Atlas said the deal adds power services in the company’s core Permian Basin operating area, including a fleet of natural gas-power assets with 212 megawatts of capacity. (Source: Shutterstock)
Atlas Energy Solutions will acquire distributed power solutions company Moser Energy Systems in a cash-and-stock deal valued at $220 million, Atlas said Jan. 27.
Atlas said the deal adds power services in the company’s core Permian Basin operating area, including a fleet of natural gas-power assets with 212 megawatts of capacity.
Atlas’ completion platform and Moser’s power platform will create a “diversified energy solutions provider with a leading portfolio of proppant, logistics (including the Dune Express) and distributed power solutions,” Atlas said.
Moser’s strong EBITDA margin profile of 50% plus and robust cash flow generation is expected to enhance Atlas’s pro forma cash flow generation and shareholder returns and is estimated to be immediately accretive, Atlas said.
“Assuming 10-months of contribution, we expect the acquired assets to generate $40-45 million in Adjusted EBITDA(1) in 2025, which implies on a full run-rate basis a valuation of approximately 4.3x 2025 Adjusted EBITDA,” Atlas said.
Atlas will buy Moser through a combination of $180 million cash and approximately 1.7 million shares valued at $40 million, based on the 20-day trailing volume-weighted average price ending at the close of trading Jan. 24. Atlas can elect to pay the aggregate fully in cash in lieu of stock. The final consideration mix will be determined at closing, the company said.
The transaction is expected to close before the end of first-quarter 2025.
John Turner, president and CEO of Atlas, said the acquisition diversifies the company into “attractive high-growth end markets in both production and distributed power while strengthening Atlas’s current market position as a leading provider of energy solutions within the oil and gas sector across North America.”
“This transaction highlights our continued commitment to evolve our organization by deploying innovative and differentiated solutions to return value to our shareholders,” Turner said.
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