• This is the seventh platform investment made by Exponent in Ireland

 

20th March 2024, DUBLIN – Exponent, a leading European private equity firm, today announced that it has reached an agreement to invest in Ethos Engineering (“Ethos” or “the Company”), a Dublin-based leader in sustainable data centre design services delivered across EMEA. The investment will accelerate Ethos’ growth plans, expand the range of services it offers, and allow further development of its technology, capabilities, and people. Exponent is backing the incumbent management team led by Chief Executive Greg Hayden.

Ethos provides mechanical and electrical engineering solutions to a range of blue-chip companies, with a focus on sustainable data centre design for some of the world’s leading technology companies. The Company has worked on more than 90 data centres across 19 countries in EMEA, representing over 2 GW of capacity, as well as being an established market leader in its home market Ireland, supporting its position as a rapidly growing technology hub. The data centre market is expected to show strong structural growth in the coming years, driven by increasing consumption of data, the continued shift to the cloud and rapidly evolving AI requirements.

Exponent has a long track record of investing in market leading, founder-led, Irish-based businesses. It has invested more than €1 billion in Ireland, including most recently backing Chanelle Pharma, the country’s largest manufacturer of generic pharmaceuticals; Fintrax (now called Planet), Co. Galway-based financial technology and services firm; Enva, a leading recycling and resource recovery solutions provider in the UK and Ireland; and H&MV Engineering, a mission-critical specialist in high voltage electrical engineering.

Ethos is the firm’s seventh platform investment in Ireland and underscores the opportunity Exponent continues to see in a market characterised by a robust and innovative regulatory framework as well as a sophisticated investment environment.

Anthony Clegg from Exponent, said: “Increasing digitalisation of the global economy, particularly in areas such as artificial intelligence and cloud services, will continue to drive demand for data centres around the world. We are excited by the opportunities this creates for Ethos, as a trusted design partner to some of the leading global data centre players, to deliver sustainable design services on an increasingly international stage.”

John Moore from Exponent, added: “We are delighted that Greg and his team have chosen Exponent as their partner for the company’s next phase. They have built a great business with a strong culture and real technical expertise, addressing exciting end markets. We look forward to working closely with them in the years ahead.”

Greg Hayden, CEO of Ethos Engineering, said: “Today’s announcement with Exponent is a landmark moment for Ethos. We’re a technologically progressive, ambitious business with a keen emphasis on sustainability. Demand for data is continuing to grow and it is vital that data centre owners deliver their services in a way that is sustainable and energy efficient. That’s where Ethos excels, as a trusted partner to our clients. We look forward to expanding our capabilities on foot of this investment from Exponent. Their track record of working with growing businesses makes them the perfect fit for us. I’d like to pay tribute to our incredible employees who deliver award-winning work, our much-valued clients, industry partners and supporters including Enterprise Ireland who have made us the business we are in 2024.”             

Ethos was advised on the transaction by Capnua Corporate Finance and Beauchamps.

Exponent was advised by Alantra, KPMG, LEK and A&L Goodbody.