M&A Deal Summary

DG Energy Solutions Acquires RealEnergy

On September 10, 2004, DG Energy Solutions acquired energy services and equipment company RealEnergy from GFI Energy Ventures and Oaktree Capital Management

Acquisition Highlights
  • This is DG Energy Solutions’ 1st transaction in the Energy Services and Equipment sector.
  • This is DG Energy Solutions’ 1st transaction in the United States.
  • This is DG Energy Solutions’ 1st transaction in California.

M&A Deal Summary

Date 2004-09-10
Target RealEnergy
Sector Energy Services and Equipment
Buyer(s) DG Energy Solutions
Sellers(s) GFI Energy Ventures
Oaktree Capital Management
Deal Type Add-on Acquisition
Advisor(s) Harris Williams (Financial)

Target

RealEnergy

Yountville, California, United States
RealEnergy, Inc. is an installed, owned, and operated on-site generation equipment/systems in Class A commercial office buildings.

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Buyer(S) 1

Buyer

DG Energy Solutions

Albuquerque, New Mexico, United States

Category Company
Founded 2002
Sector Energy Services and Equipment
DESCRIPTION

DG Energy Solutions, LLC was established in 2002 to develop, acquire, own, and operate commercial and industrial cogeneration, biomass, and district energy systems. DG currently owns and operates 11 plants with a net capacity of approximately 32 MW. DG focuses on regions where there is both a high overall cost of electricity as well as a high distribution/transmission component to the electrical charge.


DEAL STATS #
Overall 1 of 1
Sector: Energy Services and Equipment M&A 1 of 1
Type: Add-on Acquisition M&A Deals 1 of 1
State: California M&A 1 of 1
Country: United States M&A 1 of 1
Year: 2004 M&A 1 of 1

Seller(S) 2

SELLER

GFI Energy Ventures

Los Angeles, California, United States

Category Private Equity Firm
Founded 1995
PE ASSETS 1.8B USD
Size Large
Type Sector Focused
DESCRIPTION

GFI Energy Ventures is a specialist private investment firm focused on businesses surrounding the energy industry. GFI generally looks to acquire a controlling or significant interest in private companies or business units of public companies. Energy sub-sectors of interest include power quality/power conversion; energy measurement and control; transmission and distribution optimization; and information systems/transaction support. GFI seeks opportunities with at least $50 million in revenue and valued up to $500 million. The Firm will not invest in start-ups, turnarounds, unproven technology, or investments requiring less than $30 million of equity capital. GFI Energy Ventures was formed in 1995 and is based in Los Angeles, California. GFI Energy Ventures was acquired by Oaktree Capital Management in 2009.


DEAL STATS #
Overall 7 of 30
Sector: Energy Services and Equipment M&A 1 of 5
Type: Add-on Acquisition M&A Deals 4 of 18
State: California M&A 2 of 3
Country: United States M&A 6 of 28
Year: 2004 M&A 4 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2004-05-07 InfraSource Services

Media, Pennsylvania, United States

InfraSource Services, Inc. is a provider of infrastructure services to the electric, gas and telecommunications industries.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2004-10-19 SPL WorldGroup

San Francisco, California, United States

SPL WorldGroup, Inc. is a provider of customer management solutions to the energy and service related industries in regulated and competitive markets worldwide.

Buy -
SELLER

Oaktree Capital Management

Investor Investor Investor Investor Investor


Category Asset Manager
Founded 1995
PE ASSETS 26.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Oaktree Capital Management LLP is a global alternative investment firm with a variety of investment strategies spanning corporate debt, convertible securities, distressed debt, control investing, real estate, and public investing. The Firm's control investing group is spread across several disciplines, including Global Principal, European Principal, Power, and Infrastructure. Oaktree was formed in 1995 and is based in Los Angeles.


DEAL STATS #
Overall 7 of 90
Sector: Energy Services and Equipment M&A 1 of 5
Type: Add-on Acquisition M&A Deals 4 of 39
State: California M&A 2 of 12
Country: United States M&A 6 of 59
Year: 2004 M&A 4 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2004-05-07 InfraSource Services

Media, Pennsylvania, United States

InfraSource Services, Inc. is a provider of infrastructure services to the electric, gas and telecommunications industries.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2004-09-22 Bristol Farms

Carson, California, United States

Bristol Farms, Inc. is a grocery retailer of gourmet, organic, and natural foods.

Buy -