Apollo Funds Acquire Majority Stake in The State Group, A Leading Provider of Multi-Trade Services
Apollo (NYSE: APO) has announced that its Impact and Clean Transition funds have acquired a majority stake in The State Group (TSG), a leading provider of electrical, mechanical, robotics, and automation services. Blue Wolf Capital will retain a minority stake alongside existing management shareholders. TSG, established in 1961, specializes in complex projects from newbuild to maintenance, helping customers optimize and decarbonize energy use. The company supports critical technology infrastructure in growing markets, including data centers. The transaction's financial terms were not disclosed.
Apollo (NYSE: APO) ha annunciato che i suoi fondi Impact e Clean Transition hanno acquisito una partecipazione di maggioranza in The State Group (TSG), un fornitore leader di servizi elettrici, meccanici, robotica e automazione. Blue Wolf Capital manterrà una partecipazione di minoranza insieme agli attuali azionisti della gestione. TSG, fondata nel 1961, è specializzata in progetti complessi, dalla costruzione alla manutenzione, aiutando i clienti a ottimizzare e decarbonizzare l'uso dell'energia. L'azienda supporta le infrastrutture tecnologiche critiche in mercati in crescita, inclusi i data center. I termini finanziari della transazione non sono stati divulgati.
Apollo (NYSE: APO) ha anunciado que sus fondos Impact y Clean Transition han adquirido una participación mayoritaria en The State Group (TSG), un proveedor líder de servicios eléctricos, mecánicos, robótica y automatización. Blue Wolf Capital retendrá una participación minoritaria junto con los accionistas actuales de la dirección. TSG, fundada en 1961, se especializa en proyectos complejos, desde la construcción hasta el mantenimiento, ayudando a los clientes a optimizar y descarbonizar el uso de energía. La empresa apoya la infraestructura tecnológica crítica en mercados en crecimiento, incluidos los centros de datos. Los términos financieros de la transacción no se han divulgado.
아폴로 (NYSE: APO)는 그들의 Impact 및 Clean Transition 펀드가 더 스테이트 그룹 (TSG)의 다수 지분을 인수했다고 발표했습니다. TSG는 전기, 기계, 로봇 및 자동화 서비스의 선도적인 제공업체입니다. 블루 울프 캐피탈은 기존 경영 주주와 함께 소수 지분을 유지하게 됩니다. TSG는 1961년에 설립되어 신축부터 유지보수에 이르는 복잡한 프로젝트를 전문으로 하며, 고객이 에너지 사용을 최적화하고 탈탄소화하는 데 도움을 줍니다. 이 회사는 데이터 센터를 포함한 성장 시장에서 중요한 기술 인프라를 지원합니다. 거래의 재무 조건은 공개되지 않았습니다.
Apollo (NYSE: APO) a annoncé que ses fonds Impact et Clean Transition avaient acquis une participation majoritaire dans The State Group (TSG), un fournisseur leader de services électriques, mécaniques, robotiques et d'automatisation. Blue Wolf Capital conservera une participation minoritaire aux côtés des actionnaires de la direction existants. TSG, fondée en 1961, se spécialise dans des projets complexes, de la construction à la maintenance, aidant les clients à optimiser et décarboniser l'utilisation de l'énergie. L'entreprise soutient l'infrastructure technologique critique sur des marchés en croissance, y compris les centres de données. Les conditions financières de la transaction n'ont pas été divulguées.
Apollo (NYSE: APO) hat angekündigt, dass seine Impact- und Clean Transition-Fonds eine Mehrheitsbeteiligung an The State Group (TSG), einem führenden Anbieter von elektrischen, mechanischen, robotergestützten und Automatisierungsdiensten, erworben haben. Blue Wolf Capital wird eine Minderheitsbeteiligung neben den bestehenden Managementaktionären halten. TSG, gegründet im Jahr 1961, ist auf komplexe Projekte vom Neubau bis zur Wartung spezialisiert und hilft seinen Kunden, den Energieverbrauch zu optimieren und zu dekarbonisieren. Das Unternehmen unterstützt kritische Technologieinfrastrukturen in wachsenden Märkten, einschließlich Rechenzentren. Die finanziellen Einzelheiten der Transaktion wurden nicht bekannt gegeben.
- Acquisition expands Apollo's presence in clean energy and sustainability sector
- TSG has established long-term customer relationships in industrial markets
- Company positioned in high-growth markets including data centers
- Strategic alignment with Apollo's energy transition investment focus
- None.
Insights
The acquisition of The State Group (TSG) by Apollo Funds represents a strategic expansion into the industrial services sector with significant growth potential. TSG's expertise in electrical, mechanical and automation services positions it well in high-growth markets, particularly data centers and renewable energy infrastructure. The deal leverages Apollo's
The retention of Blue Wolf Capital as a minority stakeholder and existing management suggests operational continuity and confidence in the business model. While financial terms weren't disclosed, TSG's decades-long customer relationships and specialized capabilities in energy optimization present strong recurring revenue potential and margin expansion opportunities in the industrial decarbonization trend.
TSG's strategic positioning in the energy transition sector is particularly noteworthy. Their capabilities in helping industrial clients optimize and reduce energy consumption directly addresses the growing demand for decarbonization solutions. The company's expertise spans critical areas including power facilities, renewable installations and industrial manufacturing plants - all key components of the clean energy transition.
The backing of Apollo's Impact and Clean Transition strategies should accelerate TSG's ability to scale their sustainable solutions. With industrial sectors under increasing pressure to reduce emissions, TSG's services in energy efficiency and automation are well-aligned with long-term market trends in industrial decarbonization.
NEW YORK, Nov. 18, 2024 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) today announced that funds associated with its Impact and Clean Transition strategies (the “Apollo Funds”) have acquired a majority stake in The State Group (“TSG” or the “Company”) from Blue Wolf Capital (“Blue Wolf”). Blue Wolf will retain a minority stake in the business, alongside existing management shareholders.
Established in 1961, TSG is a leading provider of electrical, mechanical, robotics and automation services, with a strong presence across industrial end markets. TSG executes complex projects at facilities from newbuild to ongoing maintenance and retrofit with decades-long customer relationships across key markets. A substantial portion of the Company’s work enables customers to optimize, reduce and decarbonize their energy use, helping a wide range of industrial end markets abate future emissions. The Company plays an important role in enabling the energy transition through its expertise in industrial manufacturing plants as well as power and renewable facilities. TSG’s capabilities have clear applicability to a number of fast-growing end markets, including data centers, where the Company supports critical technology infrastructure by providing electrical contracting services and other specialized solutions.
“The opportunity to leverage Apollo’s expertise and resources marks a significant milestone for the next phase of our business’ growth,” said Michael Lampert, CEO of TSG. “The partnership with Apollo positions us well to enhance our capabilities and meet the evolving needs of our customers as they scale and optimize their North American operations.”
“TSG has a proven track record of providing quality and reliable service to its industrial customers, with a key role to play in driving energy efficiency and the energy transition,” said Christine Hommes, Partner at Apollo. “Our organizations have a shared vision for the continued growth of the business, and we are excited to partner with Michael and the broader team as they strengthen and expand their offerings.”
Apollo is a high-growth asset management firm with strategies dedicated to investing in companies that demonstrate strong environmental and social impact. Apollo-managed funds have deployed approximately
Financial terms of the transaction are not disclosed. Moelis & Company served as financial advisor, and Holland & Knight LLP and Davies Ward Phillips & Vineberg LLP served as legal counsel for The State Group. Latham & Watkins LLP and Blake, Cassels & Graydon LLP acted as legal advisors to the Apollo Funds.
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i As of June 30, 2024. Deployment commensurate with Apollo’s proprietary Climate and Transition Investment Framework, which provides guidelines and metrics with respect to the definition of a climate or transition investment. Reflects (a) for equity investments: (i) total enterprise value at time of signed commitment for initial equity commitments; (ii) additional capital contributions from Apollo funds and co-invest vehicles for follow-on equity investments; and (iii) contractual commitments of Apollo funds and co-invest vehicles at the time of initial commitment for preferred equity investments; (b) for debt investments: (i) total facility size for Apollo originated debt, warehouse facilities, or fund financings; (ii) purchase price on the settlement date for private non-traded debt; (iii) increases in maximum exposure on a period-over-period basis for publicly-traded debt; (iv) total capital organized on the settlement date for syndicated debt; and (v) contractual commitments of Apollo funds and co-invest vehicles as of the closing date for real estate debt; (c) for SPACs, the total sponsor equity and capital organized as of the respective announcement dates; (d) for platform acquisitions, the purchase price on the signed commitment date; and (e) for platform originations, the gross origination value on the origination date.
About Apollo
Apollo is a high-growth, global alternative asset manager. In our asset management business, we seek to provide our clients excess return at every point along the risk-reward spectrum from investment grade to private equity with a focus on three investing strategies: yield, hybrid, and equity. For more than three decades, our investing expertise across our fully integrated platform has served the financial return needs of our clients and provided businesses with innovative capital solutions for growth. Through Athene, our retirement services business, we specialize in helping clients achieve financial security by providing a suite of retirement savings products and acting as a solutions provider to institutions. Our patient, creative, and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees, and the communities we impact, to expand opportunity and achieve positive outcomes. As of September 30, 2024, Apollo had approximately
About The State Group
The State Group is one of North America’s leading multi-trade industrial and specialty services contractor, providing electrical, mechanical, millwrighting, robotics and automation services to diverse industries. Headquartered in Franklin, TN, The State Group has offices across Canada and the United States and has built long-term relationships with Fortune 100 companies, property managers and original equipment suppliers who look to The State Group to complete complex building, manufacturing and engineering projects while staying on schedule and within budget.
Apollo Contacts
Noah Gunn
Global Head of Investor Relations
Apollo Global Management, Inc.
(212) 822-0540
IR@apollo.com
Joanna Rose
Global Head of Corporate Communications
Apollo Global Management, Inc.
(212) 822-0491
Communications@apollo.com
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