Buyout deal activity in the energy sector remains steady and stable over the past five years

  • Partners Group, the Swiss-headquartered private markets firm with AUM of $149bn, has acquired Eteck, a Dutch provider of sustainable, decentralized heating and cooling solutions.

  • Eteck will be acquired from Infracapital, the infrastructure equity investment arm of M&G Plc, which acquired a 60% stake for €70.0mn ($76.0mn) in the company in July 2017, and other minority shareholders.

  • Partners Group plans to transform the company into a decentralized energy solutions platform, and will look to drive value through organic growth, diversifying the product/solutions portfolio, digitization, and international expansion.

  • ‘We identified Eteck through our thematic investing approach and were attracted by the company's strong competitive position, as well as its growth prospects,’ said David Daum, Partner and Head of Infrastructure Europe at Partners Group. ‘The sustainable heating and cooling solutions market is at an inflection point, with demand driven by ambitious decarbonization targets across Europe.’

July 24, 2024 (Preqin News) – Over a third of energy & utilities industry buyouts in the last five years were in the manufacturing vertical (39.4%), with the next biggest number in clean technology (29.2%), followed by infrastructure (13.4%), and Internet of Things (4.0%).

Since 2019 there have been 1,897 buyouts in the energy & utilities sector, around 350 deals per year. So far, 158 deals have been announced in 2024, meaning this year is lagging slightly behind average.

Partners Group previously took a $400mn majority stake in Sunsure Energy, a builder of solar energy assets, in November 2022, and acquired DiversiTech, an air conditioning manufacturer, from Permira in November 2021.

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