Sustainable solutions provider RSK Group announced today that it has raised £500 million through a preferred equity investment, aimed at supporting the company’s ambitious growth plans, including both organic and inorganic opportunities.

Founded in 1989 by CEO Alan Ryder, UK-based RSK provides environmental consulting and engineering solutions to clients across water, energy, construction and infrastructure sectors, aimed at helping companies to minimize their environmental impact and conduct business in an environmentally responsible manner, through its network of more than 200 environmental, engineering and technical services businesses, and 15,000 employees.

The capital raise follows the launch last year by RSK of its 2030 Global Growth Strategy, including goals to nearly quadruple revenue to more than £5 billion, and to double its family of environmental and engineering businesses from 200 and 400 by 2030. The strategy outlined global priorities, including urbanization and the need to build sustainable cities, supporting the global energy transition, significant demand for new and upgraded infrastructure, sustainable food production to feed growing populations, addressing the impacts of climate change, and ensuring clean water and sanitation.

Ryder said:

“After three decades, RSK remains committed to delivering environmental and engineering services to help government and business clients around the world achieve a more sustainable future. The opportunities for RSK increase at pace.”

The preferred equity financing was led by alternative investment manager Ares Management Corporation, who first invested in RSK in 2018, and private investment firm Searchlight Capital Partners. Ares also committed an incremental £300 million debt facility to support RSK’s growth plans, bringing total available debt facilities provided by the firm to £1.4 billion.

Ares Management Co-Head of European Credit, Michael Dennis, said:

“Since our initial investment in 2018, we have seen firsthand RSK’s commitment to helping advance the energy transition through differentiated client solutions. We are excited to increase our financial commitment alongside Searchlight and further support the Company’s focus on identifying new investment opportunities and developing innovative capabilities that can drive more sustainable business outcomes and long-term growth for RSK.”

Searchlight Partner Giles Marshall added:

“The evolving regulatory landscape, accelerating global energy transition and goal of providing clean water and sanitation for all, present increasing challenges and opportunities for RSK’s customers, which the business is uniquely positioned to execute on.”