EQT and Blackstone makes investment in leading European environmental services company

EQT has announced the acquisition of a 15 percent stake in Desotec alongside private equity funds managed by Blackstone after having sold the company just months earlier.

In March 2021, Blackstone agreed to acquire DESOTEC from the EQT VII fund, as part of the transaction EQT Mid Market Europe secured the option to co-invest alongside Blackstone for a minority position with board representation. EQT Private Equity has hereby decided to exercise the option.

Based in Roeselare, Belgium, DESOTEC is a leading European environmental services company with a mission to protect the planet through innovative circular filtration solutions, enabling clean water, air, and soil. The Company was founded in 1990 and is focusing on mobile purification solutions mainly based on activated carbon technology.

DESOTEC’s fleet of approximately 2,700 mobile filters is the largest of its kind in Europe and serves a broad range of industrial applications, including air emission, biogas, remediation, wastewater, and chemicals. The Company’s mobile filters enable its customers to comply with environmental regulations and sustainability requirements, through its closed-loop, “Filtration-as-a-Service” rental solution.

EQT VII acquired DESOTEC in 2017 and made significant investments in its sales and digital capabilities under its ownership period. Moreover, EQT supported DESOTEC’s technology and R&D investments to enable a more circular service offering. Today, the Company is the European market leader in its field with strong tailwinds and impressive track-record of double-digit organic growth. Under the new ownership structure, EQT Private Equity will continue to support DESOTEC alongside Blackstone on its mission to better protect the planet. The Company aims to continue its pan-European growth strategy and fortify its market-leading position.

Vesa Koskinen, Partner in EQT Private Equity’s advisory team, said, “We are impressed by the achievements of DESOTEC and its management. The Company has grown into a true environmental services leader that is well positioned for further growth. We look forward to continuing our partnership with DESOTEC’s management as we start the next chapter of the Company’s mission to better protect the planet.”

The closing of EQT VII’s exit, and EQT Mid Market Europe’s investment in DESOTEC were both completed on 31 May 2021.

Source: Cision

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