Trilantic Capital Management led a $375 million capital raise in Indigo Minerals, a natural gas producer. Trilantic invested $300 million, while existing investors the Martin Companies, Yorktown Partners, and Ridgemont Equity Partners together contributed the remaining $75 million.
Indigo Minerals LLC (“Indigo” or the “Company”) announced today the completion of a $375 million equity capital raise and the acquisition of certain producing properties and undeveloped acreage in the core of the Cotton Valley and Haynesville plays from a private exploration and development company. Pro forma for the acquisition, Indigo holds approximately 160,000 net acres in Northwest Louisiana and East Texas in addition to a significant portfolio of minerals and leasehold interests across 15 states. Indigo is the tenth largest private producer of natural gas in the United States with year-end SEC proved reserves of 1.27 Tcf.
The capital raise was led by Trilantic Capital Management L.P. (“Trilantic North America”), which invested $300 million in Indigo, in partnership with the Company’s existing investors, including the Martin Companies, L.L.C. (“Martin Companies”), Yorktown Partners LLC (“Yorktown”) and Ridgemont Equity Partners (“Ridgemont”), who together invested $75 million of additional equity in the Company.
“We are grateful for the support of our new and existing investors and look forward to a fruitful partnership. The acquisition of these properties further enhances Indigo’s leading position in a world class natural gas basin, and presents an exciting opportunity for the Company, its employees and its investors,” said Bill Pritchard, Indigo’s Chairman and CEO.
Indigo was advised by Jefferies LLC and Kirkland & Ellis LLP. Trilantic North America was advised by Latham & Watkins LLP. The Martin Companies were advised by their general counsel, Ray Brown. Yorktown was advised by Thompson & Knight LLP. Ridgemont was advised by Troutman Sanders LLP.
About Trilantic North America
Trilantic North America is a private equity firm focused on control and significant minority investments in North America. Trilantic North America’s primary investment focus is in the business services, consumer, energy and financial services sectors. To date, Trilantic North America’s energy team has committed approximately $3.1 billion in capital across 22 energy investments. As of December 31, 2015, Trilantic North America currently manages four private equity funds with aggregate capital commitments of $5.7 billion. For more information, visit www.trilantic.com.
About the Martin Companies
Martin Companies is a family-owned, equity investment company concentrated on land, timber and mineral resources. The various companies comprising its ownership interests include: plywood and oriented strand board (OSB) manufacturing facilities in Louisiana (RoyOMartin); one of the largest land owners in Louisiana (Martin Timberlands); a new company currently constructing an OSB facility in Corrigan Texas; and a lumber company formed by the family patriarch in 1923.
Yorktown has raised eleven private equity funds over the past three decades totaling $8 billion in capital commitments. Yorktown’s investors include university endowments, foundations, families, insurance companies, and other institutional investors. Predecessor investment funds managed by Yorktown have invested in the aggregate more than $1.5 billion in portfolio companies managed by one or more members of the current management team of Indigo Minerals.
Ridgemont Equity Partners is a Charlotte-based middle market buyout and growth equity investor. Since 1993, the principals of Ridgemont have invested over $3.5 billion in 128 companies. The firm focuses on investments of $25 million to $100 million in industries in which it has deep expertise, including basic industries and services, energy, healthcare, and the telecommunications, media, and technology sector.