Oil & Gas Downturn
The Challenge:
The oil and gas downturn of 2014/15 put financial pressure on a leading manufacturer of critical, quick-turn premium tubular accessories and threaded applications for downhole oil and gas completion activities.
Statesman’s Value Add:
- Exclusive financial advisor to the Company
- Explored a range of potential investors
- Capital sourcing through strategic energy financing relationships
- Negotiated purchase price and terms of the ultimate agreement
- Assessed post-transaction organizational charts and employment agreements
- Assisted in due diligence and closing
The Solution:
A successful financial transaction shored up the company’s finances through the partnership with a capable, strategic financial firm with extensive experience investing in complicated, operationally intensive situations.
The Impact:
The Company Founder continued as President of the Company, and other key management team members remained with the business. The transaction infused new energy and business development experience into the Company. The private equity investor had a long track record of investing in operations and growing businesses alongside management. The financial support achieved allowed the Company to continue providing high quality products to existing customers and pursue additional business initiatives and service offerings.
“Statesman’s knowledge of the oil and gas industry combined with their strong relationships with private equity firms comfortable in the energy industry was imperative.”
