Keywords: consulting, energy management, sustainability, energy procurement, risk management, infrastructure development.
The Siemens Building Technologies Division has acquired Pace Global, a U.S.-based energy service provider. The acquisition underscores Siemens' commitment to helping customers increase the value of their companies by optimizing energy and resource efficiency. Pace Global's expertise enables Siemens to substantially expand its portfolio of sustainability and energy management services for companies and cities. The parties agreed not to disclose the purchase price.
Pace Global's business model combines strategic corporate consulting with energy procurement and CO2 management. The company advises enterprises in all matters pertaining to energy strategy and the associated risks, particularly in free energy markets. It offers a comprehensive range of services related to energy supplier markets, from digitization and validation of gas, water and electricity bills to risk-based services for energy purchasing (including market analyses, rate comparisons, contract negotiations and hedging support) as well as strategic consulting mandates. Pace Global's profound knowledge of global energy markets as well as it commercial solutions and services are a suitable addition to Siemens' sustainability and energy efficiency portfolio.
The services offered by Pace Global enable Siemens to build a new customized solution portfolio to support its customers in developing strategies, applying them in daily operations and implementing measures. With comprehensive risk analyses, Siemens works with its customers to clarify questions relating to energy purchasing, the most suitable energy carrier, construction of industrial power plants or investing in alternative forms of energy with the goal of securing long-term business success.
The comprehensive range of solutions for energy-related issues also includes resource, sustainability and energy planning, risk management, support for infrastructure development and consulting on legal regulations.
Pace Global will be integrated into the Siemens Building Technologies Division as a separate operating unit, with the current CEO, Timothy F. Sutherland, remaining at the helm after the acquisition. Managers and employees are also expected to keep their jobs.
Pace Global has 36 years of experience providing energy services to global customers. Headquartered in Fairfax (Virginia), with offices in Houston (Texas), Columbia (South Carolina), London and Moscow, Pace Global is positioned globally and serves over 200 customers in more than 60 countries. The company manages energy expenditures for its customers of more than US$5 billion, monitors a risk portfolio valued at approximately US$10 billion and supports the development, transfer and financing of energy resources worth more than US$100 billion worldwide.
Harry Forbes, ARC Advisory Group, commented, "Siemens is grabbing a small energy consultancy, but one with deep expertise in energy management, procurement, renewable development and energy finance. This acquisition is quite reminiscent of Schneider Electric's acquisition of Summit Energy 11 months ago. In both cases, the firms are orders of magnitude different in size, with the acquired being highly specialized and the acquirer a broad generalist. Their key to success is not to slay the goose."