M&A Deal Summary

Tailwater Capital Acquires Tall Oak Midstream II

On January 27, 2021, private equity firm Tailwater Capital acquired oil/gas exploration company Tall Oak Midstream II from EnCap Flatrock Midstream

Acquisition Highlights
  • This is Tailwater Capital’s 8th transaction in the Oil/Gas Exploration sector.
  • This is Tailwater Capital’s 22nd transaction in the United States.
  • This is Tailwater Capital’s 4th transaction in Oklahoma.

M&A Deal Summary

Date 2021-01-27
Target Tall Oak Midstream II
Sector Oil/Gas Exploration
Buyer(s) Tailwater Capital
Sellers(s) EnCap Flatrock Midstream
Deal Type Secondary Buyout
Advisor(s) Winston & Strawn (Legal)

Target

Tall Oak Midstream II

Edmond, Oklahoma, United States
Tall Oak Midstream II is a full-suite midstream provider serving customers in the Mid-Continent. Tall Oak II was established to pursue greenfield and acquisition opportunities in oil and gas plays across North America and currently consists of over 750 miles of low and high-pressure gathering lines across eight Oklahoma counties in the STACK Extension. Tall Oak Midstream II is based in Edmond, Oklahoma.

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Buyer(S) 1

Buyer

Tailwater Capital

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2013
PE ASSETS 4.4B USD
Size Large
Type Sector Focused
DESCRIPTION

Tailwater Capital LLC is a specialist private equity firm focused on middle-market opportunities in the midstream and upstream sectors of the energy industry. Tailwater will consider acquisitions of non-core assets, roll-up situations, anchored greenfields, and joint ventures. Tailwater Capital was formed in 2013 and is based in Dallas, Texas.


DEAL STATS #
Overall 22 of 28
Sector (Oil/Gas Exploration) 8 of 9
Type (Secondary Buyout) 2 of 2
State (Oklahoma) 4 of 4
Country (United States) 22 of 28
Year (2021) 2 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-01-27 Tall Oak Midstream III

Edmond, Oklahoma, United States

Tall Oak Midstream III assets consist of more than 120 miles of low-pressure and high-pressure pipelines in the Arkoma Basin, as well as the recently developed and fully operational Panther Creek Plant, a 200 MMscf/d RSV technology processing plant that currently moves processed gas to MarkWest’s Arkoma Connector. Tall Oak Midstream III is based in Edmond, Oklahoma.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-02-17 NorTex Midstream Partners

Houston, Texas, United States

NorTex Midstream Partners is an independently owned developers and operators of high-deliverability, multi-cycle natural gas storage capacity. NorTex was founded in 2007 and is based in Houston, Texas.

Buy -

Seller(S) 1

SELLER

EnCap Flatrock Midstream

San Antonio, Texas, United States

Investor Investor Investor Investor Investor


Category Venture Capital Firm
Founded 2008
PE ASSETS 9.0B USD
Size Middle-Market
Type Sector Focused
DESCRIPTION

EnCap Flatrock Midstream is a private investment firm focused on venture related opportunities in the midstream energy sector. EnCap Flatrock seeks majority positions in natural gas gathering, treating, processing and storage; crude oil gathering and transportation; and natural gas liquids fractionation, storage and transportation. EnCap Flatrock Midstream is affiliated with investment firm EnCap Investments, a large diversified energy investment firm. EnCap Flatrock is based in San Antonio, Texas.


DEAL STATS #
Overall 12 of 15
Sector (Oil/Gas Exploration) 10 of 12
Type (Secondary Buyout) 6 of 6
State (Oklahoma) 4 of 4
Country (United States) 12 of 15
Year (2021) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-01-27 Tall Oak Midstream III

Edmond, Oklahoma, United States

Tall Oak Midstream III assets consist of more than 120 miles of low-pressure and high-pressure pipelines in the Arkoma Basin, as well as the recently developed and fully operational Panther Creek Plant, a 200 MMscf/d RSV technology processing plant that currently moves processed gas to MarkWest’s Arkoma Connector. Tall Oak Midstream III is based in Edmond, Oklahoma.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-11-16 Nuevo Midstream Dos

Houston, Texas, United States

Nuevo Midstream Dos is specialized in design, building and operating world-class midstream systems and delivers superior service to oil and gas producers across North America. Nuevo Dos pursued organic and strategic acquisition opportunities across North America. Nuevo Midstream Dos was formed in 2015 and is based in Houston, Texas.

Sell -