#United States #Dallas #Tailwater Capital #energy investment #$250 million

Tailwater Capital Secures Major Investment to Propel Upstream Strategy

Tailwater Capital LLC, a Dallas-based private equity firm specializing in energy and infrastructure, has announced a significant achievement with a commitment of $250 million from a prominent limited partner. This investment is set to deepen Tailwater's focus on exploring unique and promising prospects throughout the energy value chain, continuing its legacy of generating robust returns in capital-constrained settings.

The raised capital will bolster Tailwater EP LLC, the firm’s upstream platform, as part of the Tailwater EP Opportunity Fund III. This fund is designed to target large-scale joint ventures in collaboration with top-tier operators and aims to enhance Tailwater's presence in North America's leading shale basins. Given the breadth of actionable opportunities in their pipeline, Tailwater is positioned to deploy the capital prudently and foster consistent growth, especially following a major acquisition in the Permian region in late 2024.

Doug Prieto, CEO of Tailwater EP, expressed excitement over this partnership, emphasizing the trust and confidence this investment reflects in the firm's capabilities. He stated, "We are thrilled to work with this meaningful investor in our upstream platform. This commitment underscores the confidence our partners have in our team and our ability to source and execute high-quality opportunities alongside strong operators. We are poised for scale and look forward to what lies ahead."

This recent funding represents a crucial step in Tailwater's strategy to establish scalable and cycle-resilient platforms that can deliver value regardless of the prevailing commodity market conditions. Tailwater’s upstream strategy benefits from proprietary deal sourcing, strong alignment with operators, and a data-driven approach to asset management, which are fundamental tenets of the firm's investment philosophy.

David Cecere, a Partner at Tailwater, remarked on the importance of this investment. "We are thankful for our investors' trust as we continue executing our energy strategies. This funding demonstrates the strength of our upstream platform and its commitment to delivering resilient, risk-adjusted returns. It also highlights Tailwater's broader vision of identifying and backing the most attractive opportunities across the entire energy landscape. We remain steadfast in our focus on driving value throughout economic cycles and our investment focus areas."

Tailwater Capital boasts a remarkable track record, having raised over $5 billion in committed capital since its inception. The firm has been involved in over 235 transactions, collectively valued at more than $26 billion. Their model of working closely with experienced management teams ensures the delivery of value-added solutions, a hallmark of their operations.

For more insights into Tailwater Capital and its ventures, visit tailwatercapital.com.

Conclusion

In conclusion, Tailwater Capital's recent $250 million commitment positions the firm to capitalize on innovative opportunities within the energy sector. By partnering with leading operators and pursuing strategic joint ventures, Tailwater is set to enhance its portfolio and continue providing compelling returns for its investors.