client_transactions

SSG Client Transactions

Title

One Source Companies
Client Profile

Client Profile

The One Source companies (collectively with its affiliates and subsidiaries, “One Source” or the “Company”) are providers of well site and related services to blue chip customers throughout the Permian Basin, Barnett Shale, and the Houston Ship Channel regions in Texas. One Source services include crude hauling, well site equipment, rental and transportation, and environmental, construction, and roustabout services.
Situation

Situation

The decline and softness in oil prices, which started during Q4 2014 and has persisted ever since, has exerted tremendous pressure on the entire oilfield services market. Combined with One Source’s significant debt burden, these events led to certain entities of the Company filing for Chapter 11 bankruptcy relief in December 2014 and January 2015. One Source engaged SSG to evaluate strategic alternatives to help restructure the Company.
Solution

Solution

Some of the initiatives considered by One Source and SSG included marketing non-core assets and business units for sale, replacing the pre-petition accounts receivable lender, implementing operational initiatives, and ultimately restructuring the Company around core businesses. While management believed that they had derived a configuration for the businesses which would allow for them to operate on a profitable basis, the cyclical nature of the businesses and time required to implement the plan made a standalone restructuring impossible. One Source and its advisors concluded that the best option was to sell the Company’s membership interests in its core business units to Dynamic Holdings, LLC, a group of managers who presented an offer to assume all the outstanding liabilities connected with the purchased assets and provide additional cash to the estate. The sale enabled the One Source to maximize value while preserving a significant number of jobs and maintaining the loyalty of its customer base. The transaction closed in November 2015.
November 2015
has sold its membership interests in
multiple business divisions to
Dynamic Holdings, LLC
The undersigned acted as Investment Banker to
the One Source companies on this transaction.

Call to learn more

Call to learn more

If you would like to learn more about this transaction, or any of our transactions, call us today.

Philadelphia
(610) 940-1094

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(212) 786-7432

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