What's Market: Management Equity Plans in Australia for financial sponsors

25 August 2026

As private equity sponsors continue to focus on alignment, retention and value creation, management equity plans remain a critical component of deal structuring.

Our latest What's Market analysis explores prevailing market practice across Australian MEPs, covering economics, vesting, leavers and exit arrangements, alongside the implications of Australia's new capital gains tax regime.

The briefing explores:

• The growing use of ratchet-based LTIP structures and evolving incentive design.
• Market standards for vesting and leaver treatment.
• Key considerations for drag, tag and continuation vehicle transactions.
• Potential responses to recent CGT reforms.

Whether you're a sponsor, manager or adviser, this briefing provides practical insights into one of the most important aspects of private equity dealmaking.

Download PDF