Swedish buyout group EQT warned that investor anxiety over generative AI could freeze exits for private‑equity‑backed software assets. Recent AI plug‑ins have sparked a sell‑off in listed software shares, dragging down the valuations of firms that backed the sector. EQT’s own stock slipped sharply 9% this year, echoing broader weakness at peers such as KKR and Blackstone.

Software stakes represent about 15% of EQT’s €16bn 2020 buyout fund and roughly a third of its €22bn vehicle, tying the slowdown to a sizable slice of assets. The firm marked down the holdings, declined to disclose the amount, and pushed back a 2026 IFS listing. The downgrade highlights a widening bid‑ask gap that could pressure tech‑sector valuations.

EQT expects its software companies to deliver net‑sales and earnings growth in 2026 comparable to last year, saying “mission‑critical” products are insulated from AI disruption. It cited AI‑driven efficiency gains at IFS, which will cut about one‑fifth of its 5,000 staff. These moves come as fee‑paying assets under management held steady at €142bn in Q1, and the firm will now tilt toward divesting non‑software assets.