Partners Group Races to Save €6.6 Billion Flagship From Liquidation as Jefferies Trims Forecasts

Partners Group plans to split its €6.6bn Global Value SICAV into two sleeves and launch a private credit income strategy, pending shareholder approval.

Partners Group is moving on two fronts at once. The Swiss asset manager has unveiled a plan to carve its €6.6 billion Global Value SICAV into two separate sleeves, while simultaneously pressing ahead with a new private credit income strategy — a dual effort aimed at steadying a business that has been rocked by shifting client preferences and rising redemption requests.

The split, reported by media outlets roughly two weeks ago, would create an umbrella structure housing two distinct portfolios. One sleeve would retain its focus on long-term capital appreciation, reinvesting gains as it goes. The other would be distribution-oriented, returning cash to investors through targeted asset sales. The arrangement is designed to ring-fence older holdings from newer commitments, giving the manager room to run fresh investments without the drag of legacy positions. Nothing is final, however: the overhaul hinges on shareholder approval.

A Cautionary Tale From London

The stakes are hard to overstate, and the fate of a sister vehicle shows why. Just over a week ago, holders of Partners Group Private Equity Limited — the London-listed trust — voted decisively for a liquidity option, with 74.1% of shares cast in favour, according to Reuters. An earlier reorganisation proposal had already been derailed after more than 40% of outstanding ordinary shares were tendered for conversion into realisation shares.

At the subsequent extraordinary general meeting, 99.89% of votes cast backed the orderly disposal of the entire portfolio, and the wind-down began the moment the meeting closed. Capital tied up in the trust will now be released gradually through sales of the underlying holdings. For the Global Value SICAV, the lesson is plain: management must persuade investors that a two-sleeve structure can deliver what a straight liquidation delivered in London — without the same ending.

Fresh Capital, New Fee Streams

Should shareholders sign off on the SICAV split, the manager regains meaningful flexibility. Newer assets could be run free of the legacy overhang, a reset that may help rebuild institutional confidence over time. The firm is not waiting idle in the meantime. It has launched a global multi-sector private credit income strategy, structured as an open-ended evergreen fund and aimed at both institutional investors and private wealth clients worldwide. Management is targeting returns in the high single digits to low double digits for the vehicle. If such perpetual structures keep attracting fresh capital, they could stabilise the earnings base and reduce reliance on complex legacy funds.

Analyst Headwinds and Valuation Risk

Not everything is moving in the firm's favour. About two weeks ago, Jefferies cut its earnings-per-share forecasts for Partners Group for 2026 and 2027 by 10% and 11% respectively — a revision that reflects doubt about near-term earnings power. The bigger operational risk remains a failed vote: if Global Value SICAV investors lose faith in the continuation of the fund, calls for an orderly liquidation could surface there too, shrinking assets under management and eroding management fees. Any disposal of illiquid legacy holdings carries its own hazard, since forced sales into a difficult market can mean painful price concessions and valuation losses that damage investor trust.

The Chart Levels That Matter

The share price tells its own story of pressure. Partners Group stock closed at €639.40 on Monday, leaving it down 40% since the start of the year and just 2.6% above its 52-week low. That low sits at €623.00, and as long as it holds, the case for a bottoming-out remains intact. On the upside, the 50-day moving average at €708.18 stands as the first hurdle that would need to be cleared for any meaningful relief. A break below the support zone around the annual low, by contrast, would risk extending the broader downtrend and intensify pressure on management.

Everything now funnels toward a single milestone: the fund investors' vote on the portfolio structure. A orderly transition could lay the groundwork for calmer waters. A rejection would likely stiffen the headwinds the company already faces.