H.I.G. Capital Enters into Agreement to Acquire Majority Stake in TERRAS Group

H.I.G. Capital Expands Portfolio with TERRAS Acquisition

In a strategic move to strengthen its presence in the infrastructure market, H.I.G. Capital, a prominent player in alternative investments with $75 billion in assets under management, has finalized a binding agreement to acquire a majority stake in the TERRAS Group. This acquisition marks a significant milestone, reflecting H.I.G.'s commitment to partnering with founder-led businesses that possess a proven track record.

Founded in 2014 and headquartered in Montabaur, Germany, TERRAS has established itself as a leading provider of engineering and construction services in mobility, energy, digitalization, water management, and urban development throughout the DACH region (Germany, Austria, and Switzerland). The company's extensive portfolio includes infrastructure construction, specialized deep foundation work, and track construction, providing comprehensive solutions unique to their client's diverse needs.

As Germany faces a substantial investment backlog in infrastructure and an accelerating energy transition, the need for robust infrastructure solutions has never been greater. H.I.G.'s involvement is poised to capitalize on this demand, positioning TERRAS for further growth as the company seeks to increase regional cluster density in existing markets while selectively expanding into new regions.

Rohin Jain, Managing Director at H.I.G. Middle Market Europe, expressed his enthusiasm about the acquisition, stating, "TERRAS exemplifies the type of companies we aim to partner with—entrepreneur-led platforms operating within a large and structurally attractive market. The long-term growth opportunities presented by Germany’s investment needs in infrastructure, combined with the accelerating energy transition, create an exceptional environment for our partnership. We are excited to support the TERRAS team in its journey to becoming a company of national and European significance."

TERRAS co-founders, Dr. Dirk Sojka and Ralf Sojka, share a unified vision for the company's future. They stated, "When we founded TERRAS, we had a clear aspiration to create a platform that encompasses the entire value chain in infrastructure construction while nurturing the entrepreneurial culture that makes local specialists successful. Today's partnership signals that our vision is becoming reality, and we believe we are just at the beginning of our journey. H.I.G.'s deep understanding of our business and experience in supporting founder-led companies strengthens our next growth phase."

The TERRAS Group has developed a reputation for delivering quality engineering and construction services, effectively managing complex projects from the planning phase through execution, and transitioning to disposal. With expertise in regional deep construction, specialized foundation engineering, track work, and engineering services, the company is well-positioned in sectors including mobility, energy, and water management, operating under a regional cluster model that harmonizes local entrepreneurship with centralized management and the sharing of best practices.

Since its establishment, H.I.G. Capital has invested in over 400 companies worldwide, managing a portfolio of more than 100 companies generating over $53 billion in total revenue. Their investment strategies encompass a range of industries, ensuring a diverse and resilient portfolio. Through this move, H.I.G. aims not only to enhance its infrastructure investment footprint but also to drive sustainable growth for the TERRAS Group in a rapidly changing economic landscape.

For more detailed information about the acquisition and the companies involved, you can visit TERRAS at terras.com and H.I.G. Capital at hig.com.