Private equity-backed Vantage Energy is set to float on the New York Stock Exchange with the hope of raising up to $400m.
Energy-focused private equity firms Quantum Energy Partners, Riverstone Holdings and Lime Rock Partners have had the controlling share of Vantage I since it was founded in 2006, and subsequently also invested in Vantage II four years later, according to the company’s regulatory filing with the Securities and Exchange Commission
Vantage, which focuses on acquisition, development and exploration of oil and natural gas properties in the United States, did not reveal how the private equity investors’ share holdings will be affected when the business goes public.
The proceeds from the IPO will be used to repay loans, said Vantage, which include $300m in second lien term loans and $25m under its revolving credit facility.
The cash will also go towards general corporate purposes.
During the last two years, Vantage’s total operating revenues increased significantly, standing at $37.4m as of December 31, 2012, nearly doubling to $66.2m at the end of 2013.
Underwriters for the deal include Barclays, Goldman Sachs, Citigroup and Credit Suisse.
It is the second of Riverstone Holding’s companies to float this year, with oil and gas producer EP Energy announcing an IPO priced at $23 and $27 per share in January, with the aim of raising about $1bn.
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