| Key Points: – TPG Rise Climate will acquire Altus Power for $5.00 per share in a $2.2 billion deal, taking the company private to accelerate clean energy expansion. – Altus Power’s Board of Directors unanimously approved the transaction, which represents a 66% premium to its October 2024 stock price and is expected to close in Q2 2025. – This acquisition aligns with TPG Rise Climate’s strategy to scale climate solutions, leveraging its expertise in clean energy infrastructure to support Altus Power’s growth. |
Altus Power, the largest owner of commercial-scale solar in the U.S., has announced that it has entered into a definitive agreement to be acquired by TPG through its TPG Rise Climate Transition Infrastructure strategy. Under the terms of the agreement, TPG will acquire Altus at $5.00 per share, valuing the company at approximately $2.2 billion, including outstanding debt. Upon completion of the transaction, Altus Power will become a privately held company.
Strategic Rationale and Market Impact
On October 15, 2024, Altus Power initiated a formal review of strategic alternatives. Today’s purchase price represents a 66% premium to Altus’ closing price on that date. The company expects this acquisition to bolster its ability to provide greater value to both commercial and Community Solar customers while expanding access to clean electric power.
“This transaction represents a pivotal moment for Altus Power,” said Gregg Felton, CEO of Altus Power. “We are incredibly excited to partner with TPG Rise Climate to continue to build our position as the leading commercial-scale provider of clean electric power to businesses and households from coast to coast. TPG Rise Climate’s deep expertise in the clean energy sector, investment-oriented mindset, and value-driven approach to infrastructure development align perfectly with our vision. This partnership strengthens our ability to serve both our Community Solar and commercial clients with clean electric power at a time when demand for power is expected to grow substantially. As a private company, Altus Power will be better positioned for continued long-term growth, which we believe will allow us to scale our operations, drive innovation, and enhance the value we deliver to our customers. Together with TPG Rise Climate, we believe we are poised to accelerate clean energy adoption and ensure more businesses and communities have access to the power they need for a sustainable future.”
Transaction Details
- The Board of Directors of Altus has unanimously approved the transaction and recommends that Altus stockholders vote to adopt the merger agreement.
- The deal is contingent upon majority approval by Class A stockholders.
- The transaction is expected to close in Q2 2025.
About TPG Rise Climate
TPG Rise Climate is the dedicated climate investing platform of TPG, a leading global alternative asset management firm. With dedicated pools of capital across private equity, transition infrastructure, and the Global South, TPG Rise Climate focuses on climate-related investments that benefit from the expertise of TPG’s investment professionals and its global network of executives, advisors, and corporate partners. As part of TPG’s $25 billion global impact investing platform, TPG Rise Climate invests broadly in the climate sector, emphasizing clean electrons, clean molecules and materials, and negative emissions.
About Altus Power
Altus Power is a leader in commercial-scale solar energy, providing clean, renewable energy solutions for businesses and communities across the U.S. The company is currently traded on the New York Stock Exchange under the ticker symbol AMPS.
