EQT Infra buys gas compression firm

11 February 2019 - 12:00 am UTC

EQT Infrastructure has acquired a Texas gas compression services firm from The Stephens Group, an 11 February EQT announcement states.

EQT bought Kodiak Gas Services, which provides compression equipment and services to the oil and natural gas industry, from its EQT Infrastructure III vehicle. EQT plans to fund the firm’s continued expansion, the company said in the press release.

The terms of the deal were not announced.

Kodiak, founded in 2011 and based in the Houston area, services producers in the upstream and midstream sectors. The firm is active in the Permian, Eagle Ford and Scoop/Stack basins as well as others.

Kodiak’s management team, including its president Mickey McKee and CEO David G. Marrs, will remain in place, EQT said. The sale will also allow it to tap EQT’s team of advisors with energy and midstream experience, according to the press release.

“We are impressed with Kodiak’s continued transformation through data implementation and strong growth, and believe that the company’s ambition and people will continue to have positive impacts going forward,” EQT partner Alex Darden said in the press release.

Simpson Thacher & Bartlett served as EQT’s legal advisor, while Kirkland & Ellis acted as Kodiak’s legal counsel. Jefferies served as Kodiak’s financial advisor.

Last month, EQT bought Osmose Utilities Services, a utility and telecom inspection and maintenance firm, from Kohlberg & Company for an undisclosed sum from the same vehicle.

 

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