EQT CEO’s Strategic Share Purchase Signals Confidence Amid Repurchase Program

EQT AB, one of Europe’s leading private equity firms, has seen its CEO and major shareholder Jean Eric Salata double down on his investment in the company with a recent SEK 51 million share purchase. This move, occurring amid EQT’s active share repurchase program, underscores Salata’s confidence in the firm’s long-term prospects.

A Bold Move in a Volatile Market

On April 17, 2025, Salata acquired 204,291 shares of EQT through his holding entity Maximus Elm Investments Holding at an average price of SEK 248.23 per share, bringing his total holdings to 9.55% of the company’s outstanding shares. This transaction follows a February 2025 purchase of 418,630 shares at SEK 277.98, totaling over SEK 167 million invested year-to-date. Salata’s increased stake now positions him as EQT’s second-largest shareholder, behind only Investor AB (14.0% ownership).

Contextualizing the Repurchase Program

The April transaction aligns with EQT’s broader SEK 2.5 billion share repurchase program, launched in March 2025 to acquire up to 4,931,018 shares by May 16, 2025. By April 17, EQT had already repurchased 2,996,229 shares at an average price of SEK 292.17, signaling aggressive capital management to support shareholder value.

Salata’s April purchase occurred during a dip in EQT’s share price, which averaged SEK 259.36 during the week of April 14–17. The April 17 price of SEK 248.23 represented a 3.6% discount to the weekly average, suggesting Salata capitalized on perceived undervaluation.

Ownership Dynamics and Strategic Implications

Salata’s growing stake—now totaling 118.76 million shares—highlights his alignment with EQT’s strategic direction. EQT’s dual-class share structure grants ordinary shares one vote each, while treasury shares (held by the company) are non-voting. As of March 2025, EQT held 61.5 million treasury shares, representing 4.9% of total issued shares, further concentrating voting power among remaining shareholders.

Why This Matters for Investors

1. Confidence in Leadership: A CEO’s personal investment is a strong vote of confidence. Salata’s purchases, particularly during a price dip, suggest he believes EQT’s valuation is temporarily undervalued.
2. Capital Efficiency: The repurchase program reduces share count, boosting earnings per share (EPS) and potentially supporting long-term price appreciation.
3. Shareholder Alignment: With Salata and Investor AB holding nearly 24% combined ownership, governance stability may attract institutional investors.

Risks and Considerations

• Market Volatility: EQT’s stock price has fluctuated widely in 2025, reflecting broader private equity sector challenges, such as fundraising pressures and economic uncertainty.
• Program Execution: The repurchase program’s remaining SEK 1.6 billion allocation could face hurdles if prices rise sharply.
• Dilution Risks: While Salata’s stake is significant, EQT’s dual-class structure limits his influence relative to voting shareholders.

Conclusion

Salata’s SEK 51 million share purchase in April 2025 marks a pivotal moment for EQT. Combined with the ongoing repurchase program, it signals a strategic effort to stabilize valuation and reward shareholders. With 9.55% ownership and a track record of investing in dips, Salata’s actions align with EQT’s €273 billion asset portfolio and its role as a global private markets leader.

For investors, the move underscores EQT’s resilience amid market turbulence. If the repurchase program continues as planned, the reduced share count could amplify future earnings gains. However, sustained confidence will depend on EQT’s ability to deliver strong returns from its private equity funds, which account for €142 billion of fee-generating assets. Salata’s bold bet positions EQT as a stock to watch in an uncertain economic climate.