Enverus agreed on Feb. 12 to acquire rival RS Energy Group in a transaction merging the leading SaaS innovators in the energy industry.

The companies, both backed by private equity firms, didn’t disclose the terms of the transaction. However, a report by Bloomberg in early January gave the deal a roughly $1 billion valuation citing people who asked not to be identified.

For more than 20 years, Enverus and RS Energy each independently established a reputation for innovation through their offerings of analytics, intelligence and technology, which Jeff Hughes, CEO and president of Enverus, expects the combination will bolster. 

“This is about accelerating innovation through high-powered technology and is another active step for Enverus in breaking down silos by building workflows across engineering, geology, land, operations, and so much more,” Hughes said in a statement.

Jim Jarrell and Manuj Nikhanj, who serve as co-CEO and president and RS Energy Group, will join Enverus as co-presidents overseeing Enverus’ oil and gas analytics division.

Clients of both Enverus and RS Energy will immediately derive value with access to new data sets and unique insights, according to the Enverus release.

Enverus, formerly known as Drillinginfo, was purchased by Genstar from Insight Venture Partners in 2018. The terms of the transaction weren’t disclosed. However, since the deal, Enverus has been on an acquisition campaign, recently acquiring RigData from S&P Global Platts and Midland Map Co., a nearly 70-year-old mapmaking company based in the Permian Basin.

RS Energy Group, formerly the Ross Smith Energy Group, was founded in 1998. Warburg Pincus acquired the firm in 2015 from Investment Technology Group, which had purchased RS Energy in 2011. In addition to its Calgary office, RS Energy Group has offices in Houston, New York and Conshohocken, Pa.

Goldman Sachs was exclusive financial adviser to Enverus. Credit Suisse and Jefferies were financial advisers to RS Energy Group and Warburg Pincus. Kirkland & Ellis LLP provided legal counsel to RS Energy Group. Law firm Vinson & Elkins also advised executives of RS Energy Group on the transaction. Simpson Thacher, Weil, Gotshal & Manges LLP, Ropes & Gray LLP and Irell & Manella LLP served as Enverus’ legal counsel.

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