PE Firm Acquires Majority Stake In Broker, Energy-as-a-Service Provider, Seeks To Expand Solutions Offering

Partners Group, a global private markets firm, has on behalf of its clients acquired a majority equity stake in Budderfly (or "the Company"), an Energy-as-a-Service ("EaaS") provider which also holds retail energy aggregator/broker licenses or similar licenses in various markets

Partners Group also committed further growth capital totaling more than USD 500 million.

"Partners Group aims to transform Budderfly into a multi-billion-dollar infrastructure platform by investing to expand its customer base and solutions offering," Partners Group said

"Budderfly's experienced management team has invested and partnered alongside Partners Group to capture this large market opportunity," Partners Group said

"Budderfly has seen its revenues more than double each year for the last handful of years and Partners Group aims to accelerate the Company's future growth through a number of key transformational value creation initiatives, including expanding sales capacity and execution on new site installations, broadening customer offerings, investing in software, analytics and network technologies, and making strategic acquisitions that deliver additional synergies," Partners Group said

Budderfly's solutions include automated controls, proprietary software, metering, and a patented utility billing interface and billing system. Budderfly enters into long-term contracts with customers and earns revenues through a share of the energy cost savings generated by efficiency upgrades and the management and monitoring of energy use and demand.

Budderfly has more than 2,750 customer sites across 49 states

Edison Partners, an early investor in Budderfly which will exit Budderfly under the transaction, said that, since 2017, Budderfly has grown its revenue ~250% CAGR

Edison Partners said that, "Upon closing, the transaction will deliver a strong cash return."