ICF (NASDAQ:ICFI), a global consulting and technology services provider, today announced it has acquired Applied Energy Group (AEG), a leading energy technology and advisory services company with over 100 utility management and demand-side energy experts from Ameresco (NYSE:AMRC). AEG provides a suite of integrated technology and advisory solutions to a growing set of electric and gas utilities, state and local governments, and state energy offices nationwide.
AEG brings to ICF a highly trusted energy technology platform that centralizes management of various demand-side management (DSM) programs, including energy efficiency, demand response, load management and more. The cloud-based platform offers real-time business intelligence and analytics to help organizations ensure programs provide grid reliability and affordability. AEG also brings to ICF best-in-class advisory services which provide market assessments, potential energy studies, as well as program planning, design, implementation and evaluation services. ICF and AEG have partnered together on a growing number of utility programs and services projects for over a decade.
AEG is projected to generate approximately $30 million in annual revenue in 2024 at margins comparable to ICF’s overall commercial energy business. AEG’s revenues are expected to increase at least at a mid-teens rate in 2025, and the transaction is anticipated to be immediately accretive to ICF’s Non-GAAP EPS.
“This transaction aligns with our strategy to extend our capabilities in ICF’s growth areas, with specific emphasis on our energy markets advisory and technology-enabled services,” said John Wasson, ICF chair and CEO. “We are expanding our capabilities with an innovative, cutting-edge technology solution for utilities and state and local government clients that will drive added value for them, as well as their customers and stakeholders. AEG’s portfolio is highly complementary to our own, and both companies have seen strong growth in the energy arena. Together, we’ll build on that momentum and create incremental revenue synergies as we address top-of-mind energy challenges with our clients.”
“We have successfully partnered with ICF on dozens of utility management projects and have a proven track record of delivering positive results for our clients,” said Ingrid Rohmund, president and general manager of AEG. “As one team, I am confident we can significantly expand our revenue and reach.”
“We are excited to see the AEG team transition over to ICF where they can continue to grow and complement the ICF portfolio of services,” said George Sakellaris, President and CEO of Ameresco. “This successful divestiture will allow us to remain focused on our core businesses and the exciting growth opportunities within our target markets.”
The acquisition of AEG follows ICF’s strong year-to-date performance in the commercial energy market as utility clients expand their use of the company’s energy efficiency, grid resilience, electrification, decarbonization and flexible load management services.
Read more about ICF and AEG.
Not Yet a Premium Partner/Sponsor? Learn more about the OS AI Premium Corporate and Individual Plans here. Plans start at $250 annually.
