Exit and Growth Strategies for Middle Market Businesses

M&A Quarterly News In The Energy Industry Sector

By Roy Graham | Mar 05, 2018

The report below presents you with a good overview on the first quarter M&A activity in the Energy Industry Sector. M&A activity for North American based target companies in the Energy sector for Q4 2017 included 90 closed deals, according to data published by industry data tracker FactSet. 

One of the largest transactions of the quarter closed in October when Global Infrastructure Management, LLC acquired Medallion Gathering & Processing LLC, a joint venture between EMG Fund II Management LP (51%) and Laredo Petroleum Inc (49%), for US$1.8 billion in cash, subject to certain adjustments. Medallion Gathering & Processing develops midstream solutions. It offers construction of all facilities and pipelines to gather process and deliver production from wells. The company is headquartered in Irving, TX.

Industry Indicators

  • The average US retail price for diesel and regular gas, which influences profitability for oil and gas companies, rose 17.1% and 8.4%, respectively, in the week ending January 15, 2018, compared to the same week in 2017.
  • The spot price of crude oil, which affects profitability for oil and natural gas operations, rose 15.0% in the week ending January 5, 2018, compared to the same week in 2017.

Posted by Roy Graham.

Read the Entire Energy 1st Quarter Newsletter Here

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