EQT Chief Predicts Major Private Equity Consolidation Wave (1)

EQT AB Chief Executive Officer Christian Sinding sees consolidation on the horizon for alternative asset managers due to fundraising pressures and challenging financing conditions.

“There are more than 7,500 private equity firms out there,” Sinding said in an interview ahead of the industry’s annual SuperReturn International conference in Berlin. “As the industry matures we will see a major consolidation wave leaving us with a dozen global firms and niche players — the rest will be stuck in the middle.”

Sinding said 80% of the dry powder in private equity is being raised by the mega funds and it’s getting harder ...