Blackstone (NYSE: BX) has successfully concluded the acquisition of Power Grid Components, Inc. ("PGC") from Shorehill Capital LLC, through private equity funds associated with Blackstone.
PGC, a prominent domestic designer and manufacturer, specializes in critical components for protection, monitoring, and safety applications in electrical substations. These substations play a crucial role in managing power flows and converting electricity into different voltages within the electrical grid. As a key supplier to the grid and a partner to major electrical utilities, PGC contributes to the global energy transition by enhancing the reliability, capacity, and safety of the grid. Additionally, PGC supports the deployment of renewable generation and broader electrification trends. Founded in 2017 by CEO Rick McClure and Shorehill Capital LLC, PGC's senior leaders, including Mr. McClure, will retain their current positions post-acquisition.
David Foley, Global Head of Blackstone Energy Transition Partners, expressed, "The acquisition of Power Grid Components aligns with our commitment to investing in companies with strong, entrepreneurial management. It perfectly fits within our investment focus on the U.S. electrical grid, complementing our recent investments in grid-related ventures like Champlain Hudson Power Express, equipment manufacturers such as Sabre, and grid software companies like Energy Exemplar."
John-Paul (JP) Munfa, Senior Managing Director at Blackstone, added, "Our investment in PGC positions us strategically to capitalize on significant growth opportunities driven by long-term trends related to grid infrastructure replacement, connecting new renewable power generation, enhancing capacity to meet rising electricity demand, and fortifying the grid for improved reliability. We eagerly anticipate collaborating with Rick and his team in this next chapter for PGC."
Rick McClure, CEO of Power Grid Components, Inc., stated, "Our leadership team is excited about partnering with Blackstone, a leader in energy transition investing. We believe Blackstone will be an exceptional strategic partner, aiding us in achieving long-term growth while continuing to provide essential components with outstanding quality, reliability, and lead times to North America’s electrical utilities."
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