Tikehau Capital unveiled plans to grow assets under management to over €60 billion by 2029, targeting fee-related earnings between €175 million and €225 million in 2026—up to 76% above 2025 levels and 50% ahead of market expectations. The French asset manager expects core margins to reach 45-50% by 2029 from 41% currently.
The expansion includes €34 billion in cumulative net inflows through 2029, a 22% increase versus the €28 billion raised between 2022-2025. Value-add strategies now account for 25% of Tikehau's AUM, up from under 1% at IPO, while international investors represent 46% of the base versus 20% in 2016.
Onex completed significant portfolio moves including a $1.5 billion Multi-Asset Continuation Vehicle secondary transaction. CEO Bobby Le Blanc said the Convex acquisition and AIG partnership "meaningfully enhances our growth prospects," describing "significant momentum heading into the new year."
Portfolio rationalization is accelerating across the sector. Etsy divested its Depop fashion resale platform to exit non-core assets. Keurig Dr Pepper and JDE Peet's announced merger discussions to consolidate beverage operations, while Apax Partners and Apollo pursued strategic realignments in their holdings.
European private equity is benefiting from policy tailwinds and attractive entry valuations following years of subdued activity. Firms are shifting from generic buyouts toward specialized sector expertise and operational value creation, responding to investor demands for stronger returns in a higher-rate environment.
The strategic repositioning reflects broader market dynamics as private equity firms navigate exit pressures from aging funds while capitalizing on public market volatility. Secondary transactions and take-private deals are providing liquidity alternatives to traditional IPO exits, which remain constrained by valuation gaps between private and public markets.
Tikehau's international diversification and margin expansion targets signal confidence in sustained European dealmaking recovery, with the firm betting on continued institutional appetite for alternative assets despite macroeconomic uncertainty.