Merger & acquisition (M&A) activity within and across the sustainability market remained strong in July 2023. Indeed, Sustainable Tech Partner tracked 27 M&A deals involving renewable energy and sustainable technology companies during the month.
Related - Search our Database: All M&A deals involving sustainability, green IT and renewable energy in 2023.
Buyers, sellers and investors in July included ESG (environmental, social and governance) consulting companies, renewable energy firms, software providers, technology businesses, private equity firms and plenty more. Still, buyers and investors rarely disclosed deal valuations -- so it's difficult to pinpoint the overall health and investor interest in the sector.
For some context, here's a look at each of the 27 M&A deals that we spotted in July 2023:
1. Altus Power Acquired Solar Assets: Altus Power has acquired approximately 4.4 megawatts (MW) of operating solar assets in Southern California from private equity firm Apollo. The acquired portfolio includes rooftop, carport and ground-mounted solar arrays that will deliver power under long-term contracts to HP Inc., Keysight Technologies and a local municipality. These assets add to the approximately 112 MW Altus Power currently owns and operates in California, the buyer said. Financial terms of the deal were not disclosed.
2. ArcLight Capital Partners Acquired Certain Duke Energy Solar Assets: ArcLight Capital Partners is acquiring Duke Energy's commercial distributed generation business for $364 million. The deal includes REC Solar operating assets, development pipeline and O&M portfolio, as well as distributed fuel cell projects managed by Bloom Energy, the companies said.
3. Buckeye Partners, backed by IFM Global Infrastructure Fund, acquired Elysian Carbon Management from EnCap Flatrock Midstream. Elysian provides integrated end-to-end carbon capture and storage (“CCS”) solutions to industrial, power and similar facilities seeking to transition to lower carbon products, the buyer said. Financial terms of the deal were not disclosed.
4. Carlyle Acquired Anthesis: Global Investment firm Carlyle (NASDAQ: CG) today announced that it has agreed to acquire a majority stake in Anthesis, a leading global pure-play sustainability advisory and solutions firm. Carlyle will be investing alongside Anthesis’ employee shareholders, with existing shareholder, Palatine, reinvesting for a minority stake. Details of the transaction are not being disclosed.
5. Chroma Energy Group Acquired Efficient Energy: The acquired business provides engineering, procurement, and construction services for general and electrical contracting projects in the Southeast.
6. DNV Acquired Enviroguide Consulting: Enviroguide Consulting provides environmental and sustainability consultancy services including ecology, environmental impact assessment, environmental compliance, environmental liability and risk management, sustainability strategy and waste management consulting.
7. EcoOnline Acquired Ecometrica: EcoOnline, an EHS and ESG software provider, signed an agreement to acquire Ecometrica, a global ESG and Sustainability software provider.
8. Egis Acquired McIntosh Perry: With a team of 800 engineers, project managers, and technicians spread across 21 offices in North America, McIntosh Perry will act as the North American platform for Egis. The complementary service offerings of both companies will facilitate remarkable growth and strong presence in the region. Together, they will provide comprehensive end to end engineering solutions to clients, emphasizing sustainability and innovation, at every stage of the project lifecycle
9. EMCOR Group Acquired ECM Holding Group: EMCOR Group is a Fortune 500 company focused on mechanical and electrical construction services, industrial and energy infrastructure and building services. ECM is a leading national provider of energy efficiency retrofit services, with specific business units dedicated to offering a variety of HVAC, lighting, water, weatherization, and airflow management solutions.
10. EverWind Fuels Acquired Wind Farms: EverWind Fuels, which runs a large-scale green hydrogen project in Canada, has acquired three wind farm development projects in Nova Scotia. The wind farms, which represent 530MW of anticipated power, will be developed and built in partnership with Renewable Energy Systems.
11. ExxonMobil Acquiring Denbury: The acquired business develops carbon capture, utilization and storage (CCS) solutions, and enhanced oil recovery technologies. The purchase price: $4.9 billion in stock. PS: We know this doesn't qualify as a green purchase, but it does involve carbon capture technology.
12. GridBeyond Acquired Veritone Energy Business: The acquired business was founded in 2019 with a mission to help organizations capitalize on opportunities of the digital and energy transitions by leveraging the power of AI. The company rapidly gained industry recognition for its innovative approach to energy management and within a few years established its reputation as a leader in the field of market forecasting and distributed energy resource (DER) management on North America, the buyer said.
13. J.F. Lehman & Co Acquired Heritage-Crystal Clean Inc: Private equity firm J.F. Lehman & Company (JFLCO), has acquired Heritage-Crystal Clean, a provider of parts cleaning, hazardous and non-hazardous waste services, used oil re-refining, antifreeze recycling, industrial and field services, and emergency and spill response services. The all-cash transaction values Crystal Clean at approximately $1.2 billion.
14. Johnson Controls acquired FM:Systems: The acquired business provides digital workplace management and Internet of Things (IoT) solutions for facilities and real estate professionals. The base purchase price is $455 million, plus potential earn-out incentives.
15. KAB Energy Holdings Acquired MSSB: KAB Energy Holdings, a subsidiary of energy and engineering solutions provider Kinergy Advancement Berhad, has acquired Matahari Suria Sdn. Bhd. (MSSB). The acquired business owns a solar power system on the rooftop of Universiti Teknologi Malaysia Kuala Lumpur.
16. LRS Acquired Environmental Recycling & Disposal: Lakeshore Recycling Systems (LRS) — The leading Midwest independent waste, recycling and portable services provider — announced today the acquisition of Environmental Recycling & Disposal (Environmental) and Moen Transfer Station, a family-owned and operated business servicing the disposal needs of Will County, IL for over 25 years.
17. LyondellBasell Acquired 50% of Striphout Industries: LyondellBasell has acquired a 50% stake in Stiphout Industries, which sources and processes post-consumer plastic packaging waste. The company operates a facility located in Montfort, the Netherlands, with an annual processing capacity equivalent to the amount of plastic packaging waste generated by over 500,000 Dutch citizens per year. Financial terms of the deal were not disclosed.
18. Mitsubishi Heavy Industries (MHI) Acquired Concentric: The acquired business provides power systems for data centers, telecom companies, utilities and mission-critical infrastructure. Both companies focus heavily on sustainable power solutions. Financial terms were not disclosed.
19. Oaktree Capital Management Acquired Energy Systems Group: ESG is a sustainable energy solutions provider that specializes in energy efficiency, sustainability, resiliency, and infrastructure improvement solutions in the government, education, healthcare, commercial, and industrial sectors. ESG also offers a full range of sustainable infrastructure solutions including waste-to-energy, distributed generation, and renewable energy.
20. PVcase Acquired Solar Siting Specialist Anderson Optimization. The result: European solar site developers will be able to cut their project design process from weeks to roughly 20 minutes, PVcase said.
21. Rennie Advisory Acquired Conversio: Rennie helps organizations across many different industries navigate and optimize their transition to a net zero, sustainable future. Conversio Pty Ltd provides a range of carbon accounting and energy related-services, ranging from baseline assessments, carbon management, to carbon neutrality and Airport Carbon Accreditation.
22. RSK Acquired PD&MS: PD&MS, a specialist engineering services company operating within the energy transition, conventional energy, low carbon and renewables sectors, has been acquired by RSK, a global leader in the delivery of sustainable solutions.
23. RSK Acquired Kirton Water Treatment Services: RSK, which specializes in the delivery of sustainable solutions, announced the acquisition of a clean water technology company, Kirton Water Treatment Services.
24. Ryse Energy Acquired Primus Wind Power: The strategic acquisition solidifies Ryse Energy’s position as the most diverse small wind turbine technology player globally, opens doors to new North American opportunities and fast-tracks American manufactured Ryse Energy wind turbines, the buyer said.
25. Sustainable Manufacturing - Private Equity Funds M&A: BBB Industries, a sustainable manufacturer backed by private equity firm Clearlake Capital Group, acquired Hydraulex, a provider of hydraulic solutions serving the industrial aftermarket. Financial terms of the deal were not announced.
26. Schneider Electric Set to Acquire Atos Group's EcoAct SAS Business: Schneider Electric is negotiating to acquire Atos Group's EcoAct SAS business -- which offers climate consulting and net-zero solutions. The business unit, featuring roughly 400 employees, generated revenue of roughly €70 million (US$76.17 million) in 2022. The proposed deal does not include Atos’ digital Net Zero Transformation practice (part of Eviden business).
27. Technip Energies Acquired Processium: Technip acquired Processium to "Accelerate on Technology Development for a Net Zero Trajectory," the buyer said.
Did we overlook or omit an M&A deal? If so, please email me the details. And don't forget to check our M&A database -- which we update regularly.
