One Equity Partners Agrees to Sell BRUSH Group's Power Distribution Business

One Equity Partners ("OEP"), a middle market private equity firm, announced that it has entered into a definitive agreement to sell the Power Distribution business of BRUSH Group ("BRUSH" or the "Company"). Financial terms of the private transaction were not disclosed. OEP previously sold BRUSH's Power Generation business to Baker Hughes (NASDAQ:BKR) in October 2022, one year after OEP's carve-out of BRUSH from Melrose Industries was completed.

Founded in 1889 and headquartered in Loughborough, United Kingdom, BRUSH provides OEM design and assembly and aftermarket parts and services for electrical power generation and distribution equipment. BRUSH's products are used across a wide range of end markets, including utilities, industrial, rail, data centers and renewable applications.

At the time of OEP's initial investment, the Company operated two divisions, Power Generation and Power Distribution. The Power Generation business designs, assembles, and services large scale generators that provide primary and standby electrical power to utility, datacenter and industrial customers worldwide. The Power Distribution business designs, assembles and services switchgear, transformers and controls for electric power distribution for utilities, electric vehicles, data centers, high speed rail, and other industrial applications mainly throughout the UK. OEP exited the Power Generation business one year after completing the carve-out of BRUSH and subsequently establishing its Power Networks division while growing the remaining sub-scale Power Distribution business into a platform of scale.

"OEP's investment in BRUSH showcases our expertise in carve-out transactions and is a great example of how we effectively grow and improve businesses through our M&A focused strategy," said Steve Lunau, Partner at One Equity Partners. "OEP carved out a non-core business unit of a larger parent company, and in close partnership with management, helped the business become a strong standalone company, well-positioned for strategic M&A driven growth."

"BRUSH is another example of OEP's value creation strategy" said Ori Birnboim, Partner at One Equity Partners. "After the strategic sale of Power Generation, we remained focused on growing the Power Distribution & Networks businesses, making BRUSH a leading electrical solutions and engineered products provider to United Kingdom's critical infrastructure."

Under OEP's four-year ownership period, BRUSH more than doubled EBITDA. BRUSH completed seven accretive acquisitions during OEP's hold period, expanding the Power Generation, Power Distribution and Power Networks divisions and enhancing the overall footprint and capabilities of the Company. OEP and management also executed several operational excellence initiatives including initiatives to stand-up the business as an independent company, driving margin expansion, establishing Power Networks and growing the Power Distribution business following the sale of Power Generation.

"We are proud of BRUSH's transformation under OEP's ownership. Our partnership with OEP helped us unlock significant strategic value across three great business units over the last four years," said Nicolas Pitrat, CEO of BRUSH. "OEP was an excellent partner that brought significant expertise in the energy sector, sourcing and execution of transformational M&A, and building the Company as a scaled platform for growth, all of which are key to BRUSH's evolution."

About One Equity Partners

One Equity Partners ("OEP") is a middle market private equity firm focused on the industrial, healthcare, and technology sectors in North America and Europe. The firm seeks to build market-leading companies by identifying and executing transformative business combinations. OEP is a trusted partner with a differentiated investment process, a broad and senior team, and an established track record generating long-term value for its partners. Since 2001, the firm has completed more than 400 transactions worldwide. OEP, founded in 2001, spun out of JP Morgan in 2015. The firm has offices in New York, Chicago, Frankfurt and Amsterdam. For more information, please visit www.oneequity.com.

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Thomas Zadvydas

Stanton

646-502-3538

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