Platte River Equity said Tuesday it is partnering with three midstream energy industry executives to form First River Energy. Denver-based First River will buy and develop midstream assets for the gathering of crude oil, condensates, natural gas liquids (NGLs) and other related products. The executives include Johan Thematt, Jim Imbler and Chris Philpott. Platte River didn’t disclose how much it would invest in First River but capital will come out of its third fund, Platte River Equity III LP.
Denver, CO, August 13, 2014. Platte River Equity (“Platte River”) today announced that it has established a partnership with leading midstream energy industry executives, Johan Thematt, Jim Imbler and Chris Philpott, to form First River Energy, LLC (“First River”). Headquartered in Denver, Colorado, First River’s objective is to acquire and develop midstream assets for the gathering of crude oil, condensates, natural gas liquids (NGLs) and other related products, and provide marketing services for the small independent crude oil producers.
First River’s founders and management team bring significant experience as key managers of private and publicly traded midstream entities. Collectively, the team has helped close over $1 billion in midstream acquisitions in the last year through past leadership roles at midstream energy companies.
“A unique opportunity exists to build a significant midstream company focused on an important, yet underserved, segment of the crude oil production market. Platte River’s partnership with First River is a reflection of our outlook for investing in the midstream energy sector. We are actively seeking acquisitions and believe there will continue to be a number of compelling investment opportunities in the market,” said Platte River Managing Director, Peter Calamari.
“On behalf of the management team at First River, we are thrilled to partner with Platte River, a private equity firm distinguished by its expertise in the energy services industry,” commented Johan Thematt. “Platte River has been actively evaluating opportunities in the midstream space. With our partnership, First River is well positioned to benefit from the firm’s deep domain knowledge and expertise.”
Platte River will invest capital out of its third fund, Platte River Equity III, L.P., to support First River’s strategy.
About Platte River Equity
Based in Denver, Colorado, Platte River Equity is a private equity firm that invests in lower middle market operating companies with enterprise values generally between $20 million and $250 million. The firm focuses on targeted industry sectors where it has deep operating and investing experience including: aerospace and transportation; energy and industrial products and services; and chemicals, metals and industrial minerals. Platte River Equity manages funds with committed capital in excess of $700 million.