Good morning, Hubsters. Senior reporter Michael Schoeck here with the US edition of the Wire from the New York newsroom.
With a number of macro trends shaping the US power market, from data centers to climate change, it’s no surprise that power services and infrastructure companies are attractive to PE and infrastructure funds. Today we’re focusing on a utility take-private deal and two power services companies.
First we’ll look at Blackstone Infrastructure Partners’ announced acquisition of the largest New Mexico regulated utility provider.
With so much talk about a slow exit environment, next we’ll highlight a recent exit by Investcorp of a power services company that I scooped was for sale earlier this year.
And we’ll wrap up with yet another power services deal involving a Gryphon Investors portfolio company which announced an add-on of a Birmingham, Alabama electrical engineering firm.
But first up let’s check out a large utility take-private deal.
Southwest utility take-private
Yesterday, TXNM Energy announced a deal to be taken private by Blackstone Infrastructure Partners for a total enterprise value of $11.5 billion, or $61.25 per share in cash at closing.
For more details on the TXNM deal, including power assets owned by the utility, upgrade to the premium version of the Wire.
Electrification of everything
Investcorp senior managing director and head of commercial services Amit Gaind said the ‘electrification of everything’ trend, crossed with Resa Power’s employee ownership plan gains, were drivers to achieving a 4x EBITDA and revenue growth over a three-year-plus hold.
On April 29, Investcorp announced the sale of Houston-based Resa Power to Kohlberg & Company.
Read more about the PE firm’s growth strategy for the company by upgrading to the premium Wire, which includes details on its employee ownership plan.
Power services add-on
Shermco Industries, a power service company backed by Gryphon Investors, acquired R3L Engineering, a Birmingham, Alabama-based provider of electrical engineering and field services for industrial and utility customers in the Southeast.
Upgrade to the premium edition of the Wire for more details on the deal, including recent Shermco add-ons.
In another power services deal announced today, Blue Point Capital-backed Pinnacle MEP acquired Hammans Electric, an Indianapolis-based electrical contractor.
That’s a wrap for me. Keep an eye out for the Europe edition of the Wire tomorrow from Nina Lindholm, and the US edition from Rafael Canton.
Cheers,
Michael
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