--- title: "Power and Utility Services Private Equity | Capstreet" description: "Capstreet invests in power and utility maintenance services as the electric grid needs upgrades. See what fits, the TOPS investment and the firm's criteria." url: https://capstreet.multisites.ai/industries/power-and-utility publisher: Capstreet phone: +1-713-332-2700 contact: https://capstreet.multisites.ai/contact --- # Power and utility maintenance services private equity Capstreet believes decades of underinvestment in the electric grid create an imperative to upgrade and maintain existing infrastructure. The firm has several active themes in power and utility and a long history of scaling maintenance services businesses. It looks for owners with $3 to $15 million of EBITDA. IndustryUpdated November 10, 20263 min read ![Portfolio company leaders at Capstreet’s 2023 CEO and CFO summit](https://capstreet.multisites.ai/_astro/ceo-summit-awards.RPn2Lp5__1amMTd.webp) ## Grid underinvestment Capstreet sees an imperative to upgrade and maintain existing infrastructure. ## Maintenance services The firm cites a long history of investing in and scaling maintenance services businesses. ## TOPS A turbine and generator service provider, listed as current, Fund V & VI. ## Why does Capstreet invest in power and utility? Capstreet sees decades of underinvestment in the electric grid. It believes that creates a need to upgrade and maintain existing infrastructure, and it has several active themes in the sector. Capstreet states its view this way on its [What We Do](https://capstreet.multisites.ai/what-we-do) page: > We believe decades of underinvestment in the electric grid is creating an imperative to upgrade and maintain existing infrastructure. Capstreet has several active themes in this sector and a long history of investing in and scaling maintenance services businesses. The key phrase is “maintenance services businesses.” Capstreet does not say it wants to own power plants or build the grid. It says it has a long history of backing and scaling the companies that keep critical assets running. That history comes from the firm’s industrial work. Its industrial services and products focus includes critical maintenance, which it describes as industrial services and rental, turnaround services, critical equipment maintenance, and testing and inspection. ## What kinds of power and utility businesses fit Capstreet? A fit is a maintenance services business that supports power and utility infrastructure. Capstreet says it has a long history of investing in and scaling companies like this. Area What Capstreet describes Theme Upgrade and maintain existing electric infrastructure Business type Maintenance services Customers Power producers, utilities and related industrial operators Related focus Critical equipment maintenance, testing and inspection Track record Capstreet cites a long history of scaling maintenance services The customer row comes from the portfolio, not from the thesis paragraph. TOPS serves independent power producers, utilities and LNG operators. Check your own numbers against the firm’s [criteria](https://capstreet.multisites.ai/deal-criteria). ## How do Capstreet’s criteria apply to power and utility companies? Capstreet publishes five criteria, and they apply to power and utility owners the same way they apply to every other industry. Each one is listed below. - Entrepreneur-owned businesses services companies - $3 to $15 million of EBITDA - Primarily majority investments - Entrepreneurs reinvest alongside Capstreet - Ability to apply the Capvalue Framework® The firm also says it looks for “a tenured team of owners or managers seeking a majority capital partner, with solid financials, a defensive business model, untapped growth potential, and competitive advantages within their market niche.” Maintenance work for critical assets is hard to defer for long, which supports the defensive business model Capstreet describes. Skilled crews and safety records can also be a competitive advantage in a niche. This is our reading of the criteria, not a Capstreet claim. Its $3 to $15 million EBITDA range sits in what many call the [lower middle market](https://capstreet.multisites.ai/glossary/lower-middle-market). [EBITDA](https://capstreet.multisites.ai/glossary/ebitda) means earnings before interest, taxes, depreciation and amortization. It is the profit measure Capstreet’s range uses. An [add-on acquisition](https://capstreet.multisites.ai/glossary/add-on-acquisition) is a smaller company that a platform buys and folds in. ## Which power and utility companies has Capstreet backed? Capstreet lists one power company in its portfolio, and it is a current investment. Status is shown as Capstreet publishes it on its [portfolio](https://capstreet.multisites.ai/our-companies) pages. - **[TOPS](https://capstreet.multisites.ai/portfolio/tops)**: Current, Fund V & VI. Turbine Overhaul Performance Specialists is an independent, multi-OEM service provider with full-spectrum turbine and generator capabilities. Its customers include major independent power producers, utilities, LNG and other industrial companies. Founded in 2008 and based in Huffman, TX. ## What does Capstreet do after it invests? Capstreet applies its [Capvalue Framework®](https://capstreet.multisites.ai/building-greatness) in three steps: Research, Build Scalable Platform, and Drive Business Transformation. Across its history, the firm reports 50+ Platform Acquisitions and 200+ Add-on Acquisitions. 1. **Research.** Perform deep research to identify markets and build relationships with key entrepreneurs. 2. **Build Scalable Platform.** Invest in top talent and technologies, and provide functional expertise for scale. 3. **Drive Business Transformation.** Develop a long-term strategic roadmap and execute a buy and build strategy. Another portfolio company, Analytic Stress Relieving, lists the power market among its focus areas alongside petrochemical and refining. See the [petrochemical page](https://capstreet.multisites.ai/industries/petrochemical-and-chemical) for it. There can be no guarantee that Capstreet will be successful in applying its Capvalue Framework®. ## Next step If your company serves power and utility, read the full [deal criteria](https://capstreet.multisites.ai/deal-criteria), then start a confidential conversation through the [contact page](https://capstreet.multisites.ai/contact). You can also call 713-332-2700 or email [connect@capstreet.com](mailto:connect@capstreet.com). See all [industries](https://capstreet.multisites.ai/industries) Capstreet lists. ## Frequently asked questions ### What power and utility companies does Capstreet invest in? Capstreet invests in maintenance services businesses that help upgrade and maintain existing electric infrastructure. It says decades of underinvestment in the grid create an imperative. Owners should also meet the firm's general criteria, including $3 to $15 million of EBITDA. ### Does Capstreet invest in power producers or utilities? Capstreet's published thesis is about maintenance services for existing infrastructure, not owning generation or utilities. Its portfolio company TOPS serves power producers and utilities with turbine and generator services. Ask the firm directly if you operate a power asset. ### What is TOPS? TOPS stands for Turbine Overhaul Performance Specialists. It is an independent, multi-OEM service provider of turbine and generator work for independent power producers, utilities, LNG and other industrial companies. Capstreet lists it as current in Fund V & VI. It was founded in 2008. ### Why does Capstreet focus on maintenance services? Capstreet says it has a long history of investing in and scaling maintenance services businesses. The firm's industrial work includes critical maintenance, such as turnaround services, critical equipment maintenance, and testing and inspection. Ask which of those match your business. ## Terms on this page - [Lower Middle Market](https://capstreet.multisites.ai/glossary/lower-middle-market) - [Add-On Acquisition](https://capstreet.multisites.ai/glossary/add-on-acquisition) - [Buy and Build](https://capstreet.multisites.ai/glossary/buy-and-build) - [EBITDA](https://capstreet.multisites.ai/glossary/ebitda) ## Power & Utility companies we have backed - [**TOPS**Current · Industrial Distribution and Services](https://capstreet.multisites.ai/portfolio/tops) ## Keep reading - [Petrochemical and chemical industry private equityCapstreet says U.S. petrochemical production capacity has surged over the past 5 to 10 years, creating a need for technical maintenance providers. It also sees chemicals used across the economy and rising demand for sustainability. The firm has several current investments and active themes here.](https://capstreet.multisites.ai/industries/petrochemical-and-chemical) - [Capstreet deal criteria: the companies we look forCapstreet looks for entrepreneur-owned business services companies with $3 to $15 million of EBITDA. We make primarily majority investments, and entrepreneurs reinvest alongside Capstreet. We want a tenured team, solid financials, a defensive business model, untapped growth potential and a niche advantage. We invest across 12 industries.](https://capstreet.multisites.ai/deal-criteria) - [Healthcare private equity for business services ownersCapstreet invests in business-to-business healthcare companies that help providers and payers run more efficiently. The firm names compliance, revenue cycle management and practice management software as its focus areas. Owners should have $3 to $15 million of EBITDA and want a majority capital partner.](https://capstreet.multisites.ai/industries/healthcare) - [Insurtech private equity for carrier-focused companiesCapstreet invests in insurtech businesses that improve how insurance carriers operate. It looks for technology-enabled services and software in digital sales enablement, underwriting, service and administration, and claims management. Owners should have $3 to $15 million of EBITDA and want a majority capital partner.](https://capstreet.multisites.ai/industries/insurance) - [Legal services and legal technology private equityCapstreet believes the legal services and technology market remains fragmented and under-adopted. It says it has a strong track record of helping businesses scale where those conditions exist, plus specific experience with the nuances of the legal industry. It looks for owners with $3 to $15 million of EBITDA.](https://capstreet.multisites.ai/industries/legal) - [Manufacturing private equity for suppliers and service providersCapstreet believes U.S. manufacturing is in a resurgence driven by re-shoring, a trend it believes will persist. The firm has significant experience investing in component suppliers and service providers to manufacturers and is actively seeking new investments. It looks for owners with $3 to $15 million of EBITDA.](https://capstreet.multisites.ai/industries/manufacturing) ## Ready to get started? Let’s talk. Tell us about your company and what you want next. Conversations are private, and there is no obligation. [Start a conversation](https://capstreet.multisites.ai/contact) [(713) 332-2700](tel:+1-713-332-2700)[connect@capstreet.com](mailto:connect@capstreet.com) ![Capstreet team members at a Houston elementary school for Houston Reads Day](https://capstreet.multisites.ai/_astro/houston-reads-day.DxNd9bIr_tggWP.webp)