Lennart Blecher: These Are The Strongest Commercial Trends Since Industrialization Began

Q: What surprised you the most about the market in 2025?

Lennart Blecher: I was not surprised by market developments in 2025. We came into the year with a new administration in the U.S. that we knew had a line of policies that was very different from the previous administration.

We also had new governments in the UK and Germany and some political instability in France. We had two wars, one in Ukraine and the other in the Middle East. So volatility and unpredictability were the name of the game when we came into 2025, and I would say that has also been the outcome so far in 2025.

That being said, it has not substantially affected our portfolio companies. They are still growing both top and bottom lines. What has affected us is the fluctuations in the currencies, especially the weakening of the dollar, as we have substantial investments in North America. Volatility in commodity prices, especially precious metals, is just confirmation of this underlying volatility and unpredictability.

Markets, though, have still been supportive, and the populations we support in Europe, North America and APAC still need water, connectivity, and infrastructure services.

Q: How has deal flow been in 2025? Did you see more opportunities or challenges, and how do you expect the deal environment to evolve in 2026?

Lennart Blecher: In infrastructure, you are providing services to society. The demand for infrastructure services in Europe and North America is still growing.

Where you see dramatic changes is in the transition of our energy system, combined with an explosion in AI investment. The consequence of this is a substantial need for investment in digitalization, including data centers.

These areas combined are one of the strongest commercial trends we have seen since the beginning of industrialization.

EQT Infrastructure is in a fortunate position. We are one of the largest infrastructure investors in the world. We raised a €21bn fund earlier this year. We are one of the leading investors in data centers for the hyperscalers. Additionally, we have a substantial pipeline of investments in power, which is needed to fuel those data centers.

So, no problems with deal flows. In my 40 years in this business, I have never seen anything like it before when it comes to the opportunities. As I look to 2026, we are in a very fortunate position with our strategies.

Q: How have tariff policies impacted how you invest and how your portfolio companies operate?

Lennart Blecher: When you are running infrastructure companies, you are normally providing local services to society. There are, of course, cross-border activities. What affects us are the components used in these companies, e.g., solar panels or batteries for energy storage. So capital expenditure in those cases is more expensive. However, in most cases, we can adjust pricing accordingly, as the services we provide are essential and we haven’t seen resistance to the additional compensation charged for those services.

Q: What is the biggest risk on your mind heading into 2026?

Lennart Blecher: The biggest risk is geopolitical. We are all nervous about Russia’s intentions for Europe. Will they stop in Ukraine or continue their aggressiveness toward other European countries?

Also, deglobalization and trade policies can hamper global growth.

I don’t see an explosion in interest rates.

All of the above might lead to a slowdown in the economy.

Q: Where do you see the greatest investment opportunities in 2026, and what are people missing when you look at your sector?

Lennart Blecher: The digital AI explosion and follow-on need for energy investment are the main investment theses. I don’t think any of our competitors are missing that. Then we have the whole electric vehicle industry, and how will that affect the legacy automotive and truck industries? Will the Chinese EV manufacturers kill the European automotive industry, or can Europe compete when it comes to quality and cost?

Q: Do you expect to be more aggressive or conservative in capital deployment next year?

Lennart Blecher: It will be similar to this year. We are not opportunistic. We are sector-focused. We will continue to deploy capital in the energy and digital sectors. The growth rates will differ depending on where you are in the energy or the digital sector, but we expect them all to grow.