- EQT V to sell SAG Group, a leading European energy services provider, to SPIE S.A.
- SAG provides project management, engineering, installation and maintenance services to the energy infrastructure sector with a focus on power and gas transmission/distribution
- During EQT V’s ownership, SAG Group has significantly enhanced its leading market position in Germany and advanced its footprint in adjacent geographies like France and Eastern Europe
EQT V Limited (“EQT V”) has entered into an agreement to sell SAG Vermögensverwaltung GmbH (“SAG Group”, “SAG” or the “Company”) to SPIE S.A. in a transaction valuing SAG at EUR 850 million.
EQT V acquired SAG in February 2008 with a view to further accelerate growth both organically and inorganically on the back of attractive market fundamentals driven by the significant investment need into the German energy grids. Over the course of EQT’s ownership, SAG was able to significantly expand its market leadership position by way of:
- Strengthening its offering around distribution/transmission lines and substations
- Expanding its international platform in Central & Eastern Europe with acquisition of Elektrovod as well as France with acquisition of Sogetralec
- Significant investments into the company’s project controlling & governance capabilities and establishment of a new performance culture
- Appointment of Jürgen Vinkenflügel as CEO and overall strengthening of the management team and organization
The initiatives during EQT V’s ownership have resulted in sales growth by a CAGR of more than 6% and a significant staff uplift. Today, SAG has sales of over EUR 1.3 billion and more than 8,100 employees across Europe.
“SAG Group’s market position has significantly strengthened since the acquisition by EQT V. We are very proud that the joint journey now culminates in a transaction with tremendous strategic rationale that provides SAG with a good new home. We thank Jürgen and his team for their contribution to the impressive transformation the company underwent in the last years and wish them all the best for their next steps“, says Marcus Brennecke, Partner at EQT Partners, Investment Advisor to EQT V.
“We are delighted about this new chapter for our company – having celebrated SAG’s 100th birthday just a few months ago, we are now looking forward to continuing on our growth path while sustaining our industry-leading profit margins together with our new owner. On behalf of my entire team, I would like to thank EQT for the financial as well as industrial support over the last years. SAG today is in great shape to embark on the value creation journey with SPIE and we are very excited about it”, says Jürgen Vinkenflügel, CEO of SAG.
The agreement is subject to customary anti-trust clearance and the transaction is expected to close in the end of first/beginning of the second quarter of 2017.
Marcus Brennecke, Partner at EQT Partners and Investment Advisor to EQT V, +49 89 255 499 20
Kerstin Danasten, Press contact EQT, +46 8 506 553 34
EQT is a leading alternative investments firm with approximately EUR 31 billion in raised capital. EQT Funds have portfolio companies in Europe, Asia and the US with total sales of more than EUR 15 billion and approximately 100,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.
More info: www.eqtpartners.com
About SAG Group
SAG is one of the leading service and system suppliers for electrical power, gas, water, and telecommunication networks, as well as plants generating, providing, and applying energies, water, and gas. SAG has sales of over EUR 1.3 billion and more than 8,100 employees across Europe.
More info: www.sag.eu
About SPIE S.A.
As the independent European leader in multi-technical services in the areas of energy and communications, SPIE supports its customers to design, build, operate and maintain energy-efficient and environmentally-friendly facilities.
With 38,000 employees working from close to 600 sites in 38 countries, SPIE achieved in 2015 consolidated revenues of €5.3 billion and consolidated EBITA of €351 million.
More info: www.spie.com