Morgan Stanley PE unit acquires environmental services firm Apex Companies

Morgan Stanley's MS private equity arm that focuses on middle-market companies said on Wednesday it had acquired environmental services and consulting firm Apex Companies.

Morgan Stanley Capital Partners said the current owner of Apex, Sentinel Capital Partners, will retain a minority stake in the company after the deal closes.

Rockville, Maryland-based Apex offers water infrastructure and environmental, social and governance (ESG) consulting and other services.

Wall Street has sharpened its focus on ESG segment following investor pressure to cut financing to sectors that contribute to fossil-fuel use.

In 2021, JPMorgan Chase & Co JPM acquired investment manager focused on timberland Campbell Global LLC, while Morgan Stanley Capital Partners bought a controlling stake in air-quality testing and monitoring solutions firm Alliance Technical Group.