After five weeks in a row logging transactions valued at $20 billion or more, deal values finally hit the wall. Of course, part of the reason is that all of the M&A and funding deals involved private equity firms, deals whose terms are often undisclosed. Still, there were only six transactions reported. But the deals that were reported were not without importance.
Veteran Energy Lawyer Christopher Richardson to join Paul Hastings
With the hiring of the former White & Case partner, Paul Hastings has tripled its presence in Texas since January 2024; and the firm’s chair, Frank Lopez, tells The Lawbook he is confident that the firm’s Texas head count will soon top 100.
Baker Hughes Sells its PSI Business for $1.15B
Baker McKenzie and K&L Gates advised on the transaction, the second in a week involving Baker Hughes. The Houston-based company is in the process of divesting or streamlining its involvement in non-core businesses.
CDT Roundup: A Week of Energy Deals, Suicide Drones, Cybercurrency PIPES and Another $20B
Yes, the streak is still alive: for five weeks in a row transactions have totaled more than $20 billion. The menu of deals reported last week was heavy on power and energy entrees. There was a $19 billion merger of fluid motion control products. A simpler $4 billion upstream deal. A midstream JV buyout. Another JV formed. And a whole new energy E&P funded with some familiar faces. A deal for emergency power grid infrastructure services. And another for a power plant rehab firm. But there were also some interesting side dishes.
Flowserve, Chart Industries Agree to Combine in $19B Merger
The combination expects to exploit the growing demand in energy and data infrastructure, particularly in the lucrative aftermarket for upgrades in industrial fluid controls. Cravath and Winston & Strawn advised on the deal.
Atma Kabad Moves from Kirkland to Gibson Dunn
While at Kirkland the capital markets partner worked with such clients as Orix, Marathon Oil, Kimmeridge Texas Gas and Omat Technologies.
Diamondback/Viper to Acquire Sitio Royalties for $4.1B
The deal adds more than 25,000 royalty acres to Diamondback’s Permian inventory and cuts Viper’s dividend breakeven to under $20 per barrel WTI. Wachtell, Vinson & Elkins and Gibson Dunn advised on the deal.
CDT Roundup: Another Week for the $20B Streak, Unusual Deals and a SPAC Twist
The week ending May 31 saw 19 deals reported involving Texas businesses or Texas lawyers. They were valued at $23.4 billion, representing the fourth week in a row reporting transactions valued at a total of $20 billion or more. Last week, we saw 15 deals for $24 billion. And this time last year, there were 12 transactions for $34 billion. And it was a week that was more than usually unusual.
GATX, Brookfield to Purchase Wells Fargo Railway Fleet for $4.4B
The deal, advised by Skadden and Mayer Brown, involves 105,000 rail cars, a potential 10-year buyout by GATX and a separate purchase of Wells Fargo rail leasing assets.
EOG Resources to Acquire Encino Acquisition Partners for $5.6 Billion
The deal, which makes Houston-based EOG one of the largest producers in Appalachia’s Utica shale play was advised by Wachtell, Akin and Latham & Watkins.