US firm's London office wins spot as PE firm creates sixth fund

Simpson Thacher & Bartlett's London office has picked up a first-time role for EQT Partners, advising on the formation of a €3.5bn (£3.1bn) fundraising.

The deal saw partner Jason Glover – who was hired from Clifford Chance to launch Simpson Thacher's London funds team – instructed by the Swedish private equity group to advise on the creation of its sixth fund.

Glover previously advised EQT at his former firm, with the transaction marking the latest example of a number of clients transferring across to Simpson Thacher from CC with Glover.

EQT has raised the funds in less than six months, with the private equity house hoping to raise €4.25bn (£3.8bn) in total over the next few months. It is understood EQT was able to raise the funds so quickly in part because of a discount on annual management fees for those committing capital ahead of the fund's first closing earlier this month.

The EQT fundraising comes four months after Glover, CC's former funds chief, completed a €4bn (£3.4bn) fundraising for private equity firm BC Partners.

The BC Partners deal, which at the time was the biggest fundraising in Europe since the collapse of Lehman Brothers, saw Glover advise European buyout house BC Partners alongside a team from his former firm, where corporate partner Nick Benson took the lead. Benson has subsequently handed in his notice at CC, as one of a four-partner funds team set to join Weil Gotshal & Manges in London.

Commenting on EQT's fundraising, one City funds partner said: "The deal highlights how investors are rushing to pour money into private equity's few best-performing groups. Investors are slimming down their exposure to a smaller number of funds that are performing extraordinarily well."