Madison River Capital (MRC), a lower middle market private equity firm, has announced its acquisition of Nexus Power, a Salt Lake City manufacturer representative and provider of design, engineering, procurement and project management services for power systems.
MRC is based in New York City.
An MRC release said the investment will support Nexus Power's geographic expansion, targeted acquisitions in design engineering and team growth, as the company capitalizes on accelerating demand for power infrastructure across data centers, utilities and industrial end-markets.
Nexus administration and the employee team will stay in place. Terms of the transaction were not disclosed.
Nexus Power serves customers across government, utilities, data centers, mining, oil and gas and semiconductor manufacturing sectors. The company operates through two segments: a commissions business, generating revenue under territory agreements with tier-one manufacturers, and a solutions business, managing end-to-end coordination of low-to-high-voltage gear, engineering partners and delivery logistics. Nexus Power is the exclusive manufacturer representative for companies such as ABB, Hitachi and approximately 20 other electrical equipment manufacturers.
"This partnership with Madison River Capital marks an important milestone for Nexus Power," said Pete Jones, president and CEO of Nexus Power. "We have built a business that is differentiated across our manufacturer relationships, our technical depth and our ability to deliver end-to-end solutions. This investment gives us the capital and strategic support to scale faster than we could on our own."
"Nexus Power has demonstrated exactly the kind of execution in a sector with strong tailwinds that we look for in our portfolio companies," said David Wittels, managing partner of Madison River Capital. "Pete and his team have built a business with a strong team, loyal customers across the value chain, a unique approach to the market, and a clear path to continued scale. We know how critical it is to have the right technical and commercial capabilities in place to serve this market and have high conviction in what Nexus Power has built and in the opportunity ahead of them. We are excited to partner with them as they enter this next stage of growth."
