FOR IMMEDIATE RELEASE
CLEARLAKE CAPITAL GROUP LEADS $135 MILLION RECAPITALIZATION OF PLATINUM ENERGY SOLUTIONS, INC.
Oilfield Service Provider has Proven Management, Long-Term Contracts and Growing Fleet
NEW YORK, NY – March 15, 2011 – Clearlake Capital Group, L.P. (“Clearlake”) today announced that it led and sponsored the $135 million recapitalization of Platinum Energy Solutions, Inc. (“PES”), in partnership with Layton Corporation and management. In connection with the transaction, Clearlake has acquired the majority of the newly issued preferred stock of the company and, together with management, will own a majority of the voting shares of PES. Additional terms were not disclosed.
Based in Houston, PES provides pressure pumping, cementing and coil tubing services to the domestic oil and gas industry. The company currently has long-term contracts to provide services to companies operating in the Haynesville Shale and Eagle Ford Shale. Proceeds from the transaction will be used to fund working capital and to purchase pressure pumping and coiled tubing equipment.
L. Charles Moncla, Jr., an industry veteran with over 45 years of relevant experience, will serve as the company’s Chairman and CEO.
“Platinum Energy Solutions is well-positioned to become a leading oilfield services company and we are delighted to add it to our portfolio,” said José E. Feliciano, a founding partner at Clearlake. “Charlie and the team have done an excellent job securing contracts that will provide a strong foundation for the company as it prepares for its next phase of expansion.”
“This transaction is transformative for Platinum Energy Solutions,” said Mr. Moncla. “With added capital, new equipment, and world-class investors, Platinum will be poised to take advantage of many opportunities to provide pressure pumping and other specialized services to a broad range of companies in the oil and gas industry.”
Mr. Feliciano and Colin Leonard, a Vice President at Clearlake, have joined the company’s board of directors. Daniel Layton, CEO of Layton Corporation, will remain on the board of the Company.
Global Hunter Securities and Knight acted as placement agents in the transaction.
Klee, Tuchin, Bogdanoff & Stern LLP acted as legal advisor to Clearlake.
ABOUT CLEARLAKE CAPITAL GROUP
Clearlake Capital Group, L.P. is a private investment firm focused on special situations private equity such as corporate divestitures, recapitalizations, buyouts, restructurings, turnarounds and other equity investments. Clearlake seeks to partner with world-class management teams by providing patient, long-term capital and operational expertise to invest in businesses going through change. Clearlake’s founding principals have led over 50 investments totaling more than $2.7 billion of capital in sectors including business services, communications and media, energy and power, healthcare, manufacturing, retail/consumer and technology. For more information, please visit www.clearlakecapital.com.
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