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Upstream: Transactional Due Diligence/Outsourcing: Comprehensive Transactional Advisory

A private equity-backed startup (“the Company”) consisting of three executive personnel—Chief Executive Officer, Chief Operational Officer and Chief Development Officer—purchased approximately 1,500 operated wells and 2,500 non-operated wells, along with associated midstream assets, for $190 million from one of the largest privately held U.S.-based oil and gas companies.

The Company engaged Opportune in May of 2018 to assist with all aspects of transactional advisory—from performing due diligence and coordinating various parties to ensuring everything was closed successfully. After closing, the Opportune team pivoted towards systems/data integration with a particular focus on exiting the Transition Services Agreement (“TSA”) as quickly as possible.

Specifically, Opportune professionals added value by:

  • Coordinating due diligence and advisory services prior to close
  • Performing interim CFO support while the Company selected its own CFO
  • Implemented systems and processes, including field data capture (including a custom field ticket tracking system), production allocation and reporting, gas plant accounting, back-office accounting and financial reporting
  • Transitional back-office land administration, plant accounting, revenue, billing and financial reporting from seller to outsourcing entity a month prior to TSA, which ultimately saved the client $500,000

Opportune’s professionals have decades of deep experience within the energy market and have added value to corporate and private equity clients on over $100 billion of public and private transactions globally. We do this by working together as one firm—assembling our seamless team of finance, tax advisory, process and technology, due diligence and valuation professionals. We work with a sense of urgency and focused discipline to deliver outstanding service within mandated time frames.

Our consultants are industry experts with a wealth of knowledge and experience in all things energy, including mergers and acquisitions, tax structuring and complex debt and equity infusions of capital. We are well-versed in the technical aspects of all forms of financial transactions involving the energy sector, including asset and corporate merger transactions, as well as joint venture and structured finance arrangements. We bring value to our clients on the transaction advisory assignments through the execution of each critically important component we are assigned. For more information, CLICK HERE.

Carl Wimberley

PartnerOpportune LLP