Enstor will continue to manage and operate its natural gas storage facilities in Alabama, Mississippi, Texas and New Mexico
IIF acquires Enstor Gas from ArcLight. (Credit: mosswoodconnections from Pixabay)
Enstor Gas (“Enstor”), the largest privately owned gas storage company in the U.S., today announced that the company and its natural gas midstream assets have been acquired by the Infrastructure Investments Fund (“IIF”), an investment vehicle advised by J.P. Morgan Investment Management Inc., from an affiliate of ArcLight Capital Partners, LLC (“ArcLight”). Terms of the transaction were not disclosed.
“Today’s transaction is a tribute to the strength of our assets in the U.S. gas storage market, our employees’ strong track record of safe, efficient operations and their dedication to the communities in which we operate,” Enstor CEO Paul Bieniawski said. “It is because of their hard work that Enstor is the leading U.S. natural gas storage company.”
Matthew LeBlanc, Chief Investment Officer for IIF, said, “We are excited to work with Enstor, an industry-leading strategic platform uniquely positioned to provide safe, reliable natural gas storage services in strategic areas across the U.S. We look forward to partnering with the Enstor leadership team and employees to build upon the company’s track record of success for the benefit of its customers and communities.”
“Together with management, ArcLight built Enstor into a leading natural gas storage franchise through a series of asset acquisitions and commercial and engineering optimization activities beginning in 2018. With today’s sale, the next chapter of opportunity begins for Enstor, and we wish the team and IIF great success,” said Dan Revers, ArcLight’s Managing Partner.
Enstor will continue to manage and operate its natural gas storage facilities in Alabama, Mississippi, Texas and New Mexico. The Enstor headquarters will remain in Houston and the Enstor executive team will continue to manage the company.
RBC Capital Markets served as financial advisor and Milbank LLP served as legal advisor to IIF. Jefferies LLC served as financial advisor and Orrick Herrington & Sutcliffe LLP served as legal advisor to ArcLight.
Source: Company Press Release