Apollo announced that funds associated with its Impact and Clean Transition strategies had acquired a majority stake in The State Group (TSG) from Blue Wolf Capital. Blue Wolf, along with existing management shareholders, will retain a minority stake in the business.
Launched in 1961, TSG is a leading provider of electrical, mechanical, robotics and automation services, with a strong presence across industrial end markets. And TSG executes complex projects at facilities from newbuild to ongoing maintenance and retrofit with decades-long customer relationships across key markets.
A major portion of the company’s work enables customers to optimize, reduce, and decarbonize their energy use, helping various industrial end markets abate future emissions. The company is essential in enabling the transition of energy through its expertise in industrial manufacturing plants and power and renewable facilities. Plus, TSG’s capabilities have clear applicability to several fast-growing end markets, including data centers, where the company supports critical technology infrastructure by providing electrical contracting services and other specialized solutions.
Apollo is a high-growth asset management firm with strategies dedicated to investing in companies that demonstrate strong environmental and social impact. Over the past five years, Apollo-managed funds have deployed about $40 billion into energy transition and sustainability-related investments, supporting companies and projects in clean energy, sustainable mobility, and infrastructure.
The financial terms of the transaction are not disclosed. And Moelis & Company served as financial advisor, and Holland & Knight and Davies Ward Phillips & Vineberg served as legal counsel for The State Group. Latham & Watkins and Blake, Cassels & Graydon acted as legal advisors to the Apollo Funds.
KEY QUOTES:
“The opportunity to leverage Apollo’s expertise and resources marks a significant milestone for the next phase of our business’ growth. 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.”
- Michael Lampert, CEO of TSG
“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. 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.”
- Christine Hommes, Partner at Apollo
