EQT to sell Pioneer for $1.1bn amid continued exit momentum

EQT has agreed to sell Japanese automotive technology company Pioneer to CarUX, a subsidiary of Taiwan-based panel supplier Innolux, for $1.1 billion. The deal, expected to close in the fourth quarter pending regulatory approvals, is the latest in a series of divestments for EQT across global markets.

Pioneer, founded in 1938, is known for its in-car sound and navigation systems. Since acquiring the company in 2019 through its BPEA Private Equity Fund VI and VII vehicles, EQT led a multi-year transformation to improve Pioneer’s financial and operational position. Initiatives included leadership changes, cost and capital discipline, and a focus on core automotive technologies.

Under EQT’s ownership, Pioneer launched a new amplifier technology platform and expanded into software-led mobility services and AI-based dash cams. The company also completed several divestments of non-core assets and withstood supply chain disruptions, including the global semiconductor shortage.

For the fiscal year ending March 2025, Pioneer reported double-digit EBITDA margins and positive free cash flow.

Pioneer CEO Shiro Yahara credited EQT with guiding the company through its recent transformation while maintaining its focus on automotive technology. “Under EQT’s ownership, Pioneer has embarked on a transformative journey — embracing innovation to lead in this new, software-defined era of mobility,” added Pioneer Board Chairperson Sanjay Dhawan, who is also a senior advisor at EQT.

Shane Predeek, partner at EQT Private Capital, said the firm believes CarUX and Innolux are well positioned to support Pioneer in its next stage of growth. “This transaction also reflects EQT’s growing momentum in Japan, where we continue to execute on our strategy of building stronger, more resilient businesses with global ambition,” he added.

Recent exit activity

EQT has notched several notable realizations across multiple sectors and regions over the past few months.

• June: EQT exited Nordic property remediation company Recover through a sale to Pangea. The exit was made from the EQT VIII fund. EQT acquired Recover in 2020 and led a transformation involving digital upgrades and the sale of non-core business units.
• May: EQT entered into a deal to sell Acumatica, a cloud-based ERP software provider, to Vista Equity Partners. The exit was made from the EQT Mid Market U.S. fund. EQT had acquired Acumatica in 2019 and scaled the platform to over 10,000 customers globally.
• April: EQT agreed to sell Karo Healthcare to KKR. The company was part of the EQT VIII fund portfolio. During EQT’s ownership, Karo expanded from a Nordic pharmaceutical firm to a pan-European consumer healthcare platform through eight acquisitions.
• April: EQT struck a deal to sell Open Systems, a Swiss cybersecurity company, to Swiss Post. The company was held in the EQT Mid Market Europe fund. EQT acquired a majority stake in 2017 and supported growth that included a near-doubling of sales and more than tripling of EBITDA.
• March: EQT agreed to sell train equipment manufacturer Dellner Couplers to Wabtec for $960 million. The business was held in the EQT VIII fund. EQT acquired Dellner in 2019 and supported its expansion as a global supplier of rail safety components.

Advisors

Deutsche Securities acted as lead financial advisor to EQT in the Pioneer transaction. BofA Securities also advised, with legal counsel provided by Morrison Foerster, White & Case, and Nagashima Ohno & Tsunematsu.