EQT Infrastructure has announced its acquisition of Scale Microgrids, a prominent developer and operator of microgrids and distributed energy resources in North America. This marks EQT's second significant investment under its Transition Infrastructure strategy within a month, utilizing capital from its balance sheet.

Scale Microgrids, based in Ridgewood, New Jersey, specializes in designing, building, financing, and operating microgrids for various sectors, including commercial, industrial, and municipal clients. The company boasts a portfolio of approximately 250 megawatts (MW) of operational and in-construction assets, with an additional 2.5 gigawatts (GW) in the pipeline. Its diverse technology offerings include solar, battery storage, natural gas generators, and fuel cells, making it one of the largest microgrid portfolios in the U.S.

This acquisition represents EQT's inaugural investment in North America as part of its newly launched Transition Infrastructure strategy, which aims to support businesses that facilitate the shift to clean energy and a circular economy. EQT had previously announced its first investment in December 2024 in ju:niz Energy, a battery storage developer.

Jan Vesely, Partner and Head of EQT Transition Infrastructure, expressed enthusiasm about the acquisition, emphasizing EQT's commitment to advancing the global energy transition and addressing the growing electricity demand in North America. He highlighted the potential for Scale Microgrids to become a leading player in the energy sector.

Ryan Goodman, CEO of Scale Microgrids, welcomed the partnership, noting that EQT's resources and expertise would help the company further its mission of providing distributed energy solutions. He acknowledged the support from previous shareholders, particularly Warburg Pincus, in reaching this milestone.

Scale Microgrids addresses critical challenges in the energy grid, such as increasing demand from data centers and fleet electrification, as well as power generation capacity constraints. The company's assets enhance grid resilience, expedite power access, and offer cost-effective solutions while supporting customers' sustainability goals.

Ryan Dalton, Managing Director at Warburg Pincus, praised Scale's impressive growth over the past five years, highlighting its strong reputation and substantial asset pipeline. He expressed confidence in Scale's future growth under EQT's stewardship.

EQT plans to leverage its extensive experience in renewable infrastructure to make strategic investments in Scale's commercial processes, software systems, and project execution capabilities. This approach aims to position Scale as a top-tier energy services provider in high-growth market segments, enabling it to manage billions of dollars in distributed generation assets.

The transaction is pending customary conditions and approvals. EQT was advised by Weil, Gotshal & Manges (legal) and Guggenheim Securities (financial), while Scale Microgrids received guidance from Latham & Watkins (legal), Nomura Greentech (financial), and Truist Securities (financial).

EQT is a global investment organization with €246 billion in total assets under management, focusing on sustainable growth and operational excellence across its portfolio. Scale Microgrids aims to deliver cleaner, more resilient power through its integrated energy solutions.