OIL - Kodiak Gas Services Inc. Announces Receipt of Consents to the Merger Agreement from Supporting Unitholders | Benzinga
MONTGOMERY, Texas and THE WOODLANDS, Texas, Feb. 21, 2024 /PRNewswire/ -- Kodiak Gas Services, Inc. ("Kodiak" or the "Company") (NYSE:KGS) and CSI Compressco LP (the "Partnership") (NASDAQ:CCLP) today announced that, following the Securities and Exchange Commission declaring effective the Registration Statement on Form S-4/A (Registration No. 333-276508) on February 20, 2024, certain of the Partnership's unitholders have delivered written consents approving the Agreement and Plan of Merger, dated December 19, 2023 by and between Kodiak, the Partnership, CSI Compressco GP LLC (the "General Partner") and certain of their respective affiliates (the "Merger Agreement"). These unitholders, Spartan Energy Partners LP, Orvieto Fund LP, Merced Capital LP, and the named executive officers of the General Partner (the "Supporting Unitholders"), own approximately 54% of the Partnership's outstanding common units. While the consents of the Supporting Unitholders are sufficient to approve the transaction, the Partnership is requesting all of its unitholders approve the Merger Agreement and the other proposals outlined in the Registration Statement by executing and returning the written consent furnished with the filing. Kodiak and the Partnership expect the transaction to close in the second quarter of 2024, subject to the satisfaction of customary closing conditions, including Hart-Scott-Rodino clearance.
About Kodiak Gas Services, Inc.
Kodiak is one of the largest contract compression services providers in the continental United States with a revenue-generating fleet of over 3.2 million horsepower. Kodiak focuses on providing contract compression services to oil and gas producers and midstream customers in high-volume gas gathering systems, processing facilities, multi-well gas lift applications and natural gas transmission systems. More information is available at www.kodiakgas.com.
About CSI Compressco LP
The Partnership is a provider of compression services and equipment for natural gas and oil production, gathering, artificial lift, transmission, processing, and storage. In addition, the Partnership provides a variety of natural gas treating services. The Partnership's contract services business includes a fleet of approximately 4,800 compressor packages providing approximately 1.2 million in aggregate horsepower, utilizing a full spectrum of low-, medium- and high-horsepower engines. Additionally, the Partnership's gas treating equipment fleet includes natural gas cooling units used to reduce the temperature of natural gas so that it can be further treated, processed, or compressed. The Partnership also provides well monitoring and automated sand separation services in conjunction with compression and related services in Mexico. The Partnership's aftermarket business provides compressor package reconfiguration and maintenance services. The Partnership's customers comprise a broad base of natural gas and oil exploration and production, midstream, transmission, and storage companies operating throughout many of the onshore producing regions of the United States, as well as in a number of foreign countries, including Mexico, Canada, Argentina, and Chile. The General Partner is owned by Spartan Energy Partners LP.
Important Information about the Transaction and Where to Find It
In connection with the Merger Agreement and the mergers contemplated by the Merger Agreement (the "Mergers"), Kodiak filed with the SEC the Registration Statement, that included a consent statement of the Partnership and a prospectus of Kodiak, which has been declared effective. The Mergers will be submitted to the Partnership's unitholders for their consideration. The Partnership and Kodiak may ...