Alternative investors – family offices, asset managers and the like – are facing disruption from the coronavirus like the rest of the business world. But they’re not adjusting their long-term plans and are hopeful for the future, according to a survey taken last month by data provider Preqin.
Economic interruption and travel restrictions right now are leading investors to delay making fund commitments and managers are facing challenges in fundraising, deal origination and portfolio company operations, the survey found. Indeed, 55% of those with funds open to investment have slowed their fundraising process.
The rest of 2020 may bring further disruption, with almost half of those surveyed concerned about the impact of the “denominator effect” on their portfolio – when the value of less-liquid assets grows larger than the total value of the portfolio, which can lead to a freeze on new commitments or sales of assets to rebalance.
To top it off, more than a quarter of the investors were worried about their liquidity to fund capital calls this year.
Moreover, 59% of investors say they expect the returns of their alternatives portfolios to face a negative impact and 58% are lowering their planned number of new commitments this year as a result.
Managers disagree over when business operations will return to normal, with one-third believing it will be in three to six months and another third thinking it will take six to 12 months. Only 3% believe the effect on operations will last beyond two years.
Almost two-thirds of those surveyed say that the pandemic won’t have any impact on how much they invest – and 29% plan to invest more as a result. And a whopping 75% say they won’t adjust their investment strategy as a result of the pandemic.
Meanwhile, dealmaking among Texas lawyers continued to trend upward this past week, at least on a deal count basis. Eighteen deals emerged valued at $5.63 billion, up from 15 deals worth $10.4 billion the previous week (thanks to Southwest Airlines’ $6 billion in capital markets transactions) and 10 deals valued at $7 billion at the same time last year.
Weekly Corporate Deal Tracker Roundup Stats
A compilation of weekly stats from The Lawbook's CDT Weekly Roundup
(Deal Values in Millions)
(Deal Values in Millions)
| Deal Count | Amount | Firms | Lawyers | M&A Count | M&A Value $M | CapM Count | ||
|---|---|---|---|---|---|---|---|---|
| 09-Nov-24 | 14 | $2,110 | 12 | 139 | 12 | $1,410 | 2 | $700 |
| 02-Nov-24 | 12 | $52,788 | 11 | 107 | 11 | $52,738 | 1 | $50 |
| 26-Oct-24 | 8 | $3,160 | 8 | 65 | 7 | $3,065 | 1 | $75 |
| 19-Oct-24 | 12 | $5,304 | 11 | 136 | 11 | $4,554 | 1 | $750 |
| 12-Oct-24 | 17 | $8,438 | 12 | 150 | 15 | $8,116 | 2 | $322 |
| 05-Oct-24 | 22 | $23,181 | 12 | 189 | 15 | $19,980 | 7 | $3,201 |
| 28-Sep-24 | 11 | $2,356 | 7 | 144 | 7 | $53 | 4 | $2,303 |
| 21-Sep-24 | 12 | $9,568 | 10 | 169 | 5 | $4,101 | 7 | $5,467 |
| 14-Sep-24 | 24 | $10,988 | 12 | 235 | 16 | $7,175 | 8 | $3,813 |
| 7-Sep-24 | 12 | $20,420 | 16 | 168 | 11 | $20,307 | 1 | $112.9 |
| 31-Aug-24 | 13 | $20,631 | 9 | 134 | 12 | $14,775 | 1 | $5,856 |
| 24-Aug-24 | 19 | $8,452 | 21 | 325 | 16 | $7,102 | 3 | $1,350 |
| 17-Aug-24 | 25 | $49,196 | 16 | 304 | 11 | $39,386 | 14 | $9,810 |
| 10-Aug-24 | 20 | $12,264 | 15 | 312 | 16 | $9,794 | 4 | $2,470 |
| 03-Aug-24 | 26 | $16,498 | 16 | 334 | 18 | $8,137 | 8 | $8,361 |
| 27-Jul-24 | 19 | $16,442 | 21 | 271 | 15 | $13,838 | 4 | $2,604 |
| 20-Jul-24 | 15 | $16,016 | 14 | 184 | 10 | $14,232 | 5 | $1,784 |
| 13-Jul-24 | 20 | $17,220 | 14 | 265 | 18 | $7,146 | 2 | $10,074 |
| 6-Jul-24 | 11 | $3,941 | 11 | 95 | 8 | $2,650 | 3 | $1,291 |
| 29-Jun-24 | 14 | $6,296 | 15 | 224 | 8 | $6,296 | 6 | $1,927 |
| 22-Jun-24 | 12 | $5,679 | 8 | 137 | 5 | $210 | 7 | $5,469 |
| 15-Jun-24 | 13 | $9,895 | 16 | 214 | 10 | $5,280 | 3 | $4,615 |
| 8-Jun-24 | 19 | $23,859 | 13 | 239 | 12 | $19,436 | 7 | $4,423 |
| 1-Jun-24 | 12 | $34,510 | 11 | 147 | 9 | $26,110 | 3 | $8,400 |
| 25-May-24 | 13 | $9,684 | 15 | 171 | 10 | $4,434 | 3 | $5,250 |
| 18-May-24 | 11 | $5,490 | 11 | 173 | 8 | $3,129 | 3 | $2,361 |
| 11-May-24 | 22 | $14,855 | 14 | 227 | 16 | $11,105 | 6 | $3,750 |
| 4-May-24 | 13 | $3,139 | 9 | 87 | 10 | $1,297 | 3 | $1,842 |
| 27-Apr-24 | 10 | $6,684 | 6 | 28 | 10 | $6,684 | 0 | 0 |
| 20-Apr-24 | 19 | $15,989 | 11 | 147 | 9 | $5,208 | 10 | $10,781 |
| 13-Apr-24 | 13 | $8,952 | 9 | 76 | 10 | $1,652 | 3 | $7,300 |
| 6-Apr-24 | 22 | $22,616 | 14 | 222 | 14 | $13,501 | 8 | $13,116 |
| 30-Mar-24 | 12 | $9,286 | 8 | 136 | 8 | $4,299 | 4 | $4,987 |
| 23-Mar-24 | 18 | $5,451 | 17 | 266 | 16 | $4,759 | 2 | $692 |
| 16-Mar-24 | 21 | $11,437 | 13 | 186 | 14 | $9,316 | 6 | $2,070 |
| 9-Mar-24 | 23 | $4,695 | 21 | 218 | 19 | $2,723 | 4 | $1,972 |
| 2-Mar-24 | 20 | $9,108 | 19 | 372 | 14 | $4,558 | 6 | $4,550 |
| 24-Feb-24 | 19 | $16,382 | 12 | 248 | 15 | $9,507 | 4 | $6,875 |
| 17-Feb-24 | 16 | $29,932 | 15 | 157 | 12 | $29,216 | 4 | $716 |
| 10-Feb-24 | 25 | $10,750 | 17 | 196 | 19 | $5,372 | 6 | $5,379 |
| 3-Feb-24 | 12 | $8,416 | 18 | 125 | 9 | $3,416 | 3 | $5,000 |
| 27-Jan-24 | 9 | $8,165 | 9 | 87 | 8 | $7,815 | 1 | $800 |
| 20-Jan-24 | 14 | $4,084 | 12 | 109 | 12 | $3,219 | 2 | $865 |
| 13-Jan-24 | 17 | $33,588 | 12 | 256 | 12 | $26,765 | 5 | $6,823 |
| 6-Jan-24 | 8 | $7,915 | 8 | 84 | 6 | $7,265 | 2 | $650 |
| 30-Dec-23 | 17 | $14,599 | 12 | 99 | 15 | $2,714 | 2 | $11,885 |
| 23-Dec-23 | 23 | $4,182 | 13 | 219 | 16 | $1,813 | 7 | $2,370 |
| 16-Dec-23 | 13 | $16,436 | 13 | 280 | 7 | $15,150 | 5 | $1,286 |
| 9-Dec-23 | 26 | $14,633.90 | 17 | 244 | 16 | $8,095 | 10 | $6,538.90 |
| 2-Dec-23 | 13 | $6,720 | 9 | 57 | 12 | $6,630 | 1 | $90 |
| 25-Nov-23 | 9 | $4,835 | 9 | 131 | 6 | $1,785 | 3 | $3,050 |
| 18-Nov-23 | 22 | $6,568.70 | 17 | 184 | 14 | $4,709.20 | 8 | $1,859.50 |
| 11-Nov-23 | 15 | $9,825 | 13 | 179 | 12 | $6,581 | 3 | $3,244 |
| 4-Nov-23 | 15 | $20,582.50 | 14 | 193 | 12 | $19,417.50 | 3 | $1,165 |
| 28-Oct-23 | 18 | $68,419.10 | 18 | 152 | 15 | $66,646 | 3 | $1,773.10 |
| 21-Oct-23 | 16 | $6,755.90 | 16 | 165 | 15 | $6,755.90 | 1 | $3 |
| 14-Oct-23 | 14 | $67,851.20 | 13 | 125 | 9 | $61,998.50 | 5 | $5,852.70 |
| 7-Oct-23 | 17 | $6,595.50 | 13 | 228 | 16 | $5,995.50 | 1 | $600 |
| 30-Sep-23 | 17 | $1,896.45 | 13 | 189 | 14 | $806.45 | 3 | $1,090 |
| 23-Sep-23 | 23 | $6,432.70 | 17 | 230 | 16 | $1,402.80 | 7 | $5,029.90 |
| 16-Sep-23 | 25 | $23,226.70 | 23 | 353 | 16 | $17,239 | 9 | $5,987.70 |
| 9-Sep-23 | 12 | $6,369 | 8 | 102 | 7 | $4,311 | 5 | $2,058 |
| 2-Sep-23 | 14 | $2,522 | 6 | 92 | 13 | $1,322 | 1 | $1,200 |
| 26-Aug-23 | 17 | $12,160.25 | 13 | 202 | 15 | $6,573.25 | 2 | $5,587.00 |
| 19-Aug-23 | 19 | $11,505 | 13 | 213 | 15 | $11,255 | 4 | $250 |
| 12-Aug-23 | 19 | $9,698.80 | 13 | 184 | 7 | $3,270 | 12 | $6,428.80 |
| 5-Aug-23 | 13 | $5,201 | 12 | 118 | 12 | $5,051 | 1 | $150 |
| 29-Jul-23 | 15 | $21,031.60 | 13 | 196 | 11 | $18,292.00 | 4 | $2,739.60 |
| 22-Jul-23 | 18 | $3,992 | 12 | 130 | 13 | $2,808 | 5 | $1,184 |
| 15-Jul-23 | 13 | $8,254.95 | 13 | 81 | 13 | $8,254.95 | 0 | 0 |
| 8-Jul-23 | 16 | $5,441.45 | 12 | 172 | 11 | $2,443 | 5 | $2,998.45 |
| 1-Jul-23 | 16 | $6,872 | 10 | 105 | 12 | $5,474 | 4 | $1,398 |
| 24-Jun-23 | 13 | $10,914 | 16 | 201 | 10 | $7,874 | 3 | $3,040 |
| 17-Jun-23 | 17 | $5,880.70 | 15 | 151 | 15 | $4,705.70 | 2 | $1,175 |
| 10-Jun-23 | 19 | $8,516.10 | 13 | 111 | 16 | $6,252.40 | 3 | $2,263.70 |
| June 3 2023 | 12 | $6,104.42 | 12 | 138 | 8 | $4,256.92 | 4 | $1,847.50 |
| 27-May-23 | 17 | $12,200 | 10 | 67 | 11 | $6,165 | 6 | $6,035 |
| 20-May-23 | 11 | $22,458.10 | 8 | 103 | 4 | $19,455 | 7 | $3,003 |
| 13-May-23 | 12 | $7,034 | 10 | 101 | 8 | $5,460 | 4 | $1,574 |
| 6-May-23 | 20 | $3,297.60 | 18 | 196 | 17 | $2,985.60 | 3 | $312 |
| 29-Apr-23 | 23 | $3,691.20 | 18 | 135 | 17 | $1,969.70 | 6 | $1,721.50 |
| 22-Apr-23 | 16 | $5,570 | 14 | 104 | 14 | $4,750 | 2 | $1,000 |
| 15-Apr-23 | 12 | $23,818.10 | 9 | 59 | 10 | $21,618.10 | 2 | $2,200 |
| 8-Apr-23 | 16 | $7,949 | 9 | 173 | 9 | $5,472 | 7 | $3,477 |
| 1-Apr-23 | 21 | $18,676.70 | 12 | 175 | 11 | $10,926.70 | 10 | $7,750 |
| 25-Mar-23 | 15 | $8,779.50 | 10 | 141 | 5 | $2,362 | 10 | $6,416.50 |
| 18-Mar-23 | 7 | $14,048.80 | 6 | 69 | 5 | $13,345 | 2 | $703.80 |
| 11-Mar-23 | 21 | $11,576 | 16 | 165 | 16 | $8,131 | 5 | $3,445 |
| 4-Mar-23 | 20 | $9,668 | 11 | 228 | 16 | $8,209 | 4 | $1,459 |
| 25-Feb-23 | 13 | $5,335 | 13 | 130 | 12 | $4,235 | 1 | $1,200 |
| 18-Feb-23 | 14 | $5,743.70 | 13 | 158 | 8 | $898.70 | 6 | $4,845 |
| 11-Feb-23 | 16 | $12,088 | 12 | 137 | 12 | $9,965 | 4 | $2,123 |
| 4-Feb-23 | 17 | $8,066 | 15 | 140 | 13 | $5,614 | 4 | $2,452 |
| 28-Jan-23 | 7 | $2,180 | 7 | 75 | 5 | $1,692.75 | 2 | $488 |
| 21-Jan-23 | 17 | $5,768 | 16 | 174 | 12 | $1,918 | 5 | $3,850 |
| 14-Jan-23 | 11 | $2, 800 | 10 | 102 | 8 | $421 | 3 | $2,400 |
| 7-Jan-23 | 18 | $8,296 | 11 | 167 | 14 | $6,461 | 3 | $1,835 |
| 31-Dec-22 | 14 | $2,732 | 11 | 99 | 12 | $2,092 | 2 | $640 |
| 17-Dec | 14 | $7,919 | 13 | 115 | 12 | $7,419 | 1 | $500 |
| 10-Dec-22 | 14 | $10,093 | 12 | 88 | 11 | $7,093 | 3 | $3,000 |
| 3-Dec-22 | 26 | $12,800.90 | 11 | 172 | 20 | $4,141 | 6 | $8,659.90 |
| 26-Nov-22 | 8 | $2,266.70 | 8 | 5 | 3 | $76 | 5 | $2,190.70 |
| 19-Nov-22 | 21 | $2,886 | 15 | 212 | 19 | $2,550 | 2 | $336 |
| 12-Nov-22 | 13 | $15,093.70 | 9 | 81 | 9 | $14,200 | 4 | $893.70 |
| 5-Nov-22 | 25 | 19,337.20 | 16 | 509 | 22 | $8,267.20 | 3 | $11,070 |
| 29-Oct-22 | 15 | $7,805.30 | 9 | 116 | 14 | $7,180.30 | 1 | $625 |
| 22-Oct-22 | 20 | $8,193.50 | 13 | 253 | 13 | $5,442 | 7 | $2,751.50 |
| 15-Oct-22 | 9 | $3,046.10 | 9 | 139 | 7 | $2,588.30 | 2 | $457.80 |
| 8-Oct-22 | 19 | $2,011.80 | 12 | 114 | 16 | $833.80 | 3 | $1,178 |
| 1-Oct-22 | 23 | $5,532.90 | 16 | 156 | 18 | $4,952.30 | 5 | $580.60 |
| 24-Sep-22 | 18 | $5,194 | 14 | 216 | 15 | $4,050 | 3 | $1,144 |
| 17-Sep-22 | 21 | $8,352.30 | 12 | 320 | 15 | $4,759.60 | 6 | $3,592.70 |
| 10-Sep-22 | 15 | $19,853.50 | 10 | 126 | 13 | $19,403.60 | 2 | $450 |
| 3-Sep-22 | 9 | $2,312 | 9 | 62 | 9 | $2,312 | 0 | 0 |
| 27-Aug-22 | 16 | $30,891.70 | 10 | 135 | 15 | $30,666.40 | 1 | 227.7 |
| 20-Aug-22 | 12 | $1,977 | 8 | 152 | 9 | 925 | 3 | $1,052 |
| 13-Aug-22 | 18 | $8,004.70 | 11 | 242 | 11 | $2,844.70 | 7 | $5,160 |
| 6-Aug-22 | 24 | $7,948.90 | 12 | 240 | 17 | $3,577 | 7 | $4,371.90 |
| 30-Jul-22 | 8 | $6,941 | 9 | 78 | 7 | $6,839 | 1 | $102 |
| 23-Jul-22 | 11 | $801 | 11 | 92 | 10 | $801 | 1 | 0 |
| 16-Jul-22 | 14 | $3,650 | 10 | 122 | 14 | $3,650 | 0 | 0 |
| 9-Jul-22 | 10 | $3,557.70 | 7 | 68 | 9 | $3,557.70 | 1 | 0 |
| 2-Jul-22 | 18 | $8,609.40 | 13 | 152 | 15 | $2,754.40 | 3 | $5,855 |
| 25-Jun-22 | 15 | $6,142 | 13 | 146 | 9 | $2,017 | 6 | $4,125 |
| 18-Jun-22 | 17 | $11,890.10 | 14 | 228 | 15 | $11,410 | 2 | 479.7 |
| 11-Jun-22 | 17 | $7,600 | 12 | 123 | 10 | $2,300 | 7 | $5,300 |
| 4-Jun-22 | 12 | $2,937 | 10 | 127 | 9 | $692 | 3 | $2,245 |
| 28-May-22 | 9 | $3,197.60 | 11 | 86 | 9 | $3,197.60 | 0 | 0 |
| 21-May-22 | 14 | $7,284.50 | 12 | 185 | 11 | $6,609 | 3 | $675.50 |
| 14-May-22 | 11 | $306.60 | 9 | 80 | 10 | $306.60 | 1 | $225 |
| 7-May-22 | 16 | $10,451.75 | 12 | 108 | 12 | $1,827 | 4 | $8,624.75 |
| 30-Apr-22 | 16 | $2,296.50 | 16 | 157 | 12 | $895.50 | 4 | $1,401 |
| 23-Apr-22 | 10 | $2,241 | 11 | 58 | 8 | $1,641 | 2 | $600 |
| 16-Apr-22 | 11 | $6,643 | 7 | 156 | 8 | $2,359 | 3 | $4,284 |
| 9-Apr-22 | 17 | $4,429 | 14 | 184 | 11 | $1,690 | 6 | $2,739 |
| 2-Apr-22 | 13 | $1,755 | 8 | 84 | 10 | $1,145 | 3 | $610 |
| 26-Mar-22 | 11 | $3,205 | 8 | 65 | 6 | $200 | 5 | $3,005 |
| 19-Mar-22 | 13 | $2,239.17 | 9 | 106 | 13 | $2,239.17 | 0 | 0 |
| 12-Mar-22 | 18 | $12,016 | 11 | 239 | 15 | $11,965 | 2 | $51.35 |
| 5-Mar-22 | 17 | $6,786 | 13 | 137 | 13 | $5,161 | 4 | $1,625 |
| 26-Feb-22 | 12 | $5,095 | 8 | 149 | 9 | $4,437.50 | 3 | $658 |
| 19-Feb-22 | 17 | $22,229 | 17 | 174 | 14 | $21,354 | 3 | $875 |
| 12-Feb-22 | 12 | $2,344.70 | 10 | 73 | 8 | $641.70 | 4 | $1,703 |
| 5-Feb-22 | 11 | $2,503 | 8 | 99 | 11 | $2,503 | 0 | 0 |
| 29-Jan-22 | 11 | $3,872 | 12 | 101 | 12 | $3,872 | 0 | 0 |
| 22-Jan-22 | 13 | $5,143.50 | 10 | 99 | 12 | $4,842.50 | 1 | $301 |
| 15-Jan-22 | 12 | $7,605 | 9 | 155 | 9 | $6,480 | 3 | $1,025 |
| 8-Jan-22 | 13 | $8,256.20 | 11 | 102 | 13 | $8,256.20 | 0 | 0 |
| 1-Jan-22 | 9 | $1,273.80 | 6 | 50 | 9 | $1,273.80 | 0 | 0 |
| 25-Dec-21 | 21 | $4,734.75 | 11 | 176 | 16 | $3,410 | 5 | $1,324.75 |
| 18-Dec-21 | 26 | $7,325.20 | 15 | 193 | 18 | $3,640.20 | 8 | $3,685.20 |
| 11-Dec-21 | 16 | $5,017 | 10 | 109 | 13 | $1,417 | 3 | $3,600 |
| 4-Dec-21 | 14 | $2,310 | 8 | 86 | 8 | $2,310 | 6 | $1,882.05 |
| 27-Nov-21 | 9 | $3.460.1 | 10 | 101 | 6 | $1,758 | 3 | $1,702.60 |
| 20-Nov-21 | 20 | $22,792 | 15 | 157 | 12 | $18,864.50 | 8 | $3,928 |
| 13-Nov-21 | 21 | $26,729 | 12 | 178 | 13 | $11,822 | 8 | $14,907 |
| 6-Nov-21 | 12 | $8,303 | 13 | 157 | 10 | $6,682 | 3 | $1,621 |
| 30-Oct-21 | 21 | $10,368 | 15 | 218 | 15 | $9,24.4 | 6 | $1,103.00 |
| 23-Oct-21 | 21 | $18.783.1 | 15 | 222 | 11 | $12,314 | 10 | $6,468.60 |
| 16-Oct-21 | 15 | $3,868 | 11 | 118 | 15 | $2,293 | 2 | $1,575 |
| 9-Oct-21 | 20 | $8,610 | 16 | 175 | 16 | $7,795 | 4 | $815 |
| 2-Oct-21 | 14 | $6,250 | 11 | 137 | 10 | $5,200 | 4 | $1,050 |
| 25-Sep-21 | 11 | $11,460 | 9 | 93 | 7 | $10,200 | 4 | $1,250 |
| 18-Sep-21 | 11 | $16,603 | 8 | 99 | 8 | $15,084 | 3 | $1,519 |
| 11-Sep-21 | 17 | $10,653 | 11 | 103 | 13 | $8,503 | 4 | $2,150 |
| 4-Sep-21 | 13 | $7,222 | 10 | 89 | 11 | $6,715 | 2 | $507 |
| 28-Aug-21 | 12 | $763 | 9 | 63 | 11 | $663 | 1 | $100 |
| 21-Aug-21 | 12 | $29,659 | 7 | 79 | 11 | $29,579 | 1 | $80 |
| 14-Aug-21 | 22 | $17,845 | 11 | 199 | 12 | $12,805 | 10 | $5,04 |
| 7-Aug-21 | 17 | $13,670 | 12 | 139 | 15 | $11,766 | 2 | $1,904 |
| 31-Jul-21 | 21 | $8,160 | 11 | 134 | 10 | $3,574 | 10 | $4,586 |
| July 24,2021 | 21 | $6,367 | 11 | 139 | 15 | $3,712 | 6 | $2,655 |
| 17-Jul-21 | 14 | $4,009 | 11 | 124 | 12 | $2,015 | 2 | $1,994 |
| 10-Jul-21 | 16 | $3,997 | 13 | 143 | 11 | $1,597 | 4 | $2,4 |
| 3-Jul-21 | 24 | $7,492 | 13 | 94 | 16 | $3,769 | 8 | $3,722 |
| 26-Jun-21 | 10 | $4,995 | 7 | 85 | 8 | $3,847 | 2 | $1,148 |
| 19-Jun-21 | 28 | $16,830 | 8 | 228 | 9 | $1,861 | 19 | $14,968 |
| 12-Jun-21 | 26 | $27,238 | 15 | 209 | 19 | $25,602 | 7 | $1,636 |
| 5-Jun-21 | 15 | $15,539 | 13 | 100 | 13 | $14,709 | 2 | $600 |
| 29-May-21 | 35 | $20,279 | 11 | 145 | 28 | $18,64 | 7 | $1,639 |
| 22-May-21 | 24 | $53,208 | 14 | 174 | 17 | $51,047 | 7 | $2,161 |
| 15-May-21 | 18 | $10,620 | 13 | 220 | 11 | $5,870 | 7 | $4,809 |
| 8-May-21 | 17 | $10,400 | 11 | 156 | 15 | $8,386 | 2 | $2,500 |
| 1-May-21 | 21 | $7,200 | 16 | 115 | 12 | $3,808 | 9 | $3,392 |
| 24-Apr-21 | 8 | $20,200 | 9 | 31 | 8 | $20,200 | 0 | 0 |
| 17-Apr-21 | 14 | $6,270 | 8 | 102 | 11 | $40,180 | 3 | $2,260 |
| 10-Apr-21 | 15 | $8,940 | 13 | 129 | 14 | $7,990 | 1 | $950 |
| 3-Apr-21 | 18 | $19,513 | 10 | 151 | 12 | $16,923 | 6 | $2,590 |
| 27-Mar-21 | 27 | $13,942 | 15 | 244 | 14 | $4,300 | 13 | $9,633.50 |
| 20-Mar-21 | 11 | $2,046 | 4 | 102 | 3 | $270 | 8 | $1,776 |
| 13-Mar-21 | 15 | $3,270 | 9 | 109 | 6 | $538 | 9 | $2,732 |
| 6-Mar-21 | 24 | $13,617 | 10 | 196 | 13 | $10,395 | 11 | $3,222 |
| 27-Feb-21 | 19 | $8,105 | 12 | 139 | 15 | $4,970 | 4 | $3,135 |
| 20-Feb-21 | 9 | $8,820 | 9 | 153 | 8 | $8,520 | 1 | $300 |
| 13-Feb-21 | 12 | $4,852.60 | 7 | 81 | 7 | 2,766 | 5 | $2,086.60 |
| 6-Feb-21 | 18 | $9,752 | 13 | 153 | 14 | $5,222 | 4 | $4,530 |
| 30-Jan-21 | 18 | $9,449 | 9 | 182 | 15 | $8,753.80 | 3 | $695.30 |
| 23-Jan-21 | 14 | $8,150 | 8 | 118 | 6 | $4,000 | 8 | $4,150 |
| 16-Jan-21 | 17 | $6,783 | 13 | 138 | 11 | $2,400 | 6 | $4,382.90 |
| 9-Jan-21 | 22 | $6,829 | 14 | 135 | 18 | $3,139.30 | 4 | $3,690 |
| 2-Jan-21 | 7 | $1,466 | 7 | 60 | 7 | $1,466 | 0 | 0 |
| 26-Dec-20 | 18 | $15,900 | 12 | 163 | 16 | $5,300 | 1 | $600 |
| 19-Dec-20 | 18 | $9,769 | 14 | 110 | 14 | $8,426 | 4 | $1,343 |
| 12-Dec-20 | 10 | $7,200 | 9 | 100 | 9 | $3,325 | 1 | $3,830 |
| 5-Dec-20 | 15 | $4,261 | 9 | 122 | 9 | $2,780 | 6 | $1,481 |
| 28-Nov-20 | 19 | $7,758 | 10 | 110 | 13 | $4,003 | 6 | $3,755 |
| 14-Nov-20 | 14 | $864.10 | 14 | 157 | 12 | $289.10 | 2 | $575 |
| 7-Nov-20 | 13 | $6,332 | 9 | 129 | 9 | $2,483.50 | 4 | $3,849 |
| 31-Oct-20 | 10 | $3,995.80 | 8 | 103 | 6 | $3,231.10 | 4 | $754.70 |
| 24-Oct-20 | 6 | $18,100 | 6 | 58 | 5 | $17,709 | 1 | $350 |
| 17-Oct-20 | 8 | $351.90 | 5 | 55 | 8 | $351.90 | 0 | 0 |
| 10-Oct-20 | 7 | $5,229 | 3 | 50 | 4 | $735 | 3 | $4,494 |
| 3-Oct-20 | 14 | $21,428 | 9 | 173 | 9 | $17,535 | 5 | $3,893 |
| 26-Sep-20 | 10 | $12,770 | 8 | 93 | 5 | $10,300 | 5 | $2,470 |
| 19-Sep-20 | 14 | $8,365 | 9 | 101 | 6 | $1,020 | 8 | $7,345 |
| 12-Sep-20 | 6 | $4,406 | 8 | 59 | 3 | $1,270 | 3 | $3,136 |
| 5-Sep-20 | 11 | $5,191 | 8 | 117 | 9 | $4,061 | 2 | $1,130 |
| 29-Aug-20 | 11 | $2,531 | 9 | 94 | 5 | $1,130 | 6 | $1,401 |
| 22-Aug-20 | 18 | $6,574 | 12 | 140 | 7 | $1,930 | 11 | $4,644 |
| 15-Aug-20 | 13 | $4,991 | 10 | 97 | 7 | $1,216 | 6 | $3,775 |
| 8-Aug-20 | 12 | $32,092 | 11 | 112 | 9 | $30,457 | 3 | $1,635 |
| 1-Aug-20 | 7 | $5,287 | 8 | 76 | 5 | $3,687 | 2 | $1,600 |
| 25-Jul-20 | 9 | $18,751 | 6 | 67 | 7 | $18,403 | 2 | $348 |
| 18-Jul-20 | 6 | $1,982.50 | 5 | 50 | 4 | $1,407.50 | 2 | $575 |
| 11-Jul-20 | 11 | $565.10 | 12 | 75 | 10 | $65.10 | 1 | $500 |
| 4-Jul-20 | 10 | $8,889 | 8 | 98 | 9 | $8,788 | 1 | $100.30 |
| 27-Jun-20 | 8 | $6,874 | 10 | 50 | 5 | $4,972.50 | 3 | $2,081.50 |
| 20-Jun-20 | 12 | $4,444 | 9 | 115 | 7 | $2,829 | 5 | $1,615 |
| 13-Jun-20 | 6 | $3,582 | 4 | 37 | 2 | $350 | 4 | $3,232 |
| 6-Jun-20 | 11 | $3,213.70 | 8 | 65 | 7 | $470 | 4 | $2,743.70 |
| 30-May-20 | 8 | $7,335 | 7 | 48 | 6 | $4,639 | 2 | $2,697 |
| 23-May-20 | 4 | $432.40 | 4 | 34 | 3 | $432.40 | 1 | 0 |
| 16-May-20 | 6 | $310 | 6 | 34 | 5 | $310 | 1 | 0 |
| 9-May-20 | 18 | $5,630 | 16 | 124 | 14 | $3,180 | 4 | $2,450 |
| 2-May-20 | 15 | 10,400 | 10 | 90 | 8 | $1,900 | 7 | $,8,500 |
| 25-Apr-20 | 8 | $3,400 | 9 | 36 | 5 | $1,000 | 3 | $2,450 |
| 18-Apr-20 | 19 | $9,500 | 14 | 92 | 8 | $185.70 | 11 | $9,360 |
| 11-Apr-20 | 12 | $6,000 | 9 | 40 | 5 | $190 | 7 | $5,800 |
| 4-Apr-20 | 14 | $8,200 | 11 | 68 | 10 | $2,200 | 4 | $6,000 |
| 28-Mar-20 | 16 | $6,500 | 13 | 96 | 10 | $3,700 | 6 | $2,800 |
| 21-Mar-20 | 11 | $11,910 | 7 | 33 | 7 | $2,250 | 4 | $9,960 |
| 14-Mar-20 | 7 | 809.8 | 6 | 34 | 6 | 684.8 | 1 | 125 |
| 7-Mar-20 | 16 | $2,500 | 15 | 70 | 13 | $669 | 3 | $1,400 |
| 29-Feb-20 | 13 | $15,260 | 13 | 128 | 11 | $11,760 | 2 | $3,500 |
| 22-Feb-20 | 12 | $3,700 | 10 | 92 | 10 | $2,560 | 2 | $1,130 |
| 15-Feb-20 | 16 | $1,250 | 10 | 84 | 12 | $35 | 4 | $1,222 |
| 8-Feb-20 | 18 | $6,080 | 14 | 123 | 14 | $2,595 | 4 | $3,485 |
| 1-Feb-20 | 21 | $20,900 | 12 | 101 | 14 | $17,860 | 7 | $3,060 |
| 25-Jan-20 | 13 | $7,430 | 13 | 62 | 12 | $6,430 | 1 | $1,000 |
| 18-Jan-20 | 23 | $9,580 | 15 | 120 | 19 | $6,580 | 4 | $3,000 |
| 11-Jan-20 | 21 | $14,200 | 18 | 199 | 16 | $1,020 | 5 | $13,200 |
| 4-Jan-20 | 22 | $6,400 | 11 | 119 | 16 | $3,204 | 6 | $3,245 |
| 28-Dec-19 | 22 | $7,150 | 19 | 175 | 18 | $6,800 | 4 | $327.40 |
| 14-Dec-19 | 24 | $36,300 | 23 | 167 | 19 | $9,500 | 5 | $26,800 |
| 7-Dec-19 | 11 | $10,400 | 11 | 55 | 7 | $1,082 | 4 | $9,370 |
| November 30. 2019 | 14 | $2,450 | 12 | 126 | 12 | $1,760 | 2 | $692.50 |
| 23-Nov-19 | 16 | $1,995 | 10 | 41 | 11 | $615 | 5 | $1,380 |
| 16-Nov-19 | 15 | $3,820 | 13 | 135 | 11 | $2,500 | 4 | $1,271 |
| 9-Nov-19 | 25 | $12,900 | 17 | 182 | 23 | $12,200 | 2 | $575 |
| 2-Nov-19 | 10 | $2,470 | 12 | 61 | 9 | 2,450 | 3 | $22 |
| 26-Oct-19 | 12 | $5,560 | 14 | 70 | 11 | $3,860 | 1 | $1,700 |
| 19-Oct-19 | 8 | $6,600 | 8 | 138 | 8 | $6,600 | 0 | 0 |
| 12-Oct-19 | 19 | $4,300 | 14 | 55 | 16 | $3,800 | 3 | $500 |
| 5-Oct-19 | 18 | $14,500 | 19 | 166 | 15 | $11,100 | 3 | $3,400 |
| 28-Sep-19 | 19 | $8,100 | 18 | 132 | 18 | $7,560 | 1 | $550 |
| 21-Sep-19 | 14 | $6,300 | 16 | 66 | 11 | $2,160 | 3 | $4,170 |
| 14-Sep-19 | 15 | $23,800 | 12 | 56 | 11 | $21,250 | 4 | $2,570 |
| 7-Sep-19 | 17 | $3,500 | 15 | 98 | 14 | $1,900 | 3 | $1,600 |
| 31-Aug-19 | 5 | $8,700 | 6 | 50 | 5 | $8,700 | 0 | 0 |
| 24-Aug-19 | 16 | $10,000 | 14 | 82 | 15 | $4,250 | 1 | $5,750 |
| 16-Aug-19 | 10 | $1,680 | 5 | 52 | 7 | $650 | 3 | $950 |
| 9-Aug-19 | 17 | $17,700 | 15 | 68 | 14 | $3,900 | 3 | $13,800 |
| 2-Aug-19 | 13 | $5,760 | 12 | 108 | 13 | $5,760 | NA | NA |
| 27-Jul-19 | 11 | $7,300 | 13 | 76 | 8 | $6,570 | 3 | $730 |
| 20-Jul-19 | 13 | $11,800 | 13 | 125 | 11 | $5,300 | 2 | $6,500 |
| 13-Jul-19 | 10 | $775 | 7 | 46 | 8 | $542.50 | 2 | $233 |
| 6-Jul-19 | 7 | $2,500 | 9 | 85 | 7 | $2,500 | 0 | 0 |
| 29-Jun-19 | 23 | $8,290 | 15 | 154 | 17 | $2,300 | 6 | $5,970 |
| 22-Jun-19 | 17 | $10,700 | 10 | 139 | 14 | $7,700 | 3 | $3,000 |
| 15-Jun-19 | 11 | $13,500 | 14 | 160 | 11 | $13,500 | NA | NA |
| 8-Jun-19 | 13 | $2,870 | 17 | 55 | 11 | $1,570 | 2 | $1,300 |
| 1-Jun-19 | 10 | $4,460 | 11 | 60 | 8 | $4,140 | 2 | $315 |
| 25-May-19 | 17 | $4,360 | 14 | 79 | 14 | $3,700 | 3 | $612 |
| 18-May-19 | 22 | $9,000 | 17 | 150 | 16 | $3,400 | 6 | $5,600 |
| 11-May-19 | 18 | $19,800 | 17 | 177 | 15 | $18,300 | 3 | $1,500 |
| 4-May-19 | 10 | $7,075 | 6 | 32 | 8 | $6,900 | 2 | $175 |
| 27-Apr-19 | 15 | $3,200 | 14 | 117 | 14 | $3,160 | 1 | $40 |
| 20-Apr-19 | 13 | $13,500 | 10 | 90 | 9 | $12,200 | 4 | $1,300 |
| 13-Apr-19 | 16 | $38,900 | 14 | 91 | 14 | $37,800 | 2 | $1,100 |
| 6-Apr-19 | 12 | $6,870 | 11 | 94 | 10 | $6,730 | 2 | $50 |
| 30-Mar-19 | 15 | $6,470 | 12 | 84 | 10 | $7,91.5 | 5 | $5,677 |
| 23-Mar-19 | 18 | $6,450 | 14 | 91 | 14 | $5,042 | 4 | $1,408 |
| 16-Mar-19 | 14 | $10,180 | 12 | 115 | 11 | $8,800 | 3 | $1,300 |
| 9-Mar-19 | 9 | $1,800 | 6 | 49 | 8 | $1,300 | 1 | $500 |
| 2-Mar-19 | 20 | $3,033 | 16 | 107 | 14 | $1,817 | 6 | $1,262 |
| 23-Feb-19 | 12 | $2,040 | 8 | 69 | 9 | $614.60 | 3 | $1,430 |
| 16-Feb-19 | 16 | $9,970 | 18 | 77 | 16 | $9,970 | 0 | 0 |
| 9-Feb-19 | 14 | $6,400 | 10 | 110 | 14 | $6,400 | 0 | 0 |
| 2-Feb-19 | 18 | $6,740 | 15 | 99 | 16 | $5,720 | 2 | $950 |
| 26-Jan-19 | 13 | $2,770 | 11 | 67 | 11 | $918.95 | 2 | $1,850 |
| 19-Jan-19 | 15 | $3,819 | 16 | 76 | 12 | $2,594 | 3 | $1,225 |
| 12-Jan-19 | 18 | $7,283 | 14 | 92 | 15 | $1,683 | 3 | $5,600 |
| 5-Jan-19 | 10 | $529 | 12 | 50 | 10 | $529 | 0 | 0 |
| 22-Dec-18 | 17 | $2,570 | 13 | 87 | 14 | $941 | 3 | $1,629 |
| 15-Dec-18 | 10 | $2,860 | 8 | 26 | 8 | $264 | 2 | $2,600 |
| 8-Dec-18 | 15 | $1,819 | 16 | 65 | 12 | $552 | 3 | $1,267 |
| 1-Dec-18 | 12 | $7,500 | 10 | 90 | 9 | $1,200 | 3 | $6,200 |
| 28-Nov-18 | 15 | $4,500 | 11 | 107 | 14 | $4,000 | 1 | $500 |
| 19-Nov-18 | 18 | $6,137 | 13 | 98 | 13 | $2,142 | 5 | $3,995 |
| 14-Nov-18 | 18 | $9,200 | 13 | 152 | 15 | $8,500 | 3 | $694 |
| 6-Nov-18 | 16 | $17,300 | 16 | 183 | 14 | $16,361 | 2 | $950 |
| 29-Oct-18 | 14 | $14,400 | 18 | 127 | 17 | $13,800 | 1 | $600 |
| 24-Oct-18 | 13 | $6,140 | 13 | 126 | 11 | $5,122 | 2 | $1,018 |
| 17-Oct-18 | 18 | $18,390 | 15 | 125 | 14 | $12,292 | 4 | $6,098 |
| 10-Oct-18 | 29 | $3,149 | 18 | 104 | 20 | $1,647 | 9 | $819 |
| 2-Oct-18 | 18 | $9,300 | 11 | 67 | 14 | $7,300 | 4 | $2,000 |
| 25-Sep-18 | 13 | $7,000 | 11 | 75 | 10 | $6,000 | 3 | $995 |
| 18-Sep-18 | 9 | $3,570 | 7 | 44 | 9 | $3,570 | 0 | 0 |
| 11-Sep-18 | 13 | $5,900 | 10 | 132 | 13 | $5,900 | 0 | 0 |
| 7-Sep-18 | 14 | $5,000 | 15 | 86 | 11 | $4,000 | 3 | $1,000 |
| 29-Aug-18 | 15 | $20,700 | 14 | 79 | 13 | $4,700 | 2 | $16,000 |
| 20-Aug-18 | 10 | $12,400 | 11 | 53 | 8 | $11,380 | 3 | $1,057 |
| 14-Aug-18 | 12 | $19,900 | 12 | 132 | 9 | $18,889 | 3 | $1,011 |
| 7-Aug-18 | 16 | $68,600 | 11 | 106 | 13 | $67,259 | 3 | $1,340 |
| 31-Jul-18 | 15 | $15,100 | 15 | 95 | 11 | $13,060 | 4 | $2,060 |
| 23-Jul-18 | 13 | $2,130 | 15 | 60 | 10 | $1,804 | 3 | $1,100 |
| 17-Jul-18 | 14 | $5,370 | 17 | 98 | 9 | $4,310 | 5 | $1,100 |
| 9-Jul-18 | 16 | $11,200 | 15 | 74 | 10 | $11,080 | 6 | $862 |
| 3-Jul-18 | 13 | $7,000 | 7 | 81 | 12 | $6,330 | 1 | $750 |
| 25-Jun-18 | 15 | $8,800 | 13 | 97 | 9 | $4,970 | 6 | $3,930 |
| 18-Jun-18 | 13 | $14,200 | 14 | 80 | 7 | $221 | 6 | $14,290 |
| 11-Jun-18 | 12 | $6,300 | 8 | 96 | 8 | $5,910 | 4 | $803 |
| 6-Jun-18 | 13 | $14,500 | 10 | 88 | 8 | $14,154 | 5 | $579 |
| 31-May-18 | 11 | $4,890 | 10 | 63 | 8 | $3,240 | 3 | $1,790 |
| 22-May-18 | 15 | $20,400 | 11 | 63 | 9 | $19,808 | 6 | $885 |
| 15-May-18 | 15 | $4,700 | 15 | 106 | 10 | $3,900 | 5 | $643 |
| 9-May-18 | 11 | $1,400 | 13 | 88 | 9 | $1,300 | 2 | $560 |
| 1-May-18 | 8 | $14,250 | 7 | 88 | 7 | $13,400 | 1 | $450 |
| 24-Apr-18 | 12 | $5,300 | 6 | 61 | 11 | $4,470 | 1 | $800 |
| 17-Apr-18 | 9 | $1,800 | 10 | 44 | 7 | $2,330 | 2 | $1,434 |
| 11-Apr-18 | 11 | $2,500 | 8 | 32 | 6 | $1,690 | 5 | $809 |
| 3-Apr-18 | 15 | $13,400 | 11 | 121 | 9 | $12,020 | 6 | $1,090 |
| 28-Mar-18 | 10 | $4,000 | 10 | 92 | 7 | $3,870 | 3 | $215 |
| 19-Mar-18 | 17 | $5,800 | 13 | 51 | 10 | $590 | 7 | $5,165 |
| 12-Mar-18 | 15 | $3,130 | 11 | 43 | 11 | $2,360 | 4 | $788 |
| 6-Mar-18 | 19 | $5,400 | 13 | 116 | 10 | $1,530 | 9 | $4,860 |
| 27-Feb-18 | 20 | $6,600 | 13 | 69 | 14 | $5,530 | 6 | $1,030 |
| 19-Feb-18 | 15 | $5,500 | 14 | 111 | 10 | $3,990 | 6 | $1,980 |
| 12-Feb-18 | 23 | $10,900 | 17 | 157 | 12 | $7,110 | 11 | $3,840 |
| 5-Feb-18 | 16 | $8,600 | 13 | 100 | 7 | $1,330 | 9 | $7,800 |
| 30-Jan-18 | 11 | $12,600 | 11 | 68 | 5 | $7,300 | 6 | $4,982 |
| 24-Jan-18 | 19 | $9,400 | 15 | 129 | 5 | $2,010 | 14 | $7,337 |
| 18-Jan-18 | 10 | $6,280 | 8 | 49 | 2 | $2,100 | 8 | $4,188 |
| 9-Jan-18 | 12 | $16,500 | 12 | 92 | 9 | $15,890 | 3 | $475 |
| 3-Jan-18 | 10 | $2,500 | 9 | 47 | 8 | $2,350 | 2 | $150 |
| 27-Dec-17 | 15 | $9,000 | 15 | 113 | 9 | $7,568 | 6 | $1,784 |
| 18-Dec-17 | 15 | $13,800 | 16 | 164 | 9 | $13,010 | 7 | $1,118 |
| 11-Dec-17 | 14 | $9,700 | 10 | 126 | 12 | $2,940 | 4 | $8,500 |
| 4-Dec-17 | 6 | $1,800 | 6 | 31 | 5 | $1,510 | 1 | $300 |
| 28-Nov-17 | 7 | $3,850 | 8 | 76 | 4 | $3,260 | 3 | $285 |
| 16-Nov-17 | 10 | $2,700 | 10 | 48 | 6 | $1,840 | 4 | $856 |
| 8-Nov-17 | 15 | $2,380 | 17 | 91 | 10 | $1,860 | 5 | $516 |
| 1-Nov-17 | 12 | $4,700 | 17 | 94 | 9 | $3,400 | 4 | $1,300 |
| 23-Oct-17 | 15 | $10,500 | 10 | 67 | 10 | $9,780 | 4 | $1,530 |
| 18-Oct-17 | 6 | $2,000 | 37 | 3 | $225 | 3 | $1,820 | |
| 10-Oct-17 | 12 | $6,570 | 100 | 9 | $3,880 | 3 | $3,360 | |
| 2-Oct-17 | 8 | $3,100 | 11 | 19 | 3 | $1,630 | 5 | $1,750 |
| 25-Sep-17 | 8 | $4,880 | 8 | 79 | 5 | $2,660 | 5 | $2,070 |
| 18-Sep-17 | 9 | $4,770 | 3 | $300 | 6 | $4,470 | ||
| 12-Sep-17 | 11 | $4,430 | 8 | $2,030 | 3 | $2,400 | ||
| 1-Sep-17 | 4 | $1,310 | 3 | $317 | 1 | $1,000 | ||
| 23-Aug-17 | 11 | $13,640 | 9 | 8 | $11,840 | 3 | $1,800 |
Sixteen law firms and 124 Texas lawyers were involved in the activity, which included 14 M&A/private equity/venture capital deals valued at $3.18 billion and 4 capital markets transactions worth $2.45 billion.
M&A/PRIVATE EQUITY/CAPITAL MARKETS
Baker Botts, Kirkland aid on CenterPoint’s $1.4B Elliott, Fidelity, Bluescape investment
Baker Botts said May 7 that it advised CenterPoint Energy Inc. on a $1.4 billion equity investment from Elliott Management, Fidelity, Bluescape Energy Partners and other long-term oriented mutual fund families to pay down debt and help fund future spending.
The team included corporate partners Tim Taylor and Clint Rancher and senior associate Laura Katherine Mann in Houston. Others were global projects partners Jim Barkley in Houston and Andrea Stover in Austin and associate Leah Burcat in Austin; and Houston tax partners Richard Husseini and Renn Neilson.
Wachtell, Lipton, Rosen & Katz also counseled CenterPoint with a team led by corporate partners Sabastian V. Niles and DongJu Song.
Kirkland & Ellis represented Bluescape, including transactional partners Shubi Arora and Jhett Nelson and capital markets partner Julian Seiguer and associate Lance Hancock.
The investment includes $725 million in mandatory convertible preferred shares and $675 million in common shares. The preferred stock’s initial conversion price is $15.31 per share and the common stock was issued at $16.08 per share.
CenterPoint said the proceeds from the investments, including cash proceeds from the sale of Miller Pipeline and Minnesota Ltd. and the pending sale of CenterPoint Energy Services, will be primarily applied to de-leverage the balance sheet to strengthen its credit profile. Due to the financing, CenterPoint no longer anticipates additional equity needs through 2022.
CenterPoint said the investment is part of several moves to further strengthen and fortify its financial position, enhance shareholder value and advance the interests of all stakeholders.
The moves included naming former Halliburton CEO David Lesar and Barry T. Smitherman – onetime chairman of the Public Utility Commission and Railroad Commission of Texas – to its board and forming a new business review and evaluation committee to consider options to present to the board by October.
Julien Dumoulin-Smith, who follows CenterPoint at BofA Securities, said the two new board additions would appear to be constructive to confidence given recent challenges. But he noted that the historic relationships between Lesar and CenterPoint chairman Milton Carroll (who was on Halliburton’s board) “may add to some investor concerns as to independence of perspectives regarding strategic actions vs. current board composition.”
Dumoulin-Smith added that there is no direct appointment by Elliott/Bluescape to CenterPoint’s board, although adding Smitherman was an “astute move” given known concerns on relationships in Texas and poor recent rate case outcomes.
“The open question remains whether interim years through ’24 can achieve 5% to 7% EPS [earnings per share] growth given transient dilution impacts and converts impacts,” he said.
The analyst doesn’t see CenterPoint’s stake in Enable Midstream Partners as having meaningful divestment angles, as previously affirmed by management, “but could see other angles evaluated still.”
Baker Botts advises Energy Spectrum on $969M fund
Baker Botts said May 8 it advised Energy Spectrum Capital on the final closing of its eighth fund with total capital commitments of $969 million.
The fund amount was down almost 21% from the $1.225 million the private equity firm brought in for its seventh fund in 2014.
The Baker Botts deal team included corporate partner Geoff Newton in Dallas along with tax partner Steve Marcus (Dallas), corporate senior associate Ian Jelsma (Houston) and corporate associate Cale Curtin (Dallas).
Energy Spectrum makes direct investments in lower middle-market companies that acquire, develop and operate North American midstream energy assets. Its target equity investments range between $50 million and $200 million.
Energy Spectrum founding partner and president Thomas O. Whitener Jr. said the firm believes that it is well positioned to identify high quality midstream assets “and take advantage of opportunities amid the significant price dislocations in the current market.”
Since its 1995 inception, the firm has invested in more than 60 companies and attracted
$4.5 billion in equity capital commitments from private and public pension funds, insurance companies, university endowments, foundations and family offices.
Kirkland counsels National Fuel Gas on $541M asset purchase from Shell
Kirkland & Ellis said May 4 it counseled National Fuel Gas Co. and affiliates Seneca Resources Co., NFG Midstream Covington and National Fuel Gas Midstream Co. on acquiring all of Shell’s right, title and interest in upstream and midstream assets mostly in Pennsylvania for $541 million.
Closing adjustments are estimated to reduce the purchase price at closing to around $500 million. The parties expect to complete the deal on July 31.
Corporate partners David Castro Jr. and Chad Smith and associates Danny Nappier and Isaac Bate led the deal team, which included corporate partners John Pitts and David Thompson and capital markets partners Matt Pacey, Brooks Antweil and Michael Rigdon and associate Brooke Milbauer.
Other Texas members on the deal were environmental transactions partner Jonathan Kidwell, who also offices out of Washington, D.C., and associate James Dolphin; and tax partner Mark Dundon and associate Victoria Chang.
National Fuel tapped J.P. Morgan Securities and Goldman Sachs & Co. as its financial advisors.
The deal includes 200,000 net acres in Tioga County that have net proved developed natural gas reserves of around 710 billion cubic feet and produce 215 million to 230 million cubic feet per day from the Utica and Marcellus shale formations. Post-closing, the assets are expected to generate net natural gas production of 70 billion to 75 billion cubic feet over the next year.
National Fuel also plans to will acquire 142 miles of gathering pipelines and related compression, 100 miles of water pipelines and associated water handling infrastructure that support Shell’s Tioga County production operations. The gathering facilities are interconnected with various interstate pipelines, including National Fuel’s Empire pipeline system with the potential to tie into its Covington gathering system.
The company expects to integrate the assets into its own Tioga County operations, with the increased production expected to reduce cash operating expenses by around 5 cents to 8 cents per thousand cubic feet equivalent. The gathering and compression facilities are expected to generate $35 million in EBITDA over the next year.
To protect the accretive economics of the acquisition, National Fuel entered into NYMEX hedges equivalent to 75% and 55% of the acquired proved developed producing production in 2021 and 2022, respectively, at average weighted prices of $2.71 for 2021 and $2.54 for 2022.
The buyer plans to pursue permanent financing for the acquisition, including equity and equity-linked securities and long-term debt, to maintain its balance sheet and investment-grade ratings. The company will have the right to issue up to $150 million in common equity to Shell at $38.97 per share. It’s made a $27.1 million deposit that will be credited against the purchase price at closing.
National Fuel CEO and president David P. Bauer said in the release that the acquisition will provide the company with a highly strategic opportunity to further its integrated development approach in the region.
“We believe that this cash flow generation – along with our acquisition of significant flowing natural gas production and reserves at an attractive valuation and a financing strategy that protects and strengthens our balance sheet – will leave National Fuel well-positioned for the long-term,” he said.
Akin Gump, Baker Botts, Latham work on $35M Summit Midstream deal
Summit Midstream Partners said May 3 it agreed to acquire Summit Midstream Partners LLC, which owns Summit Midstream Partners’ general partner Summit Midstream GP, from Energy Capital Partners II along with 5.9 million Summit Midstream Partners common units.
The price includes $35 million in cash and warrants covering 10 million Summit Midstream Partners common units. Summit Midstream Partners plans to use the cash proceeds to enhance its liquidity position and for general corporate purposes.
Akin Gump Strauss Hauer & Feld advised the conflicts committee of Summit Midstream Partners’ board. The team was led by partner Lisa Hearn and included partners John Goodgame, Eric Muñoz, Chip Cowell and Jocelyn Tau and associate Lisa Garrett.
Baker Botts assisted Summit Midstream Partners, or SMLP, including Houston corporate partners Joshua Davidson and Jason Rocha, senior associate Sarah J. Dodson, associates Emmie Proctor and Rachel Collier and partners Justin Hoffman and Jeremy Moore.
Other Texas members on the team were finance partner Daniel L. Tristan in Houston and senior associate Clint Culpepper in Austin; tax partner Mike Bresson and senior associate Jared Meier in Houston; and employee benefits partner Eric Winwood in Dallas.
Latham & Watkins represented Energy Capital Partners with a team co-led by Houston partner Ryan Maierson on M&A matters.
The conflicts committee used Tudor, Pickering, Holt & Co. as its independent financial advisor while Summit Midstream Partners tapped Guggenheim Securities.
Summit Midstream Partners Holdings will continue as the borrower under a $158.2 million term loan, which is secured by 34.6 million of the Summit Midstream Partners common units it owns plus the general partner interest.
Energy Capital Partners directors will resign from the general partner’s board, which will be left with a majority of independent directors subject to public election on a staggered basis starting in 2022. The general partner buy-in is expected to close this quarter.
Summit Midstream Partners CEO and president Heath Deneke said in the release that the moves set up the partnership for long-term success, including cutting debt and creating value for unitholders.
“The suspension of approximately $76 million of common distributions and cash payment of our preferred distributions combined with the $35 million loan from ECP [Energy Capital Partners] enhances SMLP’s near term liquidity position and creates significant financial flexibility to help the business navigate through a turbulent and volatile time for the entire oil and gas industry,” he said.
Jones Day aids Enable Midstream on sale of storage facility interest for $19M
Jones Day said May 6 that it advised Enable Midstream Partners on the sale of Enable Gas Transmission’s undivided 1/12th interest in the Bistineau storage facility for around $19 million.
The lead lawyer on the deal was partner Jeff Schlegel in Houston.
Enable announced the sale as part of its first quarter earnings release, saying it closed April 1. The partnership said it continues to evaluate asset optimization opportunities.
Wilson Sonsini, Kastner Gravelle work on First Dollar’s $5M seed funding round
First Dollar, an Austin-based health care savings platform, raised $5 million in seed funding led by Next Coast Ventures and including Meridian Street Capital.
Ryan Gravelle of Kastner Gravelle counseled First Dollar while Scott Craig of Wilson Sonsini represented Next Coast Ventures.
Other investors were former Athenahealth CEO Jonathan Bush, Everlywell CEO Julia Cheek, Bright Health CTO Brian Gambs and Capital Factory.
The company plans to use the funding to recruit engineers and designers to scale its Health Savings Account, or HSA, offering and build new functionality for its platform.
First Dollar said the country’s more than 26 million HSAs control $61.7 billion in assets, but the healthcare industry is the primary beneficiary of that total. “Most users allow their contributions to sit idle, turning a potential investment vehicle into an under-utilized bank account,” it said.
The company said only 11% of participants maximize their contributions each year and only 13% invest their HSA savings for growth. Many HSAs also charge a monthly fee, so savings are slowly depleted by as much as $100 per year, First Dollar said.
To solve those problems, First Dollar co-founders Jason Bornhorst and Colin Anawaty set about to build an HSA that patients will use, with no monthly fees and easy-to-understand language, education on how to maximize savings and high-quality health care products at fair prices.
Bornhorst, who is serving as First Dollar’s CEO, said the company is building a product that helps maximize savings and offers health care at a great price. “We believe that for every $1 you put into your First Dollar HSA, you should get $2 in value back in savings and spending,” he said.
Anawaty is serving as First Dollar’s chief product officer. He and Bornhorst sold their previous company, care coordination platform Patient IO, to Athenahealth in 2016 for undisclosed terms.
First Dollar is targeting Millennials and Gen Z, which typically spend too much for more coverage than they need, with only one in five people reaching their deductible amount each year, the company said.
Mike Smerklo led the investment from Austin-based Next Coast while Scott Law did so from Meridian Street Capital in New York City.
Morgan Lewis advises Trevi on sale of oil and gas unit
Morgan Lewis said May 4 it represented Trevi Finanziaria Industriale on the sale of its oil and gas division, including Drillmec, Drillmec Inc. and Petreven, to Megha Engineering & Infrastructures, or the Meil Group.
Terms weren’t disclosed, but early estimates had the sale price at $151 million.
Partner John Crespo, who offices out of Houston and New York, and associates Tara McElhiney and Clara Betancourt in Houston represented the Trevi Group. Joe Hoepfl at PPHB Energy Investment Banking was Trevi’s financial advisor.
Trevi’s other legal and financial advisors included Gianni, Origoni, Grippo, Cappelli & Partners, Tremonti Romagnoli Piccardi e Associati, Steptoe & Johnson, PricewaterhouseCoopers, Vitale & Co., Lazard & Co., Stamford Avenue Partners and Simmons Energy.
Meil used Link Legal India Law Services, Gemma & Partner and Gatti Pavesi Bianchi for the legal aspects and Artha Arbitrage Consulting for the financial aspects.
Based in Italy, Trevi provides foundation engineering services to clients in more than 80 countries worldwide. India-based Meil is a developer of global infrastructure projects in the water, hydrocarbons, highways, energy, electric mobility and manufacturing sectors.
The sale was part of Trevi’s broader restructuring, which the Court of Appeals of Bologna approved on Jan. 10.
Trevi’s chief restructuring officer Sergio Iasi said the execution of the capital increase resolved by the company’s board on July 17 of last year and the restructuring will represent a new start for the company, “bringing both challenges and opportunities.”
CEO Giuseppe Caselli said Trevi can now focus more on strategic priorities, such as strengthening its core business along with its growth in terms of volumes and profitability.
“Although the COVID-19 pandemic is paralyzing the whole world, and considering that the prospects of a quick return to regular activity are still uncertain, we are aware of our potential and very confident of what we sowed before and during the crisis,” he said.
Meil CEO Srinivas Bommareddy said even in the difficult time of the coronavirus, Meil kept its commitment and completed the acquisition and the additional size and scale will strengthen the group’s global footprint while making inroads into the global oil and gas business.
Founded in 1998, Petreven provides land contract drilling services to Latin America, where it’s drilled 3,300 wells. It has 20 hydraulic, automated drilling rigs and workover rigs operating in Argentina, Peru, Chile and Venezuela.
Skadden advises Quintana Energy on merger with KLX
Quintana Energy Services Inc. announced May 3 that it agreed to an all-stock merger with KLX Energy Services Holdings Inc. Dollar terms weren’t disclosed, but analysts say the deal gives the combination a market capitalization of $60 million.
Quintana shareholders will receive 0.4844 of a KLX share for each of their shares, giving Quintana 41% of the combined companies and KLX 59%. Five of the nine board seats will be allocated to KLX.
The parties expect the deal to close in the second half of the year if it clears shareholders. The combination will take the KLX name and its headquarters will be moved to Houston.
Skadden, Arps, Slate, Meagher & Flom counseled Quintana, including Houston partners Frank Bayouth and Eric Otness and associate Jared Petermeyer.
Quintana’s financial advisor was Tudor, Pickering, Holt & Co., including Bobby Tudor, Schuyler Tilney, Lance Gilliland, Max Barrett, Travis Bartlett, Jay Trapp and Saurabh Jha.
TPH was represented by Hunton Andrews Kurth, including partners Mike O’Leary and Taylor Landry and associates Garrett Hughey and Oliver Fankhauser, all of Houston.
Freshfields Bruckhaus Deringer US counseled KLX (Valerie Jacob and Paul Humphreys in New York) and Goldman Sachs was its financial advisor.
The parties said the combined company will have an industry-leading, asset-light product and service offering present in all major U.S. onshore oil and gas basins.
TPH said the merger will make the combined company the largest provider of large-diameter coiled tubing in North America and give it a strong liquidity profile to effect further industry consolidation.
Chris Baker, Keefer Lehner and Max Bouthillette led the deal at Quintana and Baker will become CEO while Lehner will become CFO. Amin Khoury and Tom McCaffrey led the team at KLX.
Analysts at Simmons Energy said in a note that the combination of scale enhancement and rationalization will augment the two companies’ non-pressure pumping completion services lines, including coiled tubing, wireline and completion and production services as well as Quintana’s strong directional drilling franchise.
The analysts said the targeted synergies of $40 million compare with its combined market capitalization of around $60 million, so the deal is potentially highly accretive on that basis alone. The merger also will form a platform for future consolidation.
Mayer Brown, Locke Lord, Haynes and Boone, Porter Hedges aid on Macquarie’s Multifuels purchase
Mayer Brown said May 5 it represented Macquarie Capital Principal Finance on its acquisition of a majority stake in Multifuels Midstream Group from Warren Equity and Multifuels LP. Terms weren’t disclosed.
Corporate and securities partners Jeff Dobbs co-led the deal team, which included tax transactions and consulting counsel Ed Osterberg, banking and finance associate Christine McMillan and corporate and securities associates Ricardo Falcon and Vince Cangolosi, all of Houston.
Locke Lord represented Macquarie on Texas regulatory, real estate and environmental matters and the associated due diligence, including partners John Arnold, Mark Miller, Gerry Pels and Ben Cowan and associate Tom Johnson, all of Houston.
The assets involve Multifuels Midstream Group’s regulated natural gas pipeline system in Central Texas, including 150 miles of owned and operated pipelines that transport natural gas to 18 utility service areas across Central Texas.
Haynes and Boone partner George Gonzales in Houston represented the sellers and Porter Hedges partner Corey Brown represented the management team.
Macquarie plans to support Multifuels Midstream’s continued development and redevelopment of customers’ gas infrastructure, including providing fully financed solutions to new and existing customers.
Multifuels Midstream CEO Richard Robinson said with Macquarie’s support the company intends to continue growing its platform, helping customers solve critical infrastructure challenges and providing value through fully financed solutions.
Macquarie managing director James Fincher said Multifuels Midstream’s track record and engineering ability create competitive advantages in what is an attractive and underserved market segment, with continued strong demand for natural gas and aging U.S. pipelines that provide the company with “meaningful growth opportunities.”
Multifuels Midstream was formed by Warren Equity and Multifuels in 2016 in partnership with management and is headed by president Randy Gibbs. Steven Wacaster led the deal from Jacksonville, Fla.-based Warren Equity, which invests in small and middle market operating companies primarily in North America.
Katten advises Highlander on CCF on sale to Falfurrias-backed Sauer Brands
Katten said May 7 that it advised Dallas middle market private equity firm Highlander Partners on the sale of Chicago Customer Foods, or CCF, to Falfurrias Capital Partners-backed Sauer Brands for an undisclosed sum.
Dallas partner Mark Solomon led the deal team, which included Wade Glover, Ethan Post and Nancy Collin. Charlotte, N.C.-based BlackArch Partners was CCF’s financial advisor.
McGuire Woods represented Sauer Brands, which tapped Lincoln International as its financial advisor (Aaron Goldstein, David Houser and Brad Akason in Chicago).
Chicago-based CCF makes branded popcorn seasonings, including Kernel Season’s, which it introduced in 2000. It’s now the top selling brand with more than 20 popcorn flavors. The company is led by Jason Roy, who will report to Sauer Brands CEO Martin Kelly.
CCF has expanded into new food categories, including Tasty Shakes oatmeal mix-ins, Veggie Season’s vegetable seasonings and a recently released line of premium truffle-flavored popcorn seasonings, Truffle Season’s.
The company’s products are sold in more than 22,000 retailers, including mass merchants, grocery and specialty stores, throughout North America and internationally, and in movie theaters in more than 30 countries worldwide, including 32,000 screens.
Founded as the C.F. Sauer Co. in 1887, Richmond, Va.-based Sauer Brands Inc. makes condiments, spices, seasonings and extracts, including Duke’s Mayonnaise, the Spice Hunter, Sauer’s, Gold Medal and BAMA. It has manufacturing facilities in Richmond as well as in Mauldin, S.C., New Century, Kan., and San Luis Obispo, Calif.
Jeff Hull is president and CEO of Highlander and Jeff Partridge is a managing director and was chairman of CCF. The firm focuses on investments in basic manufacturing, food, chemicals, building materials and consumer products and has $2 billion in assets under management.
Jones Day aids Meridian Adhesives on purchase from John P. Kummer
Jones Day said May 6 that partner Stephen Olson led the team advising Arsenal Capital Partners-backed Meridian Adhesives Group on its acquisition of the adhesives division of John P. Kummer GmbH, or JPK. Terms weren’t disclosed.
The transaction was announced April 15 and closed April 30.
JPK supplies materials used to produce semiconductors, hybrid microelectronics, circuit/electronic assembly, medical devices and optical materials throughout the European market. Its adhesives division will be combined with Meridian-owned Epoxy Technology Europe Ltd. to form Epoxy Technology Europe GmbH.
JPK’s equipment division serving the semiconductor and related industries won’t be affected by the transaction and will continue business operations as a separate entity.
Meridian Adhesives CEO Daniel Pelton said in a statement that management is looking to growing the business more aggressively in the European market.
Nicolas Schwarz, managing director of JPK who will become managing director of Epoxy Technology Europe, said joining Meridian will allow management to open the gate to a much wider and diversified portfolio.
Jones Day advises SilverBow on Eagle Ford, Power River deals
Jones Day said May 6 it represented Houston-based SilverBow Resources Inc. on its acquisition of a private entity with Eagle Ford assets and entry into a definitive agreement to sell assets in the Powder River Basin. Counterparties and terms weren’t disclosed.
The deal was led by Houston partner Stephen Olson and included associates Alexandra Wilde, Will Mason, Brittney Brescia and Will Fullenweider.
The acquisition adds natural gas production directly offsetting SilverBow’s existing assets, bringing its combined acreage to more than 200,000 net acres in the western portion of the Eagle Ford.
SilverBow said it has the opportunity to recognize synergistic upside if natural gas prices improve in the future.
The divesture includes an overriding royalty interest in 188 net acres across Campbell, Converse and Niobrara Counties, Wyoming. That transaction is expected to close in the second quarter.
SilverBow CEO Sean Woolverton said in a statement that in light of the abrupt commodity price decline and uncertainty about the duration of depressed prices, the company is taking prudent steps to protect its balance sheet while also adjusting capital spending to ensure return thresholds continue to be met.
“SilverBow’s long-term strategy of building a diversified commodity portfolio in a single basin with a peer-leading cost structure provides us with many opportunities to quickly adapt to market conditions,” he said.
Shearman advises AFAS/AFWC on sale to Assurant
Shearman & Sterling advised American Financial & Automotive Services Inc. and American Financial Warranty Co. on their sale to Assurant Inc. for an undisclosed sum.
The Texas members of the team included partners Bill Nelson (Houston-capital markets) and Ryan Bray (Dallas-tax) along with counsel John Menke (Houston-capital markets).
AFAS, headquartered in The Woodlands, sells vehicle service contracts to automobile dealerships that cover vehicle repair costs once the manufacturer’s warranty expires and provides other aftermarket financial products. AFWC services those policies.
New York City-based Assurant provides policies that support, protect and connect major consumer purchases.
Akin Gump aids MPK/Princeton Equity on Restoration 1/Bluefrog Plumbing investment
Restoration 1 and Bluefrog Plumbing + Drain have attracted a strategic investment from MPK Equity Partners and Princeton Equity Group. Terms weren’t disclosed.
Princeton Equity managing partner Douglas Kennealey told The Texas Lawbook May 6 that Akin Gump counseled the firm on the investment, including Dallas partner Thomas Yang.
The companies said the deal comes at a time when essential businesses continue to grow in the recession-resistant sectors they serve.
Founded in 2008, Waco-based Restoration 1 has expanded to nearly 300 locations open and in development across the U.S. to become one of the fastest-growing brands in the $210 billion property restoration industry.
Bluefrog Plumbing + Drain, which Restoration 1 added in 2017, has begun expanding to new territories and states. It also began awarding the first co-branded franchise locations to Restoration 1 franchisees last year.
The companies’ CEO Gary Findley said MPK and Princeton will support management’s aggressive plans for continued growth, including plans to build or acquire complementary home services brands.
MPK is a Dallas private investment firm that focuses on expanding profitable companies in the consumer, tech-enabled business services, energy, education, healthcare and specialty distribution / manufacturing sectors.
Princeton is a franchisor and multi-unit investor. Its investments have included Massage Envy, European Wax Center, Sola Salon Studios and Urban Air.
CAPITAL MARKETS/FINANCINGS
Latham advises Oneok on its $1.5B notes offering
Latham & Watkins said May 4 that it represented Tulsa-based midstream services provider Oneok on its offering of $1.5 billion in senior notes.
Houston partners David Miller and Trevor Lavelle led the corporate team with associates Erin Lee, Ashlyn Royall and Alisha Patel.
Also weighing in were Houston tax partners Bryant Lee and Jim Cole with associates Mike Rowe and Marianne Standley.
The issue consisted of $600 million in 5-year senior notes at a coupon of 5.85%, $600 million of 10-year senior notes at a coupon of 6.35% and $300 million of 30-year senior notes at a coupon of 7.15%.
Oneok plans to use the expected $1.48 billion in net proceeds to repay the outstanding borrowings under its term loan facility and for general corporate purposes, which may include the repayment of other debt and the funding of capital expenditures.
The joint book-running managers included Citigroup Global Markets Inc., BofA Securities Inc., J.P. Morgan Securities, Morgan Stanley, Wells Fargo Securities, Credit Suisse Securities, RBC Capital Markets, Scotia Capital, SMBC Nikko Securities America, SunTrust Robinson Humphrey and U.S. Bancorp Investments. Tudor, Pickering, Holt & Co. Securities was co-manager.
Latham, HuntonAK assist on Magellan’s $500M debt offering
Magellan Midstream Partners announced that it priced $500 million of its 3.25% senior notes due 2030 at 99.88% of par to yield 3.264% to maturity.
Latham & Watkins represented Magellan Midstream with a team led by Houston partner Ryan Maierson with Houston associates Kevin Richardson, Clayton Heery and Drew West.
Tax matters were handled by Houston partners Tim Fenn and Bryant Lee with Houston associates Mike Rowe and Chelsea Muñoz-Patchen while environmental matters were covered by Houston partner Joel Mack.
Hunton Andrews Kurth counseled the underwriters. Corporate partner Jordan Hirsch led the deal team with assistance from associates Mike Hoffman, Amanda Thienpont, Oliver Fankhauser and Casey Shaw, all of Houston.
Houston corporate partners Mike O’Leary and Rob Taylor handled opinion matters, Houston oil and gas partner Harve Truskett worked on real property matters, Austin partner Lisa Shelton weighed in on environmental issues and Houston partners Tom Ford and Robert McNamara were on tax with associate Tim Strother.
The partnership intends to use the $495.4 million in net proceeds for general partnership purposes, including capital projects and repayment of debt (notably borrowings under its revolving credit facility and commercial paper program) and redemption of its 4.25% senior notes due 2021.
The underwriters were J.P. Morgan Securities, Mizuho Securities, RBC Capital Markets, SMBC Nikko Securities America and U.S. Bancorp Investments as joint book-running managers and Barclays Capital, PNC Capital Markets, SunTrust Robinson Humphrey, TD Securities and Wells Fargo Securities as co-managers.
Latham aids Venator Materials on $225M private offering of senior secured notes
Venator Materials announced that it priced $225 million in senior secured notes due 2025 at 98.008% of their face value through its units Venator Finance S.à r.l. and Venator Materials. The interest rate is 9.500%.
Closing is expected by May 22.
Latham & Watkins represented Venator Materials, including Houston partner Michael Chambers with Houston associates Ryan Lynch, Madeleine Neet, Erin Lee and Jordan Mack.
HuntonAK advises on Hilltop’s $200M in notes offering
Hilltop Holdings Inc. announced May 7 the pricing of $200 million in notes offerings.
Wachtell, Lipton, Rosen & Katz counseled Hilltop Holdings (David E. Shapiro and Gregory E. Pessin).
Hunton Andrews Kurth assisted the underwriters, including corporate partners Phil Haines in Houston and Beth Whitaker in Dallas and corporate associates Patrick Quine and Zach Silvers and tax associate Caitlin Sawyer in Austin.
The offerings included $150 million in 6.125% fixed-to-floating rate subordinated notes due 2035 and $50 million in 5.75% fixed-to-floating rate subordinated notes due 2030.
UPDATE/OTHER:
Pure Acquisition Corp. did a do-over of its purchase of affiliates of HighPeak Energy Partners, which it announced it was acquiring in November of last year and then canceled April 24. The new deal involves 5.35 million shares of Class B common stock (out of 10.35 million founders shares) and a minimum of 30.72 million warrants. There also is a large “investor incentive” built into the transaction, observers say, with Pure shareholders and new investors eligible to participate if they hold or purchase 100,000 shares or greater (they must hold the stock for two years to qualify). The sponsor will place into escrow collateral shares that will provide a preferred return down to a $4 per share price. The parties expect to close the deal by August. Vinson & Elkins advised HighPeak Energy Partners and Hunton Andrews Kurth was counsel to the special committee of Pure’s board, with Jefferies providing outside financial advice (Latham counseled Jefferies). EarlyBirdCapital Inc. advised Pure. Jack Hightower is HighPeak Energy’s chairman and CEO.
***
Two Houston lawyers with Sidley represented NRG Energy on its agreement to supply the City of Houston with electricity from 100% renewable energy sources. The deal, announced April 30, was co-led by Houston energy counsel Averill Conn and Houston energy associate Mario Samos. The city expects to achieve $65 million in savings over the seven-year contract.
***
Deal catchup: Texas lawyers worked on Scandrill Inc.’s merger with VYGR Holdings that closed Dec. 20. Terms weren’t disclosed, but the deal was worth less than $500 million. Griffin & Matthews in Houston advised Scandrill, including Samuel S. Griffin III, Christopher Clay and Sarah L. Griffin. Thompson & Knight also represented Scandrill, including Bill McDonald, Andrew P. Flint, Susan Fisher, Walker Brierre and Sarah H. Frazier. White Oak Global Advisors-backed VYGR controls drilling assets from SPN Well Services Inc., the former owner of Texas-based onshore drilling contractors Felderhoff Brothers Drilling Co. and JDC Drilling Co. The merged business will operate under the Scandrill brand, be based in Houston and led by president Torrey Mosvold.