EQT Infrastructure and GEH to sell GETEC to IIF
EQT and GEH to sell GETEC, one of Europe’s leading sustainable energy service companies for real estate and industrial customers, to IIF
GETEC operates more than 11,500 energy generation assets across nine European countries with more than 5.2 GWth cumulative installed capacity, saving more than 610,000 tons of CO2 annually
Since EQT acquired control in 2017, GETEC has embarked on a transformative journey, from a German and founder-focused business to a leading sustainable energy contracting solutions specialist of pan-European scale, by investing in sales and operational excellence, digital capabilities, and sustainability initiatives, as well as value accretive bolt-on acquisitions
EQT and GETEC Energie Holding (GEH, the family holding of Dr. Karl Gerhold) are pleased to announce that EQT Infrastructure III fund (“EQT Infrastructure”) and GEH have agreed to sell their respective stakes in G+E GETEC Holding GmbH (“GETEC” or the “Company”) to the Infrastructure Investments Fund (“IIF”), an investment vehicle advised by J.P. Morgan Investment Management. The agreement is subject to customary regulatory approvals and the transaction is expected to close by the end of Q1 2022.
Headquartered in Magdeburg, Germany, GETEC offers tailor-made, efficient, and sustainable energy solutions to industrial and real estate companies, designed and realized by a pool of highly qualified engineers. The Company was founded by Dr. Karl Gerhold in 1993 and today operates more than 11,500 energy generation assets across nine European countries with more than 5.2 GWth cumulative installed capacity and over 2,200 employees. Highly integrated into its customers’ operational processes, GETEC provides mission-critical services under long-term contracts.
Since welcoming EQT Infrastructure as new majority shareholder in 2017, GEH and EQT Infrastructure have jointly undertaken a series of initiatives to future-proof GETEC, driven by a new management team of seasoned executives led by CEO Thomas Wagner, and supported by a high-caliber industrial advisory board. Significant achievements include developing a best-in-class sales function, optimizing GETEC’s operations, digitalizing the plant portfolio and expanding its green solution offering.
In addition to delivering a strong organic growth track-record, with the support of EQT Infrastructure and GEH, GETEC has expanded from a German into a pan-European market leader through six large-scale M&A bolt-ons, establishing a strong foothold in Switzerland, Italy and the Netherlands.
GETEC has demonstrated its sustainability leadership through a comprehensive and well-substantiated net-zero roadmap through to 2045. Its achievements to date include tripling the share of revenues generated from renewable sources and saving more than 610,000 tons of CO2 annually for its customers.
EQT Infrastructure, GEH and the management of GETEC are confident that IIF is the right partner to continue this exceptional progress and further advance GETEC’s mission to support industrial and real estate customers throughout Europe on their decarbonization journey.
Matthias Fackler, Partner within EQT Infrastructure’s Advisory Team, said, “GETEC has been at the centre of the European energy transition since the company was founded in 1993, and we are proud to have accelerated this critical mission over the past five years. Sustainable impact requires setting ambitious and measurable targets, which have been achieved across the board. It has been a pleasure to partner with Thomas and the management team, each of whom have done a fantastic job implementing the value creation plan, building a leader with European scale, and executing an industry-leading sustainability agenda. Today, GETEC is exceptionally well positioned to continue leading and benefiting from the global focus on decarbonization, thereby setting it up to achieve superior long-term growth.”
Thomas Wagner, CEO of GETEC, added, “Through the cooperation with EQT Infrastructure and GEH, GETEC has taken a huge step towards becoming Europe's leading provider of decentralized energy services. Over the past five years, we more than doubled our revenue and assets, tripled our employee base and expanded our European presence into nine countries. With IIF, we have gained a long-term oriented owner that is highly experienced in the decentralized energy generation sector. Together, we will continue our journey of growth and decarbonization.”
Matthew LeBlanc, Chief Investment Officer for IIF said, “We are delighted to invest in GETEC, a leader in sustainable energy services and a strategic platform uniquely positioned as a catalyst for the energy transition across Europe. We are excited to build upon the unparalleled track record of growth and innovation delivered by EQT Infrastructure, Dr. Karl Gerhold and the management team and look forward to the significant additional investment opportunities to support the collective growth ambitions of GETEC’s customers, employees and communities.”
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