Energy-focused private equity firm First Reserve’s Fund XII has acquired Dixie Electric from One Rock Capital Partners, a private investment company that provides equity capital for middle-market businesses.
Dixie is a US provider of electrical infrastructure materials and services to the upstream oil and gas sector. Financial terms of the transaction have not been disclosed.
Founded in 1951, Dixie provides electrical infrastructure and automation services from initial development throughout the life of an oilfield, including ongoing infrastructure upgrades and periodic maintenance. Further, the company has exposure to several important upstream trends with significant electrical requirements such as automation, artificial lift and enhanced oil recovery. Dixie is headquartered in Odessa, Texas.
Jeff Johnson, chief executive of Dixie Electric, says: "First Reserve's investment is an important milestone for our company. We believe the outlook for Dixie has never been better, and we are excited to partner with First Reserve in the next phase of our growth. We have tremendous respect for the First Reserve team and believe they bring unique value to our shared vision of building a pre-eminent oil and gas electrical services business. Our partnership will create additional opportunities for our employees and advance our capabilities to service our customers. Their experienced team of energy investing professionals, industry relationships, and smart capital they bring will greatly benefit Dixie as we continue to grow and make acquisitions."
Neil Wizel, managing director of First Reserve, says: "We believe the electrical infrastructure and automation services market is a compelling sub-segment of the North American oilfield equipment and services space. First Reserve is excited to partner with Dixie's dedicated management team and support them in their ongoing growth initiatives."
Tony W Lee, managing partner of One Rock, says: "Dixie has undergone a significant transformation under One Rock ownership. We believe the company is well-positioned for the future and will continue to prosper under First Reserve ownership."