(Bloomberg) -- Partners Group Holding AG is considering options for its majority stake in Techem GmbH after having received a binding offer from TPG Inc. that values the German metering company at more than €6 billion ($6.4 billion), according to people with knowledge of the matter.

Partners Group may decide to keep Techem or float it on the stock market following the bid from TPG’s Rise Climate fund that was supported by Singapore sovereign wealth fund GIC Pte, said the people, asking not to be identified because the information is private. 

Partners Group, TPG, Techem and GIC declined to comment. 

TPG was one of the main remaining bidders for Techem after KKR & Co. — which had been seen as the frontrunner — dropped out of the race, Bloomberg News has reported. Swiss buyout firm Partners Group had initially sought a valuation of as much as €8 billion for the company.

Techem, based near Frankfurt, was founded in 1952. The company makes equipment to measure consumption of water and electricity and monitor heating and cooling. Partners Group teamed up with Caisse de Depot et Placement du Quebec and Ontario Teachers’ Pension Plan, as well as Techem’s management team, to acquire the company for €4.6 billion in 2018. 

While the market for initial public offerings in Europe is gathering momentum, portfolio managers remain selective about which IPOs to invest in. Private equity sponsors, meanwhile, are facing increased pressure from their own investors to monetize assets and return cash back.

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