Palladium Equity Partners completes sale of Trachte to nVent Electric for $695m

Palladium Equity Partners, LLC, a distinguished middle-market private equity firm, has finalized the sale of its majority stake in Trachte, LLC to an affiliate of nVent Electric plc (NYSE: NVT), a leader in electrical connection and protection solutions, for a substantial $695 million. This significant transaction, first announced in June 2024, underscores Palladium’s strategic focus on enhancing the value and growth of family and founder-owned businesses since acquiring Trachte in 2020.

Daniel Ilundain, Partner and Co-Head of Flagship Funds at Palladium, along with Principal Scott Kirschner, expressed their satisfaction with the investment’s fruitful outcome. “We are extremely pleased with the outcome of this investment which is another excellent example of how Palladium creates value and elevates the businesses in which it invests to the next level,” said Ilundain. They extended their best wishes to both nVent and Trachte teams as they move forward.

On the acquiring end, Beth Wozniak, Chair and CEO of nVent, warmly welcomed the Trachte team to nVent, highlighting the acquisition’s strategic fit. “Trachte expands our enclosures portfolio with a new platform and enhances our systems protection capability, further strengthening our position with the electrification of everything,” Wozniak commented. She emphasized the broader solutions offering that the integration of Trachte would facilitate, aimed at better serving customer needs across various high-growth sectors like power utilities, data centers, and renewable energy sources.

Trachte, headquartered in Madison, Wisconsin, is renowned for its custom-engineered control building solutions designed to safeguard critical infrastructure assets. With a workforce exceeding 500 employees, Trachte is poised to contribute significantly to nVent’s Enclosures segment. The company projects its revenues for 2024 to approximate $250 million, reflecting its robust market presence and operational success.

nVent, with its principal office in London and a management office in the United States located in Minneapolis, continues to lead the global market in electrical connection and protection solutions. The company’s portfolio boasts over a century of leading brands like nVent CADDY, ERICO, HOFFMAN, ILSCO, RAYCHEM, and SCHROFF, known globally for their quality, reliability, and innovative solutions.

The strategic acquisition of Trachte by nVent not only diversifies nVent’s offerings but also solidifies its market position in a rapidly evolving industry. This move is indicative of nVent’s proactive strategy to lead in the electrification revolution, ensuring more comprehensive solutions that cater to a dynamically changing market demand.