EQT, the private equity group who formally acquired a 42% shareholding in Kelda Holdings Ltd, the ultimate parent company of Yorkshire Water in June 2026, acquired the stake from Deutsche Bank at “a steep discount” in a deal “worth less than the value of its regulated assets”, according to a

report in the Financial Times this morning.

The leading financial media organisation said EQT's purchase valued Kelda Holdings at £9.4 billion, equivalent to 90 per cent of the company’s regulatory capital value, according to “three people familiar with the matter.”

In February 2026 Yorkshire Water announced that two of the four shareholders in its ultimate parent company were selling their shares, and that EQT were acquiring a 42% stake in the group as a result.

After the 2025/26 year end the transaction was completed to bring the new shareholder, EQT Active Core Infrastructure into the Kelda group.

Yorkshire Water’s Annual Report and Financial Statements for the year ended 31 March 2026 published in July 2026 explained that the group has a new shareholder and new ownership structure from June 2026.

EQT, along with existing shareholders, GIC and T-Corp, have committed to paying a further £600 million into the group before the end of March 2027.

In line with an undertaking to Ofwat to repay the intercompany loan from Yorkshire Water,

Kelda Eurobond Co Ltd is due to make a final payment of £437.2 million, plus any unpaid accrued interest at the time of repayment (£141 million as at 31 March 2026), by 31 March 2027.

EQT acquired their stake in the group with “full understanding of the Ofwat undertaking and funding requirements”, the Annual Report says.

It also states:

“When publicly disclosing the acquisition, the announcement (by EQT) referenced their commitment to invest further equity into the group, to subsequently strengthen the company’s balance sheet, through repayment of the intercompany loan. Ultimately, the group now has a committed shareholder group with no closed end funds.”

• The shareholders have signed a commitment letter which severally agrees to provide the

funds required, on or prior to, the funding date.

Following a change to the ultimate shareholders after the year end 17 June 2026, Kunal Koya, Head of Active Core Infrastructure Europe for EQT with extensive experience of utilities and infrastructure, joined the Yorkshire Water Board as the investor director.

The shareholders have signed a commitment letter which severally agrees to provide the

funds required, on or prior to, the funding date. All shareholders have confirmed their intention to support the equity commitment and have investment committee approval in place.

The shareholders have obtained internal approval to invest more funds into the group

than the minimum required to cover the intercompany loan repayment. The mechanics of the injection have been agreed as a straight-forward equity injection.

The Annual Report says that publicly available information “supports the conclusion that the current shareholder group (EQT, GIC and TCorp) has sufficient financial capacity” to provide the funds to the group as follows:

• EQT (ownership: 42%) will invest £258.3 million – EQT is a global investor with a Nordic heritage and 25 offices spread across Europe, Asia, North America and Oceania

• GIC (ownership: 42%) will invest £258.3 million: GIC is a large sovereign wealth fund established in 1981 to secure Singapore’s financial future.

• TCorp (Ownership: 16%) will invest £98.4 million: TCorp is the sovereign investment manager for the state of New South Wales in Australia.