Private equity is an ownership model, generally investing in unlisted companies, playing a vital role in growing companies in many countries and industries.
Over the past few decades, private equity in Europe has grown and today forms an integral part of the economy. Private equity investments in portfolio companies – and the strategic development of these companies which typically follows – have resulted in new global champions being created as well as the consolidation of entire industries, resulting in companies that are able to compete successfully in the international arena.
Principal Situations for Private Equity Investments
In general, there are three principal situations for private equity investing:
- Buyout means acquiring a controlling interest in a more mature company. The acquisition often entails a complete change in ownership and the application of new strategies to add value to the company.
- Growth capital helps companies grow. They may need help to finance a new factory, a rapid geographical expansion or to develop new product lines.
- Special situations involve investment in a distressed company, or a company that faces special challenges.
In all these cases, the private equity fund is seeking a high-quality management team and a strategic plan to grow and improve the business.
EQT is member of the following associations
Danish Venture Capital and Private Equity Association with Morten Hummelmose as EQT representative. In addition, Mads Ditlevsen is a member of DVCA Private Equity Committee.
The association represents Europe’s private equity, venture capital and infrastructure sectors, as well as their investor. Therése Lennehag represents EQT at the Invest Europe Responsible Investment Roundtable. Nina Nornholm represents EQT at the Invest Europe Communication Advisory Group.
The Norwegian Venture Capital & Private Equity Association with Anders Misund as EQT representative and Chairman of the board.
The Swedish Private Equity and Venture Capital Industry Association with Caspar Callerström as EQT represenative.
In 2015, SVCA launched a Code of Conduct. The purpose of the Code of Conduct is to ensure public confidence in that private equity firms act responsibly and professionally, and to improve the knowledge of the work done by the private equity firms. Read more about the Code of Conduct.