Pelican sells Houston Global Heat Transfer

Pelican Energy Partners has sold Houston Global Heat Transfer to Forum Energy Technologies. No financial terms were disclosed. Based in Houston, GHT is a provider of industrial heat exchanger and cooling systems used primarily in hydraulic fracturing equipment.

PRESS RELEASE

HOUSTON, Oct. 10, 2018 /PRNewswire/ — Pelican Energy Partners (“Pelican”), a private equity fund focused on the oilfield service and equipment sector, is pleased to announce the sale of Houston Global Heat Transfer (“GHT”) to Forum Energy Technologies (NYSE: FET). Headquartered in Houston, TX with additional locations in Edmonton, Alberta and Midland, TX GHT designs, engineers, and manufactures premium industrial heat exchanger and cooling systems used primarily in hydraulic fracturing equipment. GHT’s flagship product, the Jumbotron, is a patented, high-performance radiator engineered specifically for the demands of today’s pressure pumping equipment. The Jumbotron’s cube design offers considerable advantages as compared to conventional horizontal frac radiators, including significant cost savings from reduced downtime and less costly and less frequent maintenance, lower operating costs, greater noise reduction and Tier II/Tier IV engine emissions compliance. GHT’s technology is also used in cooling systems for drilling, vapor recovery, mining and power generation applications.

“Pelican invested in GHT in January 2017 to provide the company the growth capital it needed to expand its assembly and service capacity in Houston and invest in engineering, new product development and additional personnel prior to the recent market surge in pressure pumping newbuild orders,” said John O’Brien, Managing Director of Pelican. “Since our investment, GHT has gained significant market share, commercialized its remote radiator monitoring system (Smart Radiator), opened a Midland aftermarket service facility and considerably expanded and advanced its R&D and new product portfolio. It’s been a privilege to partner with both Randy Vanberg and Derek Hjorth and to have been a part of the GHT story.”

“Through the downturn, there was a record amount of frac equipment sitting on the sidelines. Much of this equipment was built prior to 2013 and we saw an unprecedented opportunity for GHT to participate in the imminent recovery as well as take a leading market position and establish a sustainable brand,” added GHT’s President Randy Vanberg. “The Pelican team played a critical role in helping the company grow at exactly the right time. We are happy and thankful to have partnered with Pelican.”

Baker Botts L.L.P. served as the lead sell-side counsel on the transaction. Simmons & Company International, the energy specialists of Piper Jaffray, served as the company’s financial advisor for the transaction and also conducted the sales process.

Global Heat Transfer
Headquartered in Houston, TX with additional locations in Edmonton, AB and Midland, TX, GHT was founded in 1978 and is a leader in the design, assembly, service and repair of radiators, oil coolers, gas coolers and industrial cooling systems used in the pressure pumping, drilling and vapor recovery segments of the oil & gas industry. GHT’s flagship product, the Jumbotron, is a patented, high-performance radiator engineered specifically for the demands of today’s pressure pumping equipment.

Pelican Energy Partners
Pelican Energy Partners is a Houston-based private equity fund specializing in strategic investments in small to middle-market, high-growth potential energy service and equipment companies with sustained earnings outlooks. The firm has raised $563 million of committed capital and is investing out of its third fund.