Blackstone Makes Fresh $1.6 Billion Bet in Electrification Play

Blackstone Inc. has struck a deal to acquire electrical equipment services provider Shermco in its latest bet on the increasingly critical role of electrification.

Blackstone Energy Transition Partners, the firm’s energy-focused private equity business, is acquiring Shermco from Gryphon Investors, according to a statement reviewed by Bloomberg News. The deal values Irving, Texas-based Shermco, one of the biggest electrical testing organizations, at $1.6 billion including debt.

Founded in 1974, Shermco provides electrical system maintenance, repairs and testing through more than 600 technicians and 200 engineers across the US and Canada. Its services touch everything from semiconductors and data centers ...