Exit: BlueRock Energy control stake sold to midstream exec and Legacy Trust


[Context: On February 11, midstream executive Jay Lendrum and Legacy Trust acquired a controlling interest in BlueRock Energy Capital. BlueRock was previously backed by TPH Energy Partners. Further details, advisors and related links are below.]

BlueRock Energy | Legacy Trust

BlueRock Announces New Investor Group

HOUSTON, February 11, 2019 (Newswire.com) – BlueRock Energy Partners is pleased to announce that a group of investors including Legacy Trust Company and industry veteran Jay Lendrum have acquired a controlling interest in BlueRock Energy Capital II, LLC, the existing platform for BlueRock’s upstream financing business. The investors intend to continue current operations and contribute additional capital to selectively grow the firm’s ability to provide financing solutions for our growth-oriented clients.

BlueRock’s management team will remain in place and is excited to partner with this new investment group, with its appetite for further investment, network of co-investor partners, and producer relationships in the upstream sector. BlueRock will continue to provide flexible growth capital and will be particularly focused on closing transactions in the $5MM – $25MM space. BlueRock is also considering a separate platform to pursue non-operated drilling opportunities in attractive resource plays.

Stuart Rexrode, BlueRock’s Managing Partner, stated, “Investing capital in the market place has never been constrained by a limitation of opportunities, really more by our historical capital structure. With this new relationship, we have the opportunity to pursue larger transactions given our access to new capital sources. We are very excited as this will allow us to take the business to the next level.”

Steve Sprengnether, Legacy CIO, stated, “We are excited to work with our new partners at BlueRock to build on their long history in the space. There seems to be a need for flexible capital to support upstream operations, and we look forward to filling that void in the marketplace. BlueRock has a 25-year history of providing development capital to the oil and gas Industry. We intend to extend and expand the business model into the next generation of independent oil and gas enterprises.”

BlueRock has recently relocated to 945 Bunker Hill, Suite 325, Houston, TX 77024.

About BlueRock

BlueRock Energy Partners is a specialty finance company that for 25 years has provided funding to oil and gas producers backed by proved developed production (PDP) and a sound development work plan. The financing is structured as a financial production payment whereby BlueRock receives a term overriding royalty interest to repay the capital and rate of return. The firm will also consider non-operated drilling opportunities in attractive resource plays. BlueRock seeks investments in the $5MM – $25MM range, with potential up to $50MM with co-investment partners.

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