Buyout (LBO, MBO, MBI) • Oil/Gas Exploration

Warburg Pincus, CCMP Capital and NGP Acquire Encore Acquisition Co.

On January 1, 1998, private equity firms Warburg Pincus, CCMP Capital and NGP acquired oil/gas exploration company Encore Acquisition Co.

Acquisition Context
  • This is Warburg Pincus’ 1st, CCMP Capital’s 1st and NGP’s 2nd transaction in the Oil/Gas Exploration sector.
  • This is Warburg Pincus’ 12th, CCMP Capital’s 18th and NGP’s 2nd transaction in the United States.
  • This is Warburg Pincus’ 1st, CCMP Capital’s 2nd and NGP’s 2nd transaction in Texas.
Investment Fate
  • Encore Acquisition Co. went public in 2001.
  • Encore Acquisition Co. was sold to a strategic buyer in 2009 for 4.5B USD.

Explore All 526 Buyout (LBO, MBO, MBI) Oil/Gas Exploration Deals - Search the Database Free


M&A Deal Summary

Date January 1, 1998
Target Encore Acquisition Co.
Sector Oil/Gas Exploration
Buyer(s) Warburg Pincus
CCMP Capital
NGP
Deal Type Buyout (LBO, MBO, MBI)

Target Company

Encore Acquisition Co.

Fort Worth, Texas, United States
Encore Acquisition Company is engaged in the development of onshore North American oil and natural gas reserves. Encore has acquired high-quality assets and grown through drilling, waterflood, and tertiary projects. Encore's properties are located in the Rockies, the Mid-Continent, and the Permian Basin.
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Buyers Overview 3

Buyer

Warburg Pincus

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1966
PE ASSETS 83.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Warburg Pincus is a mega-sized, global private equity firm focused on investment opportunities across North America, Asia, and Europe. Warburg will consider investing at various company stages, from early-stage opportunities to distressed situations. Warburg Pincus is organized by industry groups. Verticals include financial services, healthcare, technology, media & telecommunications, energy, consumer & industrial, and real estate. Within financial services, Warburg will consider asset/wealth managers, banks, exchanges, financial technology, insurance, transaction processing, private banking, and specialty/consumer finance. Within healthcare, specific areas of interest include medical devices, healthcare services, and biotech/pharmaceuticals. Within technology/media/communications, Warburg targets software, media/internet/information, financial technology, telecom, business services, and systems/semiconductors. Within energy, specific areas of interest include oil/gas exploration, power generation/transmission, and alternative energy. Warburg Pincus raised its first fund in 1966 and is based in New York City.


Deal Context for Buyer #
Overall 22 of 493
Sector: Oil/Gas Exploration 1 of 40
Type: Buyout (LBO, MBO, MBI) 18 of 86
State: Texas 1 of 40
Country: United States 12 of 242
Year: 1998 2 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
1998-01-01 Zentiva

Prague, Czech Republic

Zentiva is a generics pharmaceutical company, offering generic medicines across all key therapeutic areas. Zentiva is based in Prague, Czech Republic.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
1998-05-01 Dentsu International

London, United Kingdom

Dentsu International is a global media and digital marketing communications firm. It delivers end‑to‑end experience transformation and business transformation services—spanning media planning and buying, digital creative, CXM, analytics, sports marketing, and content production—by integrating technology, data, and creativity for enterprise clients. Dentsu International is based in London, England.

Sell -
Buyer

CCMP Capital

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1984
PE ASSETS 16.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

CCMP Capital is a large private equity firm focused on buyout and growth equity valued up to $2 billion. Sectors of interest include consumer, retail, and services (specialty retail, direct marketing, consumer packaged goods); media/telecom (consumer and trade publishing, content and programming, broadcasting, cable, wireless and wire line communications ); industrial (chemicals, manufacturing, distribution, automotive); energy (exploration and production, power generation, renewable energy, services); and healthcare (services, pharmaceuticals, medical devices). The Firm's target investment size is $100 to $500 million. CCMP Capital Advisors was formed in 1984 and was spun off in 2006 from JP Morgan Chase. The Firm is based in New York City.


Deal Context for Buyer #
Overall 18 of 97
Sector: Oil/Gas Exploration 1 of 6
Type: Buyout (LBO, MBO, MBI) 14 of 49
State: Texas 2 of 14
Country: United States 18 of 75
Year: 1998 4 of 6
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
1998-01-01 SPI Polyols

Wilmington, Delaware, United States

SPI Polyols, Inc. is a producer of polyols - starch derivatives used in food, pharmaceuticals and oral care products.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
1998-05-01 La Petite Academy

Chicago, Illinois, United States

La Petite Academy is one of the nation's leading providers of center-based child care and early education through more than 750 locations throughout the country.

Buy -
Buyer

NGP

Dallas, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1988
PE ASSETS 25.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

Natural Gas Partners is a specialist private equity firm focused on investments in the energy industry. The Firm looks for opportunities in oil and gas production, as well as midstream and oilfield service companies. Natural Gas Partners will also consider start-up company investments. The Firm's investments range from $20 to $100 million. Natural Gas Partners is an affiliate of energy investment firm NGP Energy Capital Management. The Group was formed in 1988 and is headquartered in Irving, Texas with additional offices in Houston; Santa Fe, New Mexico; Stamford, Connecticut; and London.


Deal Context for Buyer #
Overall 3 of 80
Sector: Oil/Gas Exploration 2 of 44
Type: Buyout (LBO, MBO, MBI) 2 of 37
State: Texas 2 of 42
Country: United States 2 of 70
Year: 1998 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
1997-01-01 Pioneer Natural Resources

Irving, Texas, United States

Pioneer Natural Resources is a large independent exploration and production company with a large position in the Permian Basin. Pioneer Natural Resources Company was formed through the 1997 merger of NGP Portfolio Company, MESA Inc., and Parker & Parsley Petroleum Company. Pioneer Natural Resources was founded in 1997 and is based in Irving, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2001-09-03 Encore Acquisition Co.

Fort Worth, Texas, United States

Encore Acquisition Company is engaged in the development of onshore North American oil and natural gas reserves. Encore has acquired high-quality assets and grown through drilling, waterflood, and tertiary projects. Encore's properties are located in the Rockies, the Mid-Continent, and the Permian Basin.

Sell -