Linus Uhlig, Senior Reporter, Investment Week, 19 August 2025:
Last month, a vehicle managed by Apax Partners and funded by Ares Management agreed to acquire Apax Global Alpha (AGA) trust in a deal worth £794.5m.
While takeovers are not unusual in the wider investment trust market, this marked the first time a listed private equity trust has been targetted.
For many industry observers, the deal is more than an isolated corporate event – it is a moment that reveals both the persistent challenges and underlying strengths of the sector..
Matthew Read, senior analyst at QuotedData, cautioned that the Apax move highlights a long-standing structural flaw.
“Listed PE funds are consistently trading at hefty discounts to NAV, with investors unwilling to give credit for underlying asset values,” he argued.
This scepticism has persisted despite conservative valuations and repeated uplifts on realisations.
Read said the problem lies partly in the legacy of the global financial crisis, when excessive leverage among some managers led to losses and reputational damage.
Today, the sector is markedly different, with managers focused on operational improvements and strategic acquisitions, yet the market remains slow to acknowledge this shift..
Beyond the Apax story, there have been other signs of structural evolution in the sector. James Carthew, head of investment companies at QuotedData, highlighted Oakley Capital Investments’ move to a main market listing.
This shift, he said, will make it easier for retail investors to access one of the best-performing PE trusts of the past decade and could eventually narrow its discount from 24.6%, at the time of reporting, to the low single digits, in line with peers such as HgCapital trust.
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