Blackstone Energy Transition Partners to acquire majority stake in Advanced Cooling Technologies

Blackstone Energy Transition Partners, managing a $4.5 billion dedicated fund, is strategically acquiring a majority stake in Advanced Cooling Technologies (ACT), a Lancaster, Pennsylvania-based provider of advanced thermal management solutions. This investment targets ACT's specialized technologies, including heat pipes, vapor chambers, and liquid cooling systems, which are crucial for enhancing the energy efficiency of data centers and power electronics in the USA. The commercial logic for Blackstone centers on accelerating the global energy transition by improving the operational efficiency of energy-intensive infrastructure. ACT, a US-based manufacturer with over 100 employees, gains a powerful financial backer to potentially scale its advanced solutions. This deal positions Blackstone to capitalize on the increasing demand for high-performance, energy-efficient cooling within the rapidly expanding data center sector. Blackstone Energy Transition Partners continues to deploy its $4.5 billion fund into companies accelerating the global energy transition, now extending its reach into data center thermal management in the USA. This acquisition of ACT, a manufacturer with over 100 employees, aligns with the fund's mandate to invest in renewables, energy storage, and EV infrastructure by addressing energy efficiency in critical power electronics. On the advisory front, UBS provided buy-side counsel to Blackstone, while Houlihan Lokey, a global investment bank with over 2,600 employees, advised ACT on the sale of its majority stake. Legal representation for the buyer came from Kirkland & Ellis, an international law firm experienced in energy and infrastructure acquisitions, with Reed Smith advising the US-based seller. This transaction highlights how specialized technology providers in the USA are attracting investment from large funds seeking to enhance the sustainability profile of energy-intensive sectors.