Private-equity backed Frontier Tubular Solutions LLC recently acquired Permian Enterprises, a tubular goods service provider in West Texas which history dates back over 50 years in the heart of the Permian Basin.

The transaction was revealed in a May release by SCF Partners, a Houston-based private-equity firm that backs Frontier, though it did not disclose the terms of the transaction.

Permian Enterprises
(Source: Permian Enterprises)

Permian Enterprises was formed in 1948 for the purpose of cement lining steel pipe for the oil fields of West Texas. Today, the company offers internal plastic coatings, cement and fiberglass linings, external coatings and linings, and non-destructive inspection services to the oil and gas industry throughout Texas and New Mexico from its headquarters in Odessa, Texas. 

Since its formation, Permian Enterprises has cement lined in excess of 80 million feet of pipe, coated 30 million feet of Ryt-Wrap, and in the past dozen years has lined in excess of 24 million feet, according to the company website.

The acquisition of Permian Enterprises is expected to diversify Frontier’s service offerings and expand the company’s geographical footprint, with a full-service facility in the Permian Basin, according to the company press release.

Founded over 90 years ago, Frontier is a full-service tubular goods provider headquartered in Houston. The company also has an additional service location in Edmond, Okla.

Last year, Frontier received a boost in capital when SCF Partners agreed to invest an undisclosed amount in the company, which resulted in the firm becoming majority owners of Frontier. The company’s CEO, John Schissler, and president, Greg Pounders, retained their roles and maintained minority ownership in the business.

At the time, SCF Co-President David Baldwin indicated the firm had plans to grow the nearly century-old company.

“Frontier’s history, strong track record and strong management team make it an ideal new platform for growth,” Baldwin said in a September 2018 release. “We look forward to working together to take Frontier to the next level.”

SCF Partners focuses solely on building energy services, equipment and technology companies. The firm has completed more than 400 energy services investments and helped build 17 public companies in its nearly 30-year history, the company release in May said.

Some of SCF Partners’ current investments include Nine Energy Service Inc., Select Energy Services Inc. and Forum Energy Technologies Inc.

Vinson & Elkins (V&E) advised SCF Partners and its portfolio company, Frontier, in connection with Frontier’s acquisition of Permian Enterprises. The V&E corporate team was led by partner Brittany Sakowitz.

Emily Patsy can be reached at epatsy@hartenergy.com.