Key Takeaways
- • Goldman Sachs Alternatives and Cleanhill Partners have agreed to sell EPC Power to Flex in a transaction valued at $4.4 billion, representing a significant exit for the alternative investment sponsors from the power conversion technology sector.
- • EPC Power, headquartered in Poway, California, specializes in software-defined power conversion solutions serving three primary markets: data centers, utility-scale energy storage, and microgrids—sectors experiencing strong structural growth driven by AI infrastructure expansion and energy transition investments.
- • The sale to Flex, a global electronics manufacturing services and supply chain solutions provider, positions EPC Power within a larger industrial platform with established scale and distribution capabilities in the technology hardware space.
- • The transaction reflects sustained institutional investor appetite for infrastructure and energy transition assets, with alternative investment firms leveraging exits to capitalize on elevated valuations in power technology and data center support services.
Summary
Goldman Sachs Alternatives and Cleanhill Partners have agreed to divest EPC Power to Flex in a $4.4 billion transaction. The Poway, California-based EPC Power designs and manufactures software-defined power conversion solutions, a critical technology category serving data centers, utility-scale energy storage systems, and microgrids.
The sale represents a notable exit for the alternative investment sponsors from the power conversion hardware market at a time when institutional capital has substantially repriced infrastructure and energy-related assets upward. The transaction underscores continued market demand for specialized hardware suppliers serving the AI and energy infrastructure buildout. EPC Power's focus on software-defined power solutions aligns with broader industry trends toward modular, scalable infrastructure supporting both hyperscaler data center operations and distributed energy resources.
Flex's acquisition of EPC Power integrates specialized power conversion technology into its electronics manufacturing services and supply chain platform. The buyer brings established manufacturing scale, customer relationships, and operational infrastructure that can accelerate EPC Power's market penetration across its three core segments.
The $4.4 billion valuation signals institutional investor confidence in the power conversion and energy storage technology subsector, where secular drivers including AI compute expansion, renewable energy deployment, and grid modernization continue to drive capital allocation and M&A activity among alternative investment sponsors seeking portfolio exits.
The sale represents a notable exit for the alternative investment sponsors from the power conversion hardware market at a time when institutional capital has substantially repriced infrastructure and energy-related assets upward. The transaction underscores continued market demand for specialized hardware suppliers serving the AI and energy infrastructure buildout. EPC Power's focus on software-defined power solutions aligns with broader industry trends toward modular, scalable infrastructure supporting both hyperscaler data center operations and distributed energy resources.
Flex's acquisition of EPC Power integrates specialized power conversion technology into its electronics manufacturing services and supply chain platform. The buyer brings established manufacturing scale, customer relationships, and operational infrastructure that can accelerate EPC Power's market penetration across its three core segments.
The $4.4 billion valuation signals institutional investor confidence in the power conversion and energy storage technology subsector, where secular drivers including AI compute expansion, renewable energy deployment, and grid modernization continue to drive capital allocation and M&A activity among alternative investment sponsors seeking portfolio exits.
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