The energy service provider Getec is one of the largest direct marketers of green electricity in German-speaking countries.
(Photo: obs)
Frankfurt The Magdeburg energy service provider Getec has aroused the interest of international investors. KKR, Blackstone, JP Morgan Asset Management and a consortium consisting of Omers and PGGM are among those who have qualified for the second round of the ongoing sales process, according to financial circles.
The equity investment company EQT, which acquired 75 percent of Getec in 2016, put Getec up for sale a few weeks ago. In a deal, the company could be valued at around four billion euros. EQT and the bidders declined to comment.
Getec is a producer of decentralized energy and supplies heat and electricity to industrial and real estate customers such as shopping centers. The group employs more than 2000 people and currently operates more than 8000 systems for decentralized energy generation in Germany and the neighboring countries, its combined heat and power plants have a total capacity of over 5400 megawatts. Around one million people are supplied with heating, cooling and electricity, almost a third with renewable energy.
Companies in the industry are rated highly as investors look for investment opportunities in the low interest rate environment and infrastructure investments tend to generate solid returns. With Getec, investors can also acquire a company that plays a central role in the energy transition.
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In a deal, the company could be valued at around twenty times the operating result (Ebitda) of around 200 million euros. That would be roughly in line with similar deals in the sector.
The Uniper parent company Fortum sold its Baltic district heating business to the Partners Group in March for a valuation of 15 times the operating profit. Scandinavian competitor Aven recently gave JP Morgan Asset Management a rating more than 20 times that of AMP Capital / Infracapital. Finnish Nevel was sold to Ardian in 2020 for 25 times its profit.
Getec was founded in 1993 by the entrepreneur Karl Gerhold, who still holds 25 percent of the shares. With the help of the funds provided by EQT, the company has grown strongly and has taken over a number of companies, including Apleona Efficiency, BBE, EEG and the energy unit EEL.
More: Surprising turnaround in the takeover battle for Zooplus: Hellman & Friedman allies with rival EQT
