STAMFORD, Conn.--(BUSINESS WIRE)--Reinforcing its debt business expansion to serve as lead arranger and sole book runner, GE Energy Financial Services announced today that it has completed a $277 million senior credit facility for Dalbo Holdings, Inc. ("DHI"), a Utah-based oilfield services company with operations in New Mexico, Utah, Colorado and Wyoming.
DHI is using the funds to complete four acquisitions, which will expand its geographic and service capabilities in the gas-rich Rocky Mountain region. In addition, GE Energy Financial Services supported the refinancing of DHI's existing credit facilities and provided working capital facilities to support the company's growth. GE Capital Markets, Inc., an affiliate of GE Energy Financial Services, is syndicating a portion of the credit facility to other financial institutions.
DHI provides water-based fluid transportation, storage tank rental, fluid disposal, heavy hauling and construction services to oil and gas exploration sites in the Rockies. DHI's acquisitions will expand its service capabilities and diversify its customer base in a region with increasing oil and natural gas exploration and production. The names of the acquired companies and additional financial details were not disclosed.
Based in Vernal, Utah, DHI is a portfolio company of Lincolnshire Management, Inc., a New York-based private equity firm. The transaction reinforces GE's longstanding customer relationship with Lincolnshire. GE Energy Financial Services provided acquisition and working capital financing for Lincolnshire's purchase of DHI in 2005, and extended a credit facility to enable DHI to acquire Dawn Trucking and BHS, and allow the company to refinance its existing credit facility in December 2006.
Matt O'Connor, Managing Director and head of debt finance at GE Energy Financial Services, commented, "This transaction illustrates how we are supporting energy companies, sponsors and developers by continuing to expand from participations to arranging, structuring and placing debt facilities in collaboration with our affiliate, GE Capital Markets, Inc. And this series of three financings with Lincolnshire and DHI shows how we are helping our customers grow throughout their lifecycles."
Charles Mills, Director of Lincolnshire Management, said, "The expansion of DHI's capabilities, both through organic growth as well as acquisitions, helps it meet the expanding needs of its customers in the Rocky Mountain region. GE Energy Financial Services has been extremely supportive of our investment in DHI and has helped the company transform itself into a stronger player in the region and accelerate its growth."
With more than 50 dedicated professionals, GE Energy Financial Services' debt finance group provides a full complement of debt products and services for the energy industry, including corporate, structured, project, acquisition and equipment financing. GE Energy Financial Services also provides debt to the water industry. Its GE Capital Markets affiliate provides arranging and syndication for many of these facilities.
About GE Energy Financial Services
GE Energy Financial Services' 350 experts invest globally with a long-term view, backed by the best of GE's technical know-how and financial strength, across the capital spectrum and the energy and water industries, to help their customers and GE grow. With $14 billion in assets, GE Energy Financial Services, based in Stamford, Connecticut, invests more than $5 billion annually in two of the world's most capital-intensive industries, energy and water.
More information: www.geenergyfinancialservices.com.
About GE
GE (NYSE: GE) is a diversified technology and services company dedicated to creating products that make life better. From aircraft engines and power generation to financial services, medical imaging, television programming and plastics, GE operates in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's Web site at http://www.ge.com.
Contacts
GE Energy Financial Services
Andy Katell, 203-961-5773
Andy Katell
GE Energy Financial Services Senior Vice President Communications
[email protected]
1-203-961-5773