TPG Rise Climate, the climate investment arm of TPG’s global investment platform, and GIC, the Singaporean sovereign wealth fund, have announced plans to acquire the German provider of smart and sustainable building services. Techem Group for approx. 6.7 billion euros (7.4 US dollars). . billion). The deal is expected to close in the first half of 2025, with TPG Rise Climate as the lead investor and GIC as the minority partner. Founded in 1952, Techm is a provider of electrical and water management solutions in the housing sector, especially for high-end owners. This company provides services including optimization of water and heating systems, billing and monitoring of energy and water consumption. Techm operates in 18 countries, serves more than 13 million homes and manages more than 62 million digital metering units. With an annual turnover of more than 1 billion euros, Techm is positioned as a major player in the decarbonisation of the landscape sector. Materials are the largest contributor to global carbon emissions, accounting for approximately 40% of global CO2 emissions from this sector and 70% of emissions from housing.
Techm offers innovative systems aimed at measuring and reducing the carbon footprint of buildings. The company plans to expand its digital and carbon neutral services, aiming to expand its reach into new markets and enhance its existing offerings. Matthias Hartmann, CEO of Techem, expressed enthusiasm for the new partnership with TPG and GIC, highlighting their expertise in digitization and platform development. Hartmann said the partnership will accelerate Techem’s efforts to develop into a leading platform for digitalization and decarbonization of the manufacturing sector, not only in Europe, but worldwide. TPG Rise Climate was launched in 2021 with investments focused on climate solutions in areas such as clean energy and greenhouse gas reduction. The acquisition of Techm is TPG Rise Climate’s largest deal to date. According to Ed Buckley, managing partner of TPG Rise Climate in London, Techem’s technology and flexible solutions are essential to reduce energy consumption and improve the environmental performance of building materials. He also pointed to the potential to reduce greenhouse gas emissions across Europe through more energy efficiency and better management of electricity demand in buildings. Techm is being bought from its current owner, Partners Group, along with investors CDPQ and the Ontario Teachers Pension Plan.