Spartan Energy Launches New Subsidiary Business
Founders Investment Banking, LLC (“Founders”) is pleased to announce that it recently acted as exclusive financial advisor to the shareholders of Spartan Energy Services, LLC (“Spartan Energy”) in the formation of Spartan Flow Control Services, LLC (“Spartan Flow Control”). Spartan Energy is a growth-focused energy services company serving the major oil and natural gas markets in North America.
In April 2010, Founders advised a group of industry veterans led by Delmar Crochet on the formation of Spartan Energy. Doing business as Spartan Thru Tubing Services, LLC (“Spartan Thru Tubing”), Spartan Energy began providing downhole milling and fishing services for well interventions in the major shale plays across North America. The company deployed the right people and the right equipment in the right markets and gained traction quickly. They captured meaningful market share and created significant value within their first year of operations. This prompted the shareholders of Spartan Energy to expand the company’s service offerings to include flow control services.
Founders was retained by Spartan Energy to advise on the formation of Spartan Flow Control. Founders provided a suite of advisory services that included building a comprehensive funding model, determining the amounts and timing of internal and external capital requirements, and advising on the drafting and execution of the necessary legal documents. Duane Donner, Managing Partner of Founders, stated “Delmar and his team continue to far exceed our expectations. They have rapidly expanded the business and captured significant market share, creating substantial shareholder value, and we think they are going to do it again with this new business unit. As a shareholder and advisor, we were pleased to advise on the formation of Spartan Flow Control.” President and CEO of Spartan Energy, Delmar Crochet, remarked, “The Founders team has played a critical role in getting us up and running in this new business unit which is very strategic to our continued growth and expansion.
With their help we were able to determine our capital requirements, get the necessary operating and legal structure in place, and deploy our people and equipment in a timely manner. We are very happy with the level of service they continue to provide.” Founders will continue to play a key role in Spartan Energy and serve on the company’s Board of Advisors.
Based in Lafayette, Louisiana, Spartan Energy Services, LLC is a growth-focused energy services company serving the major oil and natural gas markets in North America. The company was founded in 2010 and provides fishing, milling, and flow control services.
Founders Investment Banking, LLC is an independent, middle-market capital advisory firm, headquartered in Birmingham, Alabama, that is dedicated to providing a comprehensive range of customized solutions for its clients, including merger and acquisition and corporate and strategic finance advisory services. In order to provide securities-related services, certain principals of Founders are licensed with Burch & Company, Inc., a registered broker-dealer. Burch and Founders are unaffiliated entities. For more information on our firm, please visit www.FoundersIB.com.