(Greenville, SC — November 15, 2023) Searchlight Capital Partners L.P. (“Searchlight”) today announced the closing of a single-asset continuation fund to advance its partnership with Integrated Power Services (“IPS” or the “Company”). IPS will continue to be managed by Searchlight, and the newly formed vehicle will provide IPS access to follow-on capital to support the Company’s growth. Funds managed by Goldman Sachs Asset Management were the anchor lead investors and funds managed by Neuberger Berman were the co-lead investors.
Formed in 2007 and headquartered in Greenville, South Carolina, IPS is a leading provider of aftermarket electromechanical and power management applications in North America. IPS provides a diversified base of blue-chip industrial customers with comprehensive capabilities across repair, distribution, and field services to cover the entire balance of power at a customer’s facility. Searchlight originally acquired IPS in November 2021.
“IPS plays a crucial role in keeping our industrial complex up and running,” said Eric Zinterhofer, Co-Founder of Searchlight. “Today’s transaction is important in supporting IPS’ next phase of growth, and it underscores our continued ability to provide highly attractive liquidity options to our investors, even in current market conditions.”
“During our two years of ownership, IPS has experienced tremendous growth including nearly tripling revenue to approximately $1 billion through a combination of robust organic growth and eight strategic acquisitions,” said Elliott Weinstein, Partner at Searchlight and Chairman of the Board of Directors for IPS. “As we continue our strong partnership with IPS’ management team, we expect to build upon the company’s strong performance to further IPS’ growth through a broad range of value creation opportunities.”
“With the follow-on capital available through the continuation fund, IPS is now well positioned to continue executing our growth strategy, including through acquisition,” said John Zuleger, President and CEO of IPS since 2013. “IPS has become a trusted advisor to our customers with diversified services now including power management, a vertical that is highly complementary to IPS’ existing leadership position in electromechanical services. Our team at IPS is excited to get more time working with Searchlight as we further build out our industry leading offering of services in the coming years.”
Evercore Inc. acted as the lead financial advisor along with J.P. Morgan. Latham & Watkins LLP served as legal counsel to Searchlight.
About Searchlight Capital
Searchlight is a global private investment firm with approximately $12 billion in assets under management and offices in New York, London, Miami, and Toronto. Searchlight seeks to invest in businesses in which its long-term capital and strategic support accelerate value creation for all stakeholders. For more information, please visit www.searchlightcap.com.
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About Goldman Sachs Asset Management Vintage Funds
Bringing together traditional and alternative investments, Goldman Sachs Asset Management provides clients around the world with a dedicated partnership and focus on long-term performance. As the primary investing area within Goldman Sachs (NYSE: GS), we deliver investment and advisory services for the world’s leading institutions, financial advisors and individuals, drawing from our deeply connected global network and tailored expert insights, across every region and market—overseeing more than $2.68 trillion in assets under supervision worldwide as of September 30, 2023. Driven by a passion for our clients’ performance, we seek to build long-term relationships based on conviction, sustainable outcomes, and shared success over time. Goldman Sachs Asset Management invests in the full spectrum of alternatives, including private equity, growth equity, private credit, real estate and infrastructure. Established in 1998, the Vintage Funds within Goldman Sachs Asset Management have been innovators in the secondary market and have invested over $65 billion of capital since inception. The Vintage Funds provide liquidity, capital and partnering solutions to private market investors and managers worldwide across private equity strategies. Follow us on LinkedIn.
About Neuberger Berman
Neuberger Berman, founded in 1939, is a private, independent, employee-owned investment manager. The firm manages a range of strategies—including equity, fixed income, quantitative and multi-asset class, private equity, real estate and hedge funds—on behalf of institutions, advisors and individual investors globally. Neuberger Berman’s investment philosophy is founded on active management, engaged ownership and fundamental research, including industry-leading research into material environmental, social and governance factors. Neuberger Berman is a PRI Leader, a designation awarded to fewer than 1% of investment firms. With offices in 26 countries, the firm’s diverse team has over 2,750 professionals. For nine consecutive years, Neuberger Berman has been named first or second in Pensions & Investments Best Places to Work in Money Management survey (among those with 1,000 employees or more). The firm manages $439 billion in client assets as of September 30, 2023. For more information, please visit our website at www.nb.com.
About Integrated Power Services
For more information, visit www.ips.us.