Ardian has agreed to acquire Irish data center energy provider Energia Group from I Squared Capital, as surging demand from AI drives up power needs.
The deal values Energia at over €2.5 billion (about $2.9 billion), the Financial Times reported, and is Paris-based Ardian‘s first investment in Ireland.
Miami-based I Squared acquired Energia in 2016 for €1 billion from Bahrain-based asset manager Arcapita.
The purchase of Energia Group, which operates in energy supply and digital infrastructure, adds to Ardian’s expansion in European utilities and essential infrastructure, particularly in renewable energy. In March, the Paris-headquartered firm invested in Akuo, a French renewable energy provider.
Ardian has been investing in renewable energy since 2007, when it made its first investment in the sector by acquiring a 30% stake in two wind farms in Italy in partnership with Italian industrial group Tozzi.
European renewable energy has been at the center of PE firms’ interests in the recent years as the continent increasingly focuses on energy security.
According to PitchBook data, PE investment in European renewables has not only grown steadily over the past decade but also accelerated sharply since 2021 to reach a record high last year, with €36 billion deployed across 291 deals.
Taking into account Ardian’s takeover of Energia, Ares Management‘s €2 billion purchase of a 20% stake in Eni‘s retail and renewables business Plenitude and Sixth Street‘s deal for 38% of Italian energy firm Sorgenia at a €4 billion valuation, 2025 is on course to be a strong year for European renewable energy investment.
Featured image by Romy Arroyo Fernandez/NurPhoto via Getty Images
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