Riverstone/Carlyle Global Energy and Power Funds, a group of energy-focused private equity funds managed by buyout shop Riverstone Holdings, has acquired USA Compression Holdings. Financial terms of the deal were not disclosed. Formed in 1998, USA Compression provides natural gas compression services across the U.S. The company is based in Austin and Dallas. Riverstone Holdings has roughly $17 billion under management.
The Riverstone/Carlyle Global Energy and Power Funds, a group of energy-focused private equity funds managed by Riverstone Holdings LLC (“Riverstone”), announced today that it has completed the acquisition of USA Compression Holdings, LP, the parent company of USA Compression Partners, LLC (“USA Compression” or the “Company”), a natural gas compression services company headquartered in Austin and Dallas, Texas. The terms of the transaction were not disclosed.
Founded in 1998, USA Compression is the largest pure-play contract compression service provider in the United States, with approximately 610,000 horsepower of compression equipment deployed across 13 states in the Central and Northeast regions. USA Compression focuses on long-lived, large horsepower infrastructure applications, with most of its fee-based compression services provided on large regional gathering systems. The Company has a strong presence in the fastest growing natural gas shale plays, including the Marcellus, Fayetteville, Haynesville, Eagleford, Woodford and Barnett shales.
Eric D. Long, CEO of USA Compression, said, “We are pleased to partner with Riverstone, an organization with deep knowledge and experience in the midstream sector. Riverstone’s demonstration of confidence in our team and business plan represents an exciting opportunity for USA Compression to continue our history of stable and profitable growth as we take our company to the next level. Riverstone shares our customer-centric focus driven by operational excellence.”
Pierre Lapeyre and David Leuschen, Co-Founders of Riverstone, added, “USA Compression’s strategy is consistent with Riverstone’s approach of partnering with companies with successful management teams and strong growth prospects supported by industry fundamentals. We are looking forward to working with the management and employees of USA Compression to expand the business.”
About Riverstone Holdings LLC
Riverstone Holdings LLC, an energy and power-focused private equity firm founded in 2000, has approximately $17 billion under management across six investment funds, including the world’s largest renewable energy fund. Riverstone conducts buyout and growth capital investments in the midstream, exploration & production, energy services, power and renewable sectors of the energy industry. With offices in New York, London and Houston, the firm has committed approximately $14.6 billion to 72 investments in North America, Latin America, Europe and Asia. For more information, visit www.riverstonellc.com.