|
|
Article: United States: Texas Pacific takes $500 million stake in Houston firm.
- Article from:
- TendersInfo
- Article date:
- November 3, 2009
CopyrightCOPYRIGHT 2009 Al Bawaba (Middle East) Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
Byline: manish03
Private equity giant Texas Pacific Group is out to show that drilling a hole in the ground isn't the only way to tap into the country's boom in natural gas shale production. TPG is investing $500 million in Houston-based Valerus Compression Services, giving it a majority stake in the natural gas processing equipment company.
Valerus will use the funds to refinance some of its debt and increase its annual capital budget to between $90 million and $100 million over the next five years, said Chet Erwin, CEO of Valerus.
TPG's involvement is a critical step in the evolution of the company, Erwin said. Valerus makes equipment that ...