A Swiss private equity firm has agreed to buy a majority stake in AVK Power Solutions for over $1 billion.
Partners Group, the Swiss private equity firm, has struck a deal to take a controlling interest in AVK Power Solutions, a UK company that produces backup power systems for data centers. The initial investment is valued at over $1 billion. This is not just a financial move — it’s a bet on energy infrastructure for a fast-growing industry.
The investment will be combined with debt financing to support AVK’s expansion plans, particularly in international markets. Nicholas Pepper, managing director at Partners Group, said the move will position AVK to grow beyond its UK base. AVK’s management will retain a smaller share in the company.
AVK specializes in providing backup generators, microgrids, and other power solutions for data centers. These facilities are seeing a surge in demand, driven by the trillion-dollar global push to build infrastructure for artificial intelligence. Data centers require a constant and stable power supply, making AVK's services increasingly valuable.
The private equity world has been heavily funding what’s now known as the digital infrastructure boom. Partners Group recently wrapped up a $15 billion fund focused on infrastructure. According to Pepper, the need for power in data centers is well-established in the US, but Europe still has untapped potential.
Ben Pritchard, CEO of AVK, said the partnership with Partners Group will enable the company to respond faster to customer needs as demand for backup power systems grows. This is not the firm’s first investment in the sector. Partners Group’s infrastructure fund is over 40% committed and already includes other data-center energy companies like Life Cycle Power in the US and Digital Halo in Singapore.
Pepper described the deal as a 'play on the long-term view of broader growth of the digital economy.' Whether that vision turns into a win for Partners Group remains to be seen — but for now, AVK is getting a major vote of confidence.