Transaction

Clearwater advises Inopower on its sale to Magnesium Capital

Transaction

Inopower sold to Magnesium Capital

Sell-side

Undisclosed

Role

Adviser to Inopower on its sale to Magnesium Capital

Sector

Industrial & Chemicals

Region

Denmark

Clearwater has advised Inopower, a leading European supplier of power-to-heat solutions, on its sale to Magnesium Capital, an energy transition-focused private equity fund.

Established in 2002, Inopower is Europe’s leading supplier of high-voltage power-to-heat solutions for energy generation, specialising in hot water and steam boilers. Originating through controls and software, the company has more than 15 years’ experience in high-voltage electrode boilers and has designed an in-house load control system, enabling a mix of generation and consumption assets to balance the power grids with a large feed-in of renewable energy. In 2022, Inopower doubled its turnover and expects around 50% more growth in 2023.

Inopower’s vision is to provide reliable state-of-the-art electrification solutions for the decarbonisation of the worldwide power system, which is vital for the green energy transition. Its technology allows clients to achieve a zero-carbon footprint when generating power from renewables, making it an important player in this transition for heat and steam production.

Magnesium Capital is a private equity fund focused on the tech industry, investing in companies that drive the green transition. This partnership will enable Inopower to accelerate its growth and focus on this transition, within the power-to-heat sector.

hybrid power plants

It was important to us to find a partner who understands our niche in the market. We have found that partner in Magnesium Capital, a partner that is 100 % dedicated to investing in energy transformation. From our very first meeting, we saw common opportunities and felt that we were in safe hands with the Clearwater team, who, in the same way, understood our business, niche, and market, because of their large experience working with other energy companies. The team positively challenged us and communicated our complex and niche business to a relevant field of buyers. As a result, we have ended up with the best possible partner for our future.

Troels Bülow Davidsen, Founder and Chairman of the Board, Inopower
hybrid power plants

Amid the potential economic slow-down, we are seeing immense interest in companies that enable or contribute to the electrification and green energy transition, which is underpinned with this being the 20th+ transaction we have advised on within the energy field. Inopower, with its roots in Denmark and its contribution to the electrification and green energy transition of the district heating network, is on a high-growth journey in international markets, investing heavily in electrification and the green energy transition. We look forward to seeing what Inopower, together with the new partner Magnesium, can achieve in the future.

Carsten Rydahl, Partner, Clearwater

Advisers

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