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Overview

 

Morgan Stanley Energy Partners primarily makes control investments in energy companies located in North America. The team focuses on the buyout and build-up of strategically attractive, established energy businesses across the energy value chain in partnership with best-in-class management teams.

 

We focus on value creation through management and operational improvements, value-added oversight, accretive add-on acquisitions, thoughtful financing and strategic alternatives for our portfolio companies.

Throughout our decades-long history, we have maintained a consistent focus on the middle market, investing in companies with enterprise values from $50 million to $1 billion. We generally invest in North America, but we will pursue deals in other geographies on an opportunistic basis. We invest in corporate carve-outs, management buyouts, founder-led recapitalizations, platform build-ups of established companies and growth equity investments.

We focus on oil and gas and invest in companies in the core upstream, midstream and services and equipment subsectors. We seek to partner with world-class management teams to acquire and exploit reserves, move products from the field to markets, distribute products to end consumers and invest in the service and equipment companies that support those businesses along the way.

We primarily seek control equity investments in well-established and differentiated businesses. Following our investment, these companies may serve as platforms for strategic follow-on investments. Our team may help source and fund add-on acquisitions, identify managers who we believe can add value and share our deep industry expertise and relationships, along with the vast resources of Morgan Stanley, with our management partners.

We generally seek to deploy capital in portfolio companies over time as part of a multistep build-up strategy. We believe that this measured approach to investing enables our team to gain a deeper understanding of the strengths and weaknesses of our portfolio companies and ultimately results in superior strategic and capital investment decisions and more effective risk management.

As an energy-focused middle-market private equity investment team with direct access to the network and capabilities of a leading global financial services firm, we can bring outsized resources to our middle-market portfolio companies to help them thrive within their markets. We believe the Morgan Stanley franchise is instrumental in enabling us to recruit senior executives and board members to help our portfolio companies grow.

In addition, we believe that our firm can provide market insights to drive better decision-making; proactive balance sheet management; introductions to potential acquisition candidates and other business partners; proprietary knowledge regarding financing, risk management and strategic alternatives; and access to institutional procurement, vendor management and sourcing programs that can deliver significant cost savings.

Morgan Stanley Energy Partners: Investment Strategy

John Moon, Head of Energy Partners

Meet the Team

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Strategies

As of 6/30/2024. Team and portfolio information may change from time to time.

Includes legacy energy investments executed by the investment team prior to 2015 through the Morgan Stanley Capital Partners (MSCP) investment platform.

There is no guarantee that any of the investments listed above resulted in positive performance (for realized holdings), or will perform well in the future (for current holdings). The trademarks and service marks above are the property of their respective owners. The information on this website has not been authorized, sponsored, or otherwise approved by such owners.

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Alternative investments are speculative and include a high degree of risk. Investors could lose all or a substantial amount of their investment. Alternative investments are suitable only for long-term investors willing to forego liquidity and put capital at risk for an indefinite period of time. Alternative investments are typically highly illiquid – there is no secondary market for private funds, and there may be restrictions on redemptions or assigning or otherwise transferring investments into private funds. Alternative investment funds often engage in leverage and other speculative practices that may increase volatility and risk of loss. Alternative investments typically have higher fees and expenses than other investment vehicles, and such fees and expenses will lower returns achieved by investors.

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