EagleClaw Midstream plans new debt financing for Caprock purchase

By Sara Rosenberg

New York, Sept. 5 – EagleClaw Midstream has received a commitment for debt financing to help fund its acquisition of Caprock Midstream Holdings from Energy Spectrum Capital and Caprock Midstream Management for $950 million plus pre-closing adjustments.

Barclays provided the debt commitment.

Other funds for the transaction will come from equity.

The transaction has been structured such that the existing Caprock operating company, which will be renamed EagleClaw Midstream II, will be a sister-entity to the existing EagleClaw operating business.

The borrower of the acquisition financing will be a newly established partnership, completely distinct from the existing EagleClaw credit group.

Closing is expected this year.

EagleClaw, a portfolio company of Blackstone Energy Partners, is a Midland, Texas-based midstream operator in the Permian’s Delaware Basin in West Texas. Caprock is a Humble, Texas-based midstream operator.

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