Blackstone Acquires Electric Company Shermco for 1.6 Billion: A breakdown

On August 21st, 2025, Blackstone announced that affiliated private equity firms have officially acquired Shermco, an electric service company based out of Texas for approximately 1.6 billion dollars. The deal was executed and finalized by Blackstone Transition Partners as it marked one of the largest electrical takeovers in the month of August.

Shermco was founded in 1974 and based in Texas. It is a premier provider of mission-critical electrical testing, maintenance, engineering, and commissioning services across North America, serving data centers, utilities, industrial, and commercial sectors. The company operates over 40 service centers with a highly skilled workforce of more than 600 NETA-certified technicians and 200 engineers. Its platform has grown significantly under Gryphon Investors, reportedly doubling its revenue during Gryphon’s ownership and now sits at an enterprise valuation of approximately $1.6 billion, as Blackstone closes the acquisition through its Energy Transition Partners arm.

According to various sources, Shermco brought in approximately 143.5 million dollars in 2025. Considering Shermco has under 1200 employees, the efficiency per worker is groundbreaking. Each employee would yield approxiamtely 110,000 in net gain every year if the 143.5 million dollars in revenue is correct. Under Gryphon Investors’ ownership, who aquired Shermco in 2018, Shermco doubled in scale, building out its footprint and capabilities to meet accelerating demand for reliable, resilient electrical infrastructure. When aquired in 2018, it Shermco had 500 employees with 20 locations. Just 7 years later, the number of service locations has doubled and the number of employees has additionally increased by 700.

Phil Petrocelli, the CEO of Shermco, announced: “Partnering with Blackstone marks an exciting next step in our growth trajectory. Together with its scale, resources and deep expertise across the energy industry, we’re excited to continue serving our customers’ critical power-system needs and expand our footprint and capabilities for our talented technicians and engineers – all while maintaining Shermco’s unwavering commitment to safety, service and excellence.”

The Shermco acquisition is a powerful statement from Blackstone, one of the largest private equity groups in the country. By pairing Shermco’s proven and growing platform, size, and technical expertise with Blackstone’s scale, capital, and energy sector insights, the deal benefits both parties as we will track the companies expansion in the future. Now being Blackstone Energy Transition Partners’ twelfth investment since mid-2024, the transaction yields the question: what company will they peruse next?

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