Global asset manager Brookfield has agreed to a 50/50 joint venture investment alongside Pacific Equity Partners’ (PEP) Secure Assets Fund in Intellihub Group, the smart utility infrastructure-as-a-service company.
Brookfield will acquire Landis+Gyr’s interest in Intellihub, with the company being jointly owned by Brookfield Infrastructure and PEP once the transaction is finalised.
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Intellihub CEO Wes Ballantine said, “This is a transformational transaction for Intellihub that will drive our continued leadership in the smart metering and data intelligence market.
“Smart meters are playing a crucial role in the rapid digitisation and decarbonisation of energy markets.
“Record levels of rooftop solar and predicted increases in batteries, load control, electric vehicles and other behind the meter services are driving significant demand for smart metering and data solutions.
“As a result, Intellihub is well positioned to play a key role in Australia and New Zealand’s energy transition over coming years.
“Intellihub’s new strategic relationship with Brookfield will provide additional access to expertise and capital to keep Intellihub at the forefront of Australia’s energy transition as a service provider and innovator,” Ballantine said.
Brookfield managing director of infrastructure Ray Neill said, “We see Intellihub as a highly complementary business to our local and global utility infrastructure investments. We are delighted to become co-owners with PEP in a business that plays a key role in our increasingly complex and digitised energy markets.”
Pacific Equity Partners managing director Evan Hattersley said, “We believe this is an excellent outcome for all parties and are pleased to retain a meaningful exposure to the fast-growing Australasian market for smart energy management as co-investors alongside a global partner in Brookfield.
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“Intellihub will benefit from Brookfield’s global expertise and its complementary and growing investments in the Australasian energy and infrastructure sectors.”
The transactions / asset transfers are expected to close by end of April. Credit Suisse and Barrenjoey Capital Partners acted as Financial Advisers to Intellihub; Herbert Smith Freehills and Clayton Utz acted as Legal Advisers to Intellihub.