Kohler Platinum Equity has made a significant move in the energy sector by acquiring a stake in a leading renewable energy company. This strategic investment marks a major expansion of Kohler Platinum Equity's energy portfolio.
The acquisition is a key step in Kohler Platinum Equity's goal to increase its presence in the clean energy market. Kohler Platinum Equity aims to leverage its expertise in the sector to drive growth and innovation.
Kohler Platinum Equity's energy portfolio now includes a diverse range of assets, from solar and wind power to energy storage and smart grid technologies.
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Kohler Enters Energy Business
Kohler Co. is establishing its energy division as an independent business, a move that marks a significant milestone in the company's 150-year history of manufacturing power and energy systems.
The energy division will include power systems, engines, uninterruptible power systems, Clarke Energy, Curtis Instruments, and Heila Technologies.
Kohler Energy will operate as a standalone company, with Brian Melka as its CEO and David Kohler on its board of directors.
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The company expects the transaction to be finalized in Q2 2024, pending the completion of legal requirements.
Platinum Equity, a global investment firm, will become the majority owner of Kohler Energy, with Kohler Co. remaining an investment partner.
Platinum Equity has a successful track record with carve-out transactions, having acquired businesses from companies like Johnson & Johnson and Caterpillar.
The energy division is strategically positioned to continue strong performance in the global energy resilience marketplace.
Kohler Energy will focus on driving growth and expansion as a standalone company, with Platinum Equity supporting its efforts.
The deal is expected to close in mid-2024, with Platinum Equity serving as the majority investment partner in the Kohler Energy portfolio.
Kohler Co. will outsource the majority of its energy division to Platinum Equity, allowing the company to focus on its Kitchen & Bath and Hospitality businesses.
Platinum Equity has a deep understanding of the industrial products sector and a successful track record of investing in companies like Kohler Energy.
The company's energy division has been a key part of its business for over 100 years, and Kohler Co. is confident that Platinum Equity will help it reach its full potential.
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Deal Finalization and Impact
Kohler Co. and Platinum Equity have finalized the deal to make Kohler Energy an independent business, with Platinum Equity becoming the majority owner.
Platinum Equity is a global investment firm with over $48 billion in assets under management, giving them the resources to help Kohler Energy reach its full potential.
The deal positions Kohler Energy to continue strong performance in the global energy resilience marketplace, now operating as a standalone company outside of Kohler Co.
Brian Melka, a 10-year veteran of Kohler, has been elevated to CEO of the Energy business, driving growth and success in his new role.
David Kohler will continue to serve on the board of directors of Kohler Energy, ensuring a smooth transition.
Platinum Equity was selected for its deep operational expertise and successful track record with carve-out transactions, including acquisitions from Johnson & Johnson and Caterpillar.
Kohler Energy's immediate priority is ensuring a smooth transition that delivers the best experience for customers and team members worldwide.
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The deal is expected to accelerate Kohler Energy's progress in the global energy resilience industry, with Platinum Equity committed to investing in the development of innovative solutions.
Jacob Kotzubei, Co-President of Platinum Equity, has expressed excitement about reinforcing Kohler Energy's position as a leader in the industry and investing in the development of new solutions.
Brian Melka, now CEO of Kohler Energy, has stated that the decision will allow the company to better deliver on the growing demand for resilient energy.
Platinum Equity has also committed to supporting Kohler Energy's growth and expansion as a standalone company, with a focus on accelerating progress in the global energy resilience industry.
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Leadership and Portfolio
Kohler Company will be partnering with Platinum Equity, a firm that manages about $47 billion in assets, to outsource its energy division.
Platinum Equity will become the majority investment partner in the Kohler Energy portfolio, encompassing Power Systems, Engines, Home Energy, Kohler Uninterruptible Power, Clarke Energy, Curtis Instruments, and Heila Technologies.
Discover more: Kohler Energy Platinum Equity
David Kohler, Kohler Co. chair and CEO, said the decision was a “bold and strategic move for the future of our company.”
The deal is expected to close in mid-2024, and Platinum Equity was selected due to its “deep operational expertise and successful track record with carve-out transactions.”
Platinum Equity has acquired businesses from Johnson & Johnson and Caterpillar, among other companies.
The next steps include consulting with union representatives and other legal requirements.
Goldman Sachs & Co. LLC, William Blair & Company LLC, and Gibson, Dunn & Crutcher LLP will serve as financial and legal advisers for Platinum Equity.
Willkie Farr & Gallagher LLP will also work as debt financing counsel for Platinum Equity.
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Frequently Asked Questions
What does Platinum Equity do?
Platinum Equity is a global alternative asset management firm that specializes in private equity buyouts. With over 29 years of experience, the firm invests institutional capital in diverse transactions worldwide.
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