Exit and Growth Strategies for Middle Market Businesses

M&A Quarterly News In The Energy Industry Sector

By Roy Graham | Nov 18, 2019

The report below gives a good overview of the fourth quarter M&A activity in the Energy Industry Sector. M&A activity for North American based target companies in the Energy sector for Q3 2019 included 53 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions in the sector closed in August when Qatar Investment Authority, a subsidiary of Government of Qatar, acquired an undisclosed minority stake in Oryx Midstream Services LLC, a portfolio company of Stonepeak Partners LP for US$550 million. The transaction enhances Qatar Investment Authority’s United States Portfolio and its investment in major infrastructure projects. Founded in 2013, Oryx Midstream Services is located in Midland, Texas and acquires and develops oil and natural gas reserves.

Industry Indicators

  • The average US retail price for diesel and regular gas, which influences profitability for oil and gas companies, fell 6.4% and 7.7%, respectively, in the week ending August 12, 2019, compared to the same week in 2018.
  • The spot price of crude oil, which affects profitability for oil and natural gas operations, fell 21.5% in the week ending August 9, 2019, compared to the same week in 2018.

Posted by Roy Graham.

Read the Entire Energy 4th Quarter Newsletter Here

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