EQT Acquires Scale Microgrids to Accelerate Growth in Distributed Energy and Clean Energy Transition

EQT Acquires Scale Microgrids to Accelerate Growth in Distributed Energy and Clean Energy Transition

(IN BRIEF) EQT Transition Infrastructure has acquired Scale Microgrids, a leading energy company that designs, develops, finances, and operates microgrids and distributed energy assets in North America. This investment marks EQT’s second significant thematic acquisition in the past month. Scale, with a portfolio of 250 MW of operating assets and a 2.5 GW pipeline, will benefit from EQT’s resources and capital to enhance its growth and operations. The acquisition is expected to accelerate Scale’s position as a market leader in the clean energy transition. The transaction is still subject to regulatory approval.

(PRESS RELEASE) LONDON, 10-Jan-2025 — /EuropaWire/ — EQT Transition Infrastructure has announced the acquisition of Scale Microgrids, a leading vertically integrated energy company specializing in the design, development, financing, ownership, and operation of microgrids and distributed energy assets across North America. This strategic investment marks EQT’s second significant thematic move within a month, as part of its ongoing efforts to support the transition to a cleaner, more resource-efficient energy system. Scale Microgrids will be bolstered by EQT’s expertise, capital, and resources, which will support the company’s growth in its quest to revolutionize the energy landscape.

Scale Microgrids, headquartered in Ridgewood, New Jersey, has developed a large portfolio of approximately 250 MW of operational and in-construction assets, with an additional 2.5 GW pipeline in the near term. The company deploys an array of energy technologies including solar, battery storage, fuel cells, natural gas generators, and combined heat and power systems, making it one of the largest microgrid portfolios in the U.S. This acquisition is the first North American investment by EQT’s Transition Infrastructure strategy, which focuses on scaling businesses that enable the transition to clean energy.

Jan Vesely, Partner and Head of EQT Transition Infrastructure, expressed excitement about the potential for Scale’s growth under EQT’s ownership. “We are committed to driving the global energy transition and supporting a decarbonized, climate-resilient future. Scale represents an enormous opportunity to accelerate growth and position itself as a leader in the energy sector,” Vesely remarked.

Ryan Goodman, CEO of Scale Microgrids, added, “We’re excited about this new chapter with EQT. Their expertise and resources will help us expand our mission to power the world with distributed energy. We are grateful to our previous investors, including Warburg Pincus, for their support in reaching this point.”

The deal addresses some of today’s most critical challenges in the energy grid, including power generation constraints, rapid load growth, and frequent grid outages. Scale’s assets enhance the resilience of power systems, reduce dependence on grid power, and support customers in achieving their decarbonization goals.

Ryan Dalton, Managing Director at Warburg Pincus, noted the company’s rapid growth and strong reputation within the sector. He expressed confidence that Scale’s continued success will be bolstered by its new partnership with EQT.

The acquisition is set to transform Scale Microgrids into a market-leading energy services provider. EQT will focus on strengthening Scale’s commercial processes, software systems, and project execution capabilities, allowing the company to own and operate billions of dollars in distributed generation assets.

The transaction is still subject to customary regulatory approvals and conditions.

EQT was advised by Weil, Gotshal & Manges (legal) and Guggenheim Securities (financial), while Scale Microgrids received advice from Latham & Watkins (legal), Nomura Greentech (financial), and Truist Securities (financial).

About EQT

EQT is a purpose-driven global investment organization with EUR 246 billion in total assets under management (EUR 134 billion in fee-generating assets under management), divided into two business segments: Private Capital and Real Assets. EQT owns portfolio companies and assets in Europe, Asia Pacific, and the Americas and supports them in achieving sustainable growth, operational excellence, and market leadership.

More info: www.eqtgroup.com
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About Scale Microgrids

Scale is a vertically-integrated energy company that designs, builds, finances, owns, and operates distributed energy assets that deliver cheaper, cleaner, and more resilient power. Their team accelerates growth in distributed energy by providing financing to project developers, while also directly helping large energy-consuming customers take charge of their energy supply with microgrids that integrate solar, batteries, and other on-site energy assets. Learn more at www.scalemicrogrids.com.

Media Contacts:

EQT Press Office:
press@eqtpartners.com

Warburg Pincus Press Office:
Sarah Bloom
Sarah.bloom@warburgpincus.com

Scale Microgrids Press Office:
Nicole Green
ngreen@scalemicrogrids.com

SOURCE: EQT