EQT, a private equity firm, announced that EQT Transition Infrastructure has agreed to acquire Scale Microgrids. The transaction is subject to customary conditions and approvals.
Scale Microgrids is a vertically integrated energy company that designs, builds, finances, owns, and operates microgrids and distributed energy assets in North America.
EQT will support Scale Microgrids and its existing growth plans by investing in its commercial processes, tech platform, and project execution capabilities, enabling the company to own and operate several distributed generation assets.
EQT was advised by Weil, Gotshal & Manges (legal) and Guggenheim Securities (financial). Scale Microgrids was advised by Latham & Watkins (legal), Nomura Greentech (financial), and Truist Securities (financial).
“Today marks the start of an exciting new chapter for our company. EQT brings a depth of experience, resources, and capital that will enable us to continue pursuing our vision to power the world with distributed energy. I’m incredibly proud of what our team has built, and I believe this transaction will enable us to unlock even greater opportunities for the customers, employees, and communities we serve. We’re appreciative of our past shareholders, led by Warburg Pincus, for their support in getting us to where we are today.” Ryan Goodman, CEO of Scale Microgrids, said.
According to EQT, the acquisition will be its first North American investment in its recently launched Transition Infrastructure strategy, which aims to scale businesses that enable the transition to clean energy and a more resource-efficient, circular economy.
According to Mercom’s 9M and Q3 2024 Funding and M&A report for Energy Storage and Smart Grid, in 9M 2024, there were seven Smart Grid M&A transactions compared to eight transactions in 9M 2023.
In December, EQT Active Core Infrastructure Fund (EQT), a private equity company, and GIC, an investing company, announced the acquisition of a majority stake in Calisen, an independent provider of smart meters and energy transition infrastructure in the U.K.
