Swedish giant EQT buys ‘hidden gem’ Exeter Property Group for $1.9bn
Swedish private equity giant EQT is to buy Exeter Property Group for $1.9bn (£1.39bn), in a deal which will bring $10bn more assets under management to its portfolio.
Stockholm-based EQT, which is one of Europe’s biggest private equity groups, will pay about $800m in new shares and the rest in cash, in a deal which gives it access to real estate markets across North America and Europe.
Exeter, which invests in office space, industrial sites and business parks, will refocus on real estate that has enjoyed a surge in popularity during the pandemic, including the booming logistics sector and residential property.
Swedish private equity giant EQT is to buy Exeter Property Group for $1.9bn (£1.39bn), in a deal which will bring $10bn more assets under management to its portfolio.
Stockholm-based EQT, which is one of Europe’s biggest private equity groups, will pay about $800m in new shares and the rest in cash, in a deal which gives it access to real estate markets across North America and Europe.
Exeter, which invests in office space, industrial sites and business parks, will refocus on real estate that has enjoyed a surge in popularity during the pandemic, including the booming logistics sector and residential property.
Ward Fitzgerald, chief executive and founder of Exeter, said that day-to-day the company would be “business as usual”.
“We will continue to be fully focused on driving returns by utilising our unique local execution of small and mid-cap acquisitions, adhering to our real estate solutions ethic to our over 1,200 corporate client/tenants and directly performing our own leasing, property management and development.”
Christian Sinding, chief executive of EQT, said the move fitted in with the company’s “strategy of building a globally-scaled real estate platform”.
“We have a high bar for strategic M&A, and Exeter is one of the few opportunities we have identified which clears and well surpasses it,” he added.
Head of EQT’s real assets business Lennart Blecher said the company was a “hidden gem”.
Shares in EQT rocketed 11% this morning, giving it a record valuation of nearly $29bn. It came as the private equity giant also unveiled an increase in annual revenue of more than one-third.
To send feedback, e-mail alex.daniel@egi.co.uk or tweet @alexmdaniel or @estatesgazette
