EQT V (“EQT”) today announced the acquisition of SAG, Europe’s leading provider of energy related infrastructure services to utilities, from Advent International.
Headquartered in Langen, Germany, SAG provides build and maintenance outsourcing services for utilities in their transmission and distribution grids. With its 5,900 employees the company generates cumulative revenues of approx. EUR 770 million. SAG is the German market leader and has international subsidiaries in France, Poland, the Czech Republic and Hungary. As Europe’s largest pure-play infrastructure services provider, SAG expects to benefit from the expected growth in Western Europe and CEE for energy related infrastructure services.
Tomas Aubell, Partner at EQT Partners, commented: “SAG has an outstanding reputation for high-quality services. It is our ambition to further leverage the tight and long-standing customer relationships with the leading utilities to enhance SAG’s position and geographical spread in a growing market environment. The company fits in well with EQT's strategy of investing in well-managed, market leading companies with growth potential."
EQT equity funds have a history of creating growth and value in the companies that are acquired. During the past 12 years, the funds have invested in 45 companies in Europe. During the period in which EQT has been owner, these companies have reported annual sales growth of 13 per cent and the number of employees has increased by a similar figure.
Michael Stadler, CEO of SAG, commented: “We are at a new stage of leveraging the positive market dynamics in Western Europe and the CEE markets. EQT’s industrial focus, financial resources and tradition of investing in growth create sound opportunities to expand the business both organically and through acquisitions. It is my conviction that the change in ownership creates the best possible conditions for SAG's employees to continue offering a high level of service and consideration to our customers ".
The sale is conditional on approval from the relevant competition authorities.
Dresdner Kleinwort acted as M&A advisor, PricewaterhouseCoopers as financial and tax advisor, P+P Pöllath + Partners as legal advisor and The Boston Consulting Group as commercial advisor to EQT. The debt financing will be provided by Commerzbank Corporates & Markets, The Royal Bank of Scotland, BNP Paribas and Intermediate Capital Group.
Contacts at EQT Partners:
Tomas Aubell, Partner, +49 (89) 25 54 99 25, firstname.lastname@example.org
Johan Hähnel, Communications & PR, +46 (70) 605 63 34, email@example.com