EQT now has €1 billion in assets under management in its EQT Future strategy – its long-hold, “impact-driven” private equity fund. The strategy was unveiled in October last year and has a fundraising target of €4 billion.
EQT Future has a 12-year fund life with three one-year extensions. Notably, one-fifth of the carried interest that EQT can earn on the fund is contingent on three sustainability goals. Fundraising progress was noted in EQT’s Annual and Sustainability Report, which was published on Monday 28 March.
Also in the report were details of the €500 million sustainability-linked bond that EQT issued at the corporate level in May last year. The bond’s coupon rate is linked to three predetermined goals: approval from the Science Based Targets initiative of EQT’s emissions reduction targets by 2023 (complete); at least 28 percent of investment advisory professionals to be women by 2026 (currently at 25 percent); and 36 percent of independent board members at portfolio companies to be women by 2026 (currently at 28 percent).