TPG has announced the acquisition of Peppertree Capital Management in a cash and equity transaction valued at up to $660m, with additional earnouts of up to $300m linked to performance milestones.

The deal strengthens TPG’s position in the high-growth digital infrastructure sector and expands its presence in wireless communications towers.

Founded in 2004, Peppertree Capital manages $7.7bn and has invested in over 10,000 critical communications infrastructure assets across its ten flagship funds. The Ohio-based firm serves as a key capital partner to tower developers and is active across complementary sectors such as fiber networks, spectrum licenses, small cells, and rooftop rights.

Upon completion, Peppertree will integrate into TPG’s platform but retain operational independence under the leadership of Co-Presidents Howard Mandel and Ryan Lepene. The firm will continue its current investment strategy with support from TPG’s scale, global network, and digital communications expertise.

“With its deep industry expertise, talented team, and portfolio of high-quality assets, Peppertree represents TPG’s further expansion into the digital infrastructure space,” said Jon Winkelried, CEO of TPG. “The Peppertree team shares our commitment to entrepreneurship, innovation, and investing excellence.”

Peppertree’s Mandel and Lepene added: “Joining TPG’s global alternatives platform will provide us with the additional scale and resources needed to capitalise on significant opportunities across the markets we operate in.”

Following the transaction, TPG and Peppertree will jointly manage $253.6bn in assets. The deal is expected to be immediately accretive to TPG’s fee-related and after-tax distributable earnings per share.

The transaction, approved by TPG’s board of directors, is anticipated to close in Q3 2025, subject to regulatory approvals.