone, an 11 billion euro fund would generate cash carry of approximately 1 billion for EGT-AB over the lifetime of the fund. In our ongoing fundraisers, we're also focused on improving terms related to carried interest, which is expected to shorten the time by when cash carried interest is paid out in the future. And Kim will talk more about this shortly. Our exit track record is really also a testament to the quality of our portfolio and our differentiated exit capabilities. As a result, we continue to have strong DPIs across our key funds, and that puts us in a differentiated position when it comes to our fundraisings. But performance is really not enough to be able to secure client commitments in today's market. Investors are continuing to consolidate their GP relationships. And with the remaining core relationships that they keep, investors really want to build close strategic partnerships. They want to have counterparties that can help them achieve their strategic objectives. EQT is well positioned, also in this regard, being one of a few of truly client-centric scale players in the industry. We want to provide our clients with the best experience, offering attractive new thematic investment strategies, producing the most attractive co-investor opportunities in the industry, and finding new innovative ways to stay invested together in our winners. Thanks to our global scale, we can also help investors rebalance their portfolios and we can offer global diversification and access to international alpha. There's been a real mindset shift among private market investors to focus again on portfolio diversification. And given that investors today are significantly over allocated US dollar based assets, this presents a real opportunity for private markets platforms that can offer attractive investment opportunities, attractive alpha in Asia and in Europe. Being one of the largest private markets firms across private equity infrastructure and real estate in Europe and Asia with a strong investment track record, we're benefiting from this trend. In Europe, a good example is the ongoing fundraising of our Real Estate Europe Logistics Value Fund, where investor demand has exceeded our most optimistic assumptions. In Asia, we're currently investing the largest pool of dry powder, and Asia is a very attractive region for private market investors. The Asian buyout market is expected to double by 2030 compared to 2023. Average allocations to alternatives are expected to increase significantly from the current 8% level and get closer to the levels that we see in North America, which are at 37%, and Europe at 26%. The strength of our global deal engine also positions us nicely for the private wealth opportunity. In the last 12 months, EGT has created co-investment opportunities of more than 17 billion euros across strategies. This makes us the most attractive provider of co-invest deal flow in the private markets industry. Our co-invest to fund commitment ratios over the last 12 months are significantly above really any player in the industry. And this means that the deal flow already exists today to provide attractive investment opportunities to private wealth and retail investors. We don't have to manufacture deals or opportunities specifically for this client segment. Instead, we will maintain the same underwriting standards as we have in the institutional part of our business. And we will simply offer private wealth clients access to the attractive investment opportunities, that attractive alpha that we're producing in our fund products and in the co-investments that we provide already today. Next slide, please. During the third quarter, we've remained focused on executing on a range of prioritized organic growth opportunities. For instance, we launched the second generation of the active core infrastructure fund. This will be an open-ended active core infrastructure fund. Actually our first open-ended structure targeted to institutional investors. This is a natural evolution of the first active core infrastructure fund, which was a longer hold strategy that we launched in 2022. We're excited about this opportunity to introduce more perpetual institutional capital into our fee-based assets under management. During the quarter, we also continue to build and strengthen our franchise and to strengthen our geographical presence. A very good example of this is Japan. Japan is really a strategic growth opportunity for EQT. We launched two public tender offers, Fujitech and Care Net, having followed those companies for several years. Japan is today one of the most attractive opportunities for IKITI. Governance reforms and structural shifts in the market are creating highly attractive investment opportunities for our active ownership focused private equity strategies. In addition, We also see an attractive opportunity for IKITI to significantly strengthen our private wealth investor base in the country. In the context of private wealth, in the third quarter, we added another attractive product to the portfolio, the Nexus Private Equity ELTI product that Gustav will now talk more about. Gustav, over to you. Next slide, please.

Thank you, Per, and good morning, everyone. We continue to make progress on our ongoing fundraising in the third quarter. BPA9 raised $1 billion in the third quarter and has $12 billion of commitments today. Including closed and pending commitments, the fund has exceeded its $12.5 billion target size and we continue to expect the fund to reach its hard cap of 14.5 billion USD upon final close in early 2026. Following the launch of IKT 11 in June, client reception has been very good. Third is supported by the strong exit track record for IKT private capital Europe and North America during 2025. As previously communicated, EQT 11 has a target fund size of 23 billion euro. We continue fundraising for two of our first-time funds in EQT transition infrastructure and EQT healthcare growth. Between these funds, we expect to raise north of 4 billion euros, of which more than half has been closed to date. And as Per mentioned earlier, During the quarter, we also launched fundraising for the successor fund within Active Core Infra, our first open-ended structure for the institutional segment, where we're seeing very encouraging dialogue with our clients. Furthermore, we continue to raise capital for IKT Real Estate Logistics Europe 5, for which we had a strong first close in July at 1.7 billion euros. The fund will become fee generating after activation, expected later this year, hence not included in the gross inflow for the quarter. As a reminder, the predecessor fund was closed in 2021 at 2.1 billion euro, and we expect a fairly significant increase of fund size for fund five. We currently have dry powder of approximately 50 billion euro, and with around 10 billion euros still to become fee-generating upon deployment. Next slide, please. We're continuing to develop our Evgreen platform. Earlier in the year, as previously communicated, we launched IKT Nexus Infrastructure, providing access to our infrastructure platform to clients in EMEA, Asia, and Canada. We also launched our U.S. Evergreen vehicle, investing into EQT's global private equity investments, where we have raised some $350 million since the start in June. And we have just launched EQT Nexus PE LTIF. The LTIF offers a new way to access private markets for non-professional individual investors in Europe. with a lower minimum threshold than our Nexus suite. We're seeing very promising initial signs from both distributors and end clients on Deltif. We're also expecting to launch a U.S. evergreen structure for infrastructure around year end with several strong distributors lined up. In total, the current evergreen strategies have attracted around 1.2 billion euros in subscription year to date. And we expect to raise around 2 billion euros across evergreen vehicles during 2025. We think that the expected inflows for Q4 is likely a relatively good quarterly benchmark looking into 2026. However, adjusted also for the fact that we will have a US infrastructure vehicle coming live. Of that, you should expect that approximately two-thirds are incremental AUM, and one-third will be invested through the underlying funds. As Per mentioned, we're also seeing a change with distributors. which so far has been very focused on U.S. managers, and now they're shifting that mindset to include more Europe and Asia, which we expect will benefit us. We feel that we're in good position to win in this channel, as we can provide a true global exposure through locally anchored products. And with that, I will hand over to Olof. Next slide, please.