Morgan Stanley Investment Management has announced an agreement to sell its ownership stake in Seven Seas Water Group to the EQT Infrastructure VI fund. The sale is managed through investment funds by Morgan Stanley Infrastructure Partners, the firm's private infrastructure investment platform.
Seven Seas Water Group operates water and wastewater treatment plants across North America, including the United States, the Caribbean, and Latin America. The company manages over 220 plants and provides services through its Water-as-a-Service model. This approach ensures reliable water treatment for a variety of clients, including governmental and industrial sectors. Seven Seas Water's contracts are long-term and inflation-linked, providing stable cash flows.
Under Morgan Stanley Infrastructure Partners' ownership, Seven Seas Water expanded significantly in the United States, particularly in Texas. The company secured several major contracts recently, such as with the South Texas Water Authority.
Alberto Donzelli from Morgan Stanley Infrastructure Partners stated: “Seven Seas Water exemplifies the infrastructure characteristics we prioritize – essential services, long-term inflation-protected cashflows, and operational excellence.” Markus Hottenrott added that this transaction highlights MSIP’s ability to manage corporate carve-outs and build resilient infrastructure businesses.
Seven Seas Water offers outsourced water treatment solutions using technologies like seawater reverse osmosis. It also provides wastewater treatment solutions through scalable modular plants. Some of these services are offered by AUC Group, a subsidiary based in Houston.
Morgan Stanley Infrastructure Partners is a global private infrastructure investment platform with $18 billion in assets under management since 2006. They focus on investments that provide essential public goods with potential value creation.
Morgan Stanley Investment Management oversees $1.6 trillion in assets globally as of March 31, 2025. It aims to deliver outstanding investment performance and service to a diverse client base worldwide.
Morgan Stanley is a global financial services firm offering various investment banking and management services across 42 countries.