First Reserve Acquires Dixie Electric from One Rock Capital Partners
GREENWICH, Conn., HOUSTON, LONDON, and HONG KONG, Dec. 19, 2013
GREENWICH, Conn., HOUSTON, LONDON, and HONG KONG, Dec. 19, 2013 /PRNewswire/
--First Reserve, the largest global private equity firm exclusively focused
on energy, today announced that First Reserve Fund XII has acquired Dixie
Electric, LLC ("Dixie") from One Rock Capital Partners, LLC ("One Rock"), a
private investment company that provides equity capital for high-potential
middle-market businesses. Dixie is the leading U.S. provider of electrical
infrastructure materials and services to the upstream oil and gas sector.
Financial terms of the transaction were not disclosed.
Founded in 1951, Dixie provides electrical infrastructure and automation
services from initial development throughout the life of an oilfield,
including ongoing infrastructure upgrades and periodic maintenance. Further,
the Company has exposure to several important upstream trends with significant
electrical requirements such as automation, artificial lift and enhanced oil
recovery. Dixie is headquartered in Odessa, TX.
The Company is a buy-and-build platform that has grown through a number of
acquisitions to become one of the few pure-play providers of electrical
infrastructure services in the Permian and Williston basins. As the leading
acquirer in a fragmented market, Dixie intends to pursue multiple additional
add-on opportunities to both increase market share in its existing basins as
well as to expand into new geographies.
Jeff Johnson, CEO of Dixie Electric, commented, "First Reserve's investment is
an important milestone for our company. We believe the outlook for Dixie has
never been better, and we are excited to partner with First Reserve in the
next phase of our growth. We have tremendous respect for the First Reserve
team and believe they bring unique value to our shared vision of building a
pre-eminent oil and gas electrical services business. Our partnership will
create additional opportunities for our employees and advance our capabilities
to service our customers. Their experienced team of energy investing
professionals, industry relationships, and smart capital they bring will
greatly benefit Dixie as we continue to grow and make acquisitions."
Neil Wizel, Managing Director of First Reserve, commented, "We believe the
electrical infrastructure and automation services market is a compelling
sub-segment of the North American oilfield equipment and services space.
First Reserve is excited to partner with Dixie's dedicated management team and
support them in their ongoing growth initiatives."
Tony W. Lee, Managing Partner of One Rock, commented, "Dixie has undergone a
significant transformation under One Rock ownership. We believe the Company
is well-positioned for the future and will continue to prosper under First
R. Scott Spielvogel, Managing Partner of One Rock, commented, "Dixie has been
a testament to One Rock's Operating Partner approach to investing. The key to
generating significant value for our investors came through the collaboration
between our Operating Partner Kurt Barker and Dixie's management team, who
successfully effectuated operating enhancements and executed add-on
acquisitions to expand Dixie's scale and geographic footprint.
William Blair & Company, L.L.C. served as financial advisor to Dixie.
About First Reserve
First Reserve is the largest global private equity firm exclusively focused on
energy. With 30 years of industry insight, investment expertise and
operational excellence, the Firm has cultivated an enduring network of global
relationships and raised more than USD $24 billion of aggregate capital since
inception. Putting these to work, First Reserve has completed more than 475
transactions (including platform investments and add-on acquisitions) on six
continents. Its portfolio companies operate in approximately 50 countries and
span the energy spectrum from upstream oil and gas to midstream and
downstream, including resources, equipment and services and infrastructure.
First Reserve has offices in Greenwich, CT; Houston, TX; London, U.K. and Hong
Kong. Visit us at www.firstreserve.com for more information.
About One Rock
Founded in 2011, One Rock Capital Partners focuses on control-oriented
investments in middle market companies primarily in North America. One Rock
seeks to utilize its in-house Operating Partners to assist management in
enhancing the value of the companies through operating improvements and
strategic repositioning of companies within its target industries. In
addition, One Rock's unique affiliation with its strategic partner Mitsubishi
Corporation provides access to a network of global resources for enhanced deal
flow, cost-effective procurement of raw materials, and expanded access to
customers and markets around the world.
About Dixie Electric
Founded in 1951, Dixie Electric, LLC is the market-leading provider of
electrical infrastructure materials and services to the energy industry. The
Company offers customers comprehensive solutions for oilfield and midstream
electrical infrastructure and automation from initial development through the
decades-long lifecycle of an oilfield, including ongoing infrastructure
upgrades and periodic maintenance. Visit us a www.dixielectric.com for more
SOURCE First Reserve
Contact: Caroline Harris-Gibson, Prosek Partners, 212.279.3115 ext. 222,
email@example.com, Julie Hamilton-Oakes, Prosek Partners, 212.279.3115 ext.
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