Petershill Partners PLC (LSE:PHLL) reported a 3% beat on market expectations for fee-paying assets under management (FPAUM) in the second quarter of 2025, ending the period with $245 billion—well above the $238 billion consensus.
The upside was driven by earlier-than-expected fundraising activity, which had previously been projected for the second half of the year. Gross organic FPAUM rose by $12 billion in the quarter, significantly ahead of the $7 billion analysts had anticipated.
The company reaffirmed its full-year guidance for 2025, targeting $20–25 billion in gross organic fee-eligible AUM raises, $5–10 billion in realizations, and $180–210 million in partner fee-related earnings (FRE). FPAUM not yet generating fees declined to $3 billion from $4 billion in Q1, reflecting improved fee activation.
Petershill also finalized the divestment of its stake in Harvest Partners for $561 million, marking a 22% premium to the carrying value. The deal includes an initial cash payment of $140 million, with a further $421 million due one year after closing.
While the Harvest transaction is expected to reduce distributable earnings by 4–5% in 2025 and 2026, the company noted it will assess how best to allocate the proceeds. Options include pursuing new acquisitions, strengthening support for current partner firms, or returning capital to shareholders through distributions.
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