M&A: Goldman Sachs Buys Environmental Consultancy Adler & Allan, Seeks Tuck-In Sustainability Acquisitions

Goldman Sachs Alternatives has acquired Adler & Allan, and the companies are now seeking tuck-in acquisitions that have sustainability, climate transition and water expertise. Financial terms of the deal were not disclosed.

This is M&A deal number 257 that Sustainable Tech Partner has covered so far in 2024. Related: See all M&A deals involving sustainability, climate tech and green IT services listed here.

Adler & Allan, now backed by Goldman Sachs, will seek to accelerate its M&A activity "both in the UK and internationally, with a continued focus on sustainability, climate transition, and water to solidify its position as the go-to environmental services partner," the company said.

In a prepared statement, Adler & Allan CEO Henrik Pedersen said: "We are excited to join forces with Goldman Sachs, a global leader who shares the same vision for growth. This strategic partnership will enable us to expand our services and create significant value for our clients. We look forward to working together to put ESG into action for more customers in more markets."

Goldman Acquires Environmental and Sustainability Consultancy: Business Backgrounds

Adler & Allan, founded in 1926, is based in Harrogate, United Kingdom. The business has more than 1,600 employees and 2,500-plus customers. Adler & Allan serves the utilities sector. Key areas of expertise include infrastructure advice, monitoring, data and analytics, and ESG (environmental, social and governance) services.

Describing the company's vision, a statement on Adler and Allan's website points to five business priorities:

1. Proactively prevent and mitigate pollution events across all environments and contexts, placing a strong emphasis on tackling complex pollution challenges such as forever chemicals and PFAS, which are increasingly pervasive.
2. Effectively manage water resources, especially in regions with ageing water infrastructure. We aim to enhance wastewater infrastructure to prevent sewer pollution events and develop sustainable freshwater supply systems to meet rising demand.
3. Enhance biodiversity to not only bolster agricultural yields but also foster a sustainable world with a richer ecological landscape.
4. Facilitate the transition to new, clean energy sources, supporting society's journey towards Net-Zero and thereby curbing pollution.
5. Adapt and mitigate the impact of climate change, ensuring our ability to thrive in a changing climate.

Previous Acquisitions: Example Moves

Adler & Allan has M&A experience. The company in 2024 acquired:

• Water and drainage specialist Public Sewer Services (PSS).
• engineering management solutions company provider QEM Solutions; and
• Utility Line, a grid connection specialist focused on commercial electric vehicle (EV) infrastructure.

Goldman Sachs -- the global financial services firm based in New York -- has invested in numerous sustainable IT and energy transition companies. Examples include BlocPower and Divcon Controls, among many others.