PowerGrid: Apollo Funds to Acquire Majority Stake in PowerGrid Services
Deal News | May 13, 2025 | Apollo
Apollo Global Management announced that funds managed by Apollo and partners in its hybrid strategies are set to acquire a majority stake in PowerGrid Services (PGS), which provides maintenance and construction services to electric utilities in the U.S. The deal aims to bolster PGS's growth, leveraging Apollo's platform to help expand PGS's geographical reach and support its strategic acquisitions. PGS, known for its reliability and safety-first culture, serves essential roles in grid modernization and resilience in over 35 states. This partnership will enable PGS to meet the increasing demand for power and infrastructure improvement across the country. The Sterling Group, a previous investor, has worked with PGS since 2021 and tripled the company's size. J.P. Morgan Securities and Paul, Weiss, Rifkind, Wharton & Garrison advised Apollo, while Lincoln International and Kirkland & Ellis advised PGS.
Sectors
- Utilities
- Private Equity
- Industrial Services
Geography
- United States – PGS operates across 35 states in the U.S. Apollo and Sterling Group are known for their operations within the U.S. market.
- New York – Apollo Global Management is headquartered in New York, and the announcement was made from there.
- Alabama – PowerGrid Services is based in Hartselle, Alabama, indicating its geographic base of operations.
Industry
- Utilities – Relevant as PowerGrid Services provides maintenance and construction services to electric utilities.
- Private Equity – Apollo and The Sterling Group are private equity firms involved in the transaction, showcasing investments in industrial services.
- Industrial Services – PGS operates within this sector, offering essential services for maintenance and infrastructure support in power utilities.
Financials
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| PowerGrid Services | Target Company | Company | A leading provider of maintenance and construction services to electric utilities. |
| Apollo Global Management | Bidding Company | Company | A global alternative asset manager, acquiring a majority stake in PGS. |
| The Sterling Group | Selling Company | Company | A private equity firm, existing investor of PGS. |
| Craig Horton | Partner | Person | Partner at Apollo, involved in the transaction. |
| Quentin Gillette | CEO | Person | CEO of PowerGrid Services. |
| Beth Gillette | Board Member and Strategic Advisor | Person | Board Member and Strategic Advisor of PowerGrid Services. |
| Kent Wallace | Partner | Person | Partner at The Sterling Group. |
| J.P. Morgan Securities LLC | Financial Advisor | Company | Acted as financial advisor to Apollo on the transaction. |
| Paul, Weiss, Rifkind, Wharton & Garrison LLP | Legal Advisor | Company | Served as legal counsel to Apollo. |
| Lincoln International | Financial Advisor | Company | Advised PGS and The Sterling Group. |
| Kirkland & Ellis LLP | Legal Advisor | Company | Provided legal advice to PGS and its shareholders. |