EnergyNet, the leading online marketplace for buying and selling oil and gas assets, announced today a strategic investment from MPK Equity Partners of Dallas. The new funding will support EnergyNet's efforts to further expand its leadership position in oil and gas acquisition and divestiture (A&D) services and the online energy marketplace. Additional details of the investment were not made public.
EnergyNet's unique, web-based platform offers a modern alternative to traditional auctions and investment bank-led sale processes that are limited in the scope and supply of properties, number of bidders, access to evaluation tools and transparent data. The company's proprietary platform provides sellers the opportunity to reach nearly 20,000 unique bidders stretching across the U.S., creating a level of competitive dynamics and efficiencies that are unachievable through any competing A&D platform. EnergyNet's synchronized information is easily accessible through its online portal, providing buyers with the flexibility and convenience to conduct their A&D activity anywhere they need 24/7/365.
"Our entire management team and I view this partnership with MPK as a historic milestone in the evolution and growth of our company, and we are very excited to welcome them to the EnergyNet family," said Bill Britain, CEO and Chairman of EnergyNet. "Our competitive solution combines world-class technology with deep energy industry knowledge to create the most efficient and effective marketplace to buy and sell oil and gas assets. With the additional resources MPK provides, we are even better positioned to innovate and deliver superior results for our customers."
EnergyNet has steadily grown since its founding in 1999, however, over the past few years, its growth has accelerated as the complexity, asset value and client-caliber of the deals it facilitated increased dramatically. Over the last year, the EnergyNet platform has facilitated the sale of almost $1 billion in oil and gas properties. EnergyNet's clients include major oil and gas companies, large independents, bank trust departments, foundations, churches, universities and high-net-worth individuals. In addition, EnergyNet is the exclusive online provider for the U.S. Bureau of Land Management and seven other state land agencies to market their oil and gas leases and other minerals using EnergyNet's auction and sealed bid platforms.
"We believe EnergyNet is extremely well-positioned in the oil and gas marketplace and is experiencing significant momentum, particularly in the larger transaction space," said Patrick McGee and Doug Kennealey, managing partners of MPK. "Not only are we investing behind an absolutely superb management team, but we are also supporting a market-leading company with a clearly differentiated offering in an attractive industry. EnergyNet's platform solves a real need, and we've been incredibly impressed with the company's use of technology and transparent information to expand its reach to serve both government and private customers in negotiated, sealed bids and auctions for properties ranging in value from $1,000 to in excess of $100 million. Its platform is flexible, scalable and adds tangible value for customers—that's incredibly compelling."
MHT Partners, L.P., a national investment bank focused on high-growth, niche-market leading innovators, served as exclusive advisor to EnergyNet.
About EnergyNet
EnergyNet is an oil and gas acquisition and divestiture (A&D) service provider. It offers an easy-to-use online auction, sealed bid, negotiated sale and government lease sale transaction service facilitating the sale of oil and gas producing working interests (operated and non-operated), overrides, royalties, mineral interests and non-producing leaseholds. EnergyNet is a continuous online marketplace providing oil and gas property due diligence and bidding 24/7/365. Most of EnergyNet's properties are located in the lower 48 United States and range in value from $1,000 to $100 million. EnergyNet is headquartered in Amarillo, Texas with offices in Dallas, Houston, Midland, Oklahoma City and Denver. To learn more about EnergyNet, visit energynet.com.
About MPK Equity Partners
MPK Equity Partners is a Dallas, Texas-based private investment firm founded by Patrick McGee, Douglas Kennealey and Ross Perot, Jr., which takes a targeted, thematic approach to partnering with exceptional entrepreneurs and executives to invest in growing, profitable companies in the tech-enabled business services, energy, consumer, education, healthcare and specialty distribution/manufacturing sectors. MPK's patient and flexible approach allows for control, non-control and growth equity investments across the United States, and unlike a traditional private equity fund, is not impacted by the interests of institutional funding sources. The MPK team has a long history working together, and the firm looks to harness this collective experience to help entrepreneurs and management teams grow their unique businesses. To learn more about MPK Equity Partners, visit mpkequitypartners.com.
