Pioneer Point Partners has acquired WCG Wärme Contracting, a German heat contracting business, from German utility EWE.
The sustainable infrastructure specialist purchased the company on behalf of its Pioneer Infrastructure Partners II fund.
As part of the investment, Pioneer and WCG secured an ESG-linked debt agreement, including acquisition financing and a capex facility, with Allianz Global Investors.
The deal follows the carve out of WCG from EWE Vertrieb, a subsidiary of German utility EWE, in 2024.
Pioneer said WCG was a leader in the German residential heat contracting market, providing a comprehensive heat-as-a-service solution to approximately 20,000 customers, predominantly located in rural Northern Germany.
It provides advanced, energy-efficient heating systems that enable customers to improve the efficiency of their homes without the burden of substantial up-front investment costs, Pioneer said.
Pioneer will support WCG in its next phase of growth, as it seeks to broaden its geographical footprint, capitalise on the increasing demand for packaged heat contracting and benefit from strong policy support for renewable-heating solutions.
Pioneer has appointed Ralf Gresselmeyer, former CEO of GlasfaserPlus, as CEO, and Constantin Eis, CEO of CMBlu Energy and former CEO of LichtBlick, as chairman.
Pioneer was advised on the transaction by Nomura Greentech as financial and debt adviser and Gleiss Lutz as legal adviser.
To read the latest IPE Real Assets magazine click here.
