Enverus unveiled a deal on April 13 giving Hellman & Friedman (H&F) majority ownership of Enverus, which it says marks a significant milestone for the company.

Based in Austin, Texas, Enverus is global energy data analytics and SaaS technology company with more than 1,400 professionals and 6,000 customers across the entire energy mix. According to CEO Jeff Hughes, the new investment signals the next phase of growth for Enverus and further validates the firm’s industry leadership and significant expansions into predictive analytics, artificial intelligence, machine learning, renewable energy, power and ESG.

“The investment is a strong signal in support of Enverus’ growth in predictive analytics, artificial intelligence and machine learning capabilities,” Hughes said in a statement.

Per the agreement announced in an April 13 company release, H&F will acquire the majority ownership of Enverus from Genstar Capital, which has been Enverus’ majority owner since 2018. Genstar Capital will remain a significant shareholder following the transaction, the terms of which weren’t disclosed.

“We will continue helping our oil and gas customers break new ground with these technologies while also aggressively expanding them into renewable energy, power and ESG Analytics,” Hughes continued in his statement.

H&F is currently investing its ninth fund, with $16.5 billion of committed capital.

Headquartered in San Francisco, H&F is a global private equity firm with additional offices in New York and London. Since its founding in 1984, the firm said it has raised over $50 billion of committed capital and invested in over 90 companies.

In a statement commenting on the transaction, Ben Farkas, partner at H&F, said the acquisition is an example of H&F’s strategy to invest in high-quality, market-leading businesses with an impressive runway for growth.

“We are seeing a technology revolution in the energy sector and Enverus is the clear leader providing world-class SaaS solutions and innovation,” Farkas said.

“We are excited to partner with Jeff Hughes, the Enverus leadership team and Genstar, as the company continues to help customers leverage the full potential of this digital transformation,” he added.

Genstar acquired Enverus, named Drillinginfo at the time, in 2018 from Insight Venture Partners.  The private equity firm, also based in San Francisco, currently has approximately $33 billion of assets under management and targets investments focused on targeted segments of the financial services, healthcare, industrials and software industries.

In a statement on April 13, Eli Weiss, managing director at Genstar, said: “We have been extremely gratified by our partnership with the Enverus management team and their success combining a suite of product offerings and sophisticated data analytics platform for energy providers. Through organic growth and accretive acquisitions, Enverus has established itself as the technology leader in the energy market and we are excited to continue to support Enverus’ growth trajectory in collaboration with H&F.”

Goldman Sachs & Co. LLC served as financial adviser and Simpson Thacher & Bartlett LLP provided legal advice to Enverus for the transaction. Meanwhile, H&F received financial and legal advice from Credit Suisse and Kirkland & Ellis LLP, respectively.

Comments