Blackstone to Acquire Shermco for $1.6B in Electrical Equipment Services Deal.

Blackstone is set to acquire Shermco, a provider of electrical equipment services, from Gryphon for approximately $1.6B. Shermco offers full life-cycle services, including maintenance, repair, testing, and commissioning. This acquisition is expected to expand Blackstone's presence in the electrical equipment services market.

New York, NY – July 2, 2025 – Blackstone (NYSE: BX) has announced that private equity funds affiliated with the firm have entered into a definitive agreement to acquire Shermco, a leading provider of full life-cycle electrical equipment services, from Gryphon Investors for approximately $1.6 billion [1]. Shermco, founded in 1974, offers comprehensive electrical system maintenance, repair, testing, commissioning, and design services, with over 600 NETA technicians and 200 engineers across 40 service centers in the U.S. and Canada [2].

The acquisition is expected to expand Blackstone's presence in the electrical equipment services market and aligns with the firm's strategy of investing in companies that benefit from the ongoing energy transition and increasing electrification [3]. Shermco provides critical services for data centers, utilities, and diversified commercial and industrial end-markets, partnering with customers to enhance the safety, reliability, and efficiency of their critical electrical infrastructure while minimizing downtime and outages [1].

Blackstone's Senior Managing Directors JP Munfa and Michael Staub expressed their excitement about the acquisition, highlighting Shermco's vital role in maintaining the reliability and safety of mission-critical electrical infrastructure [1]. David Foley, Global Head of Blackstone Energy Transition Partners, underscored Shermco's potential to capitalize on growth opportunities in the energy transition, noting that it is the twelfth investment commitment from the firm's most recent energy transition fund [3].

Phil Petrocelli, CEO of Shermco, commented that partnering with Blackstone marks an exciting next step in the company's growth trajectory. He emphasized the importance of Blackstone's scale, resources, and expertise in the energy industry to continue serving customers' critical power-system needs and expand the company's footprint and capabilities [1].

This acquisition follows a series of recent transactions by Blackstone Energy Transition Partners, including investments in Enverus, Lancium, Power Grid Components, Potomac Energy Center, Sediver, Trystar, and Westwood, all of which are part of the firm's high-conviction investment themes in electrification and the ongoing energy transition [1].

Stifel and JPMorgan acted as financial advisors, while Vinson & Elkins served as legal advisors to Blackstone. Harris Williams and Kirkland & Ellis acted as financial and legal advisors, respectively, to Gryphon Investors and Shermco [1].

References:
[1] https://www.blackstone.com/news/press/blackstone-announces-agreement-to-acquire-shermco-for-approximately-1-6-billion/
[2] https://seekingalpha.com/news/4487951-blackstone-to-buy-electrical-equipment-services-firm-shermco-for-16b
[3] https://www.businesswire.com/news/home/20250819136392/en/Blackstone-Announces-Agreement-to-Acquire-Shermco-for-Approximately-%241.6-Billion