Comverge and Constellation are combining their demand response businesses serving commercial and industrial customers. The combined business will be operated as a new standalone company independent from Comverge and Constellation and will focus on delivering a full spectrum of demand response offerings to C&I customers across the United States.
H.I.G. Capital will hold a majority ownership interest in the new company, and Constellation will retain a minority ownership interest.
After the close of the transaction, Constellation will continue to promote demand response services to its power and gas customers through the new company. This ongoing relationship will ensure that demand response products will remain a component within Constellation’s suite of retail products.
After the transaction, Comverge will focus exclusively on helping electric utilities deploy demand response, energy efficiency, and customer engagement programs targeting residential and small business customers.
More information about the new company will be available at closing, which is expected during the fourth quarter. Terms of the transaction were not disclosed.