German Private Equity Acquires Majority Stake in FOGTEC

Deutsche Private Equity (DPE) is acquiring a majority stake in Cologne-based fire protection specialist FOGTEC. An agreement to this effect has been signed with the founding shareholders and the M Cap Finance Mittelstandsfonds. The parties have agreed not to disclose the purchase price or other financial details of the transaction.

Following the acquisition, the current management will retain a significant stake in FOGTEC. Founder Dirk K. Sprakel will continue to lead the company as Chairman of the Executive Board, together with Rüdiger Kopp and Roger Dirksmeier. The closing of the transaction is still subject to approval by the relevant antitrust authorities.

DPE Focuses on International Growth

DPE’s investment is primarily intended to finance and strategically support FOGTEC’s next phase of growth. Plans include expanding application-oriented sales and the international presence, as well as strengthening the service and spare parts business. In addition, further investments are planned for research, development, and regulatory approvals.

Acquisitions are also part of the strategy. Selective acquisitions are intended to give FOGTEC access to additional markets and customers or to expand its existing service portfolio.

FOGTEC has built an international customer base based on its technological strength—and we intend to build specifically on that foundation.

Fabio Adjoudani, DPE Director

The investor sees particular potential in data centers, the service business, and further international expansion.

Target revenue of approximately 70 million euros for 2026

FOGTEC was founded in 1997 and today employs approximately 255 people at locations in Europe, Asia, and the Middle East. The company is targeting revenue of approximately 70 million euros for 2026.

At the heart of the business are fire protection systems based on high-pressure water mist. In this process, water is finely atomized under high pressure. According to the company, the systems require up to 90 percent less water than traditional sprinkler systems and do not use chemical extinguishing agents.

The solutions are used in buildings, industrial facilities, data centers, tunnels, train stations, and rail vehicles, among other places. In addition to the fire suppression systems themselves, FOGTEC offers sensor technology, control systems, engineering, installation, maintenance, and replacement parts.

Data Centers and Battery Storage as Growth Markets

With this acquisition, DPE is positioning itself in a fire protection market that is evolving due to new technical requirements. Data centers, battery storage facilities, energy plants, and modern rail vehicles, in particular, present new challenges for operators. At the same time, stricter safety and environmental requirements are increasing the pressure to use alternatives to chemical extinguishing agents.

FOGTEC points to more than 1,500 large-scale fire tests it has conducted, 102 registered patents, and its participation in 13 national and international standards committees. This technological foundation will now be leveraged to tap into new applications and markets.

“For the next step in our development, we were looking for a partner who thinks long-term, understands our technical focus, and supports our growth plans,” says FOGTEC founder Dirk K. Sprakel. The company has found such a partner in DPE.

Management Remains Involved

For DPE, the continued involvement of the existing management team is a particularly important aspect of the transaction. In addition to Sprakel, Rüdiger Kopp will remain on board as Managing Director for stationary systems, and Roger Dirksmeier as Managing Director for rail systems. DPE itself currently manages assets of approximately three billion euros and focuses its investments on mid-sized companies in the sectors of Business Services, Energy & Environment, Healthcare, Industrial Technology, and Software & IT Services.

Ares is providing the debt financing for the FOGTEC acquisition. For the transaction, DPE engaged Strategy&, Alvarez & Marsal, PwC, CMS, Pöllath + Partners, Gleiss Lutz, Harris Williams, and Pava Partners, among others, as advisors.