OEG Acquisition by Apollo Funds Implies $1 Billion Valuation
Deal News | Mar 19, 2025 | Globenewswire
Apollo Global Management's affiliate-managed funds have agreed to acquire a majority stake in OEG Energy Group, with the transaction valuing the company at over $1 billion. Renowned for their role in the offshore energy arena, OEG provides core services to the oil, gas, and wind sectors. This acquisition from Oaktree Capital Management and other stakeholders will see Oaktree retaining a minority interest, underscoring their confidence in OEG's continued growth trajectory. As part of the deal structure, Apollo seeks to leverage its extensive expertise in energy services to unlock further growth opportunities. The acquisition aligns with Apollo's broader strategy to capitalize on climate and energy transition investments, where they have committed substantial capital recently. Financial advisement for the transaction was provided by Banco Santander SA, with legal advice from Vinson & Elkins LLP for Apollo and Gibson, Dunn & Crutcher LLP for OEG. Regulatory approvals are pending, and the transaction is expected to close by the second quarter of 2025.
Sectors
- Offshore Energy
- Private Equity
- Investment Management
Geography
- United States – Apollo Global Management and Oaktree Capital Management, both heavily involved in the transaction, are based in the United States.
- United Kingdom – OEG Energy Group is headquartered in Aberdeen, UK, indicating operational relevance to the region.
Industry
- Offshore Energy – The industry involves businesses that provide services and solutions for the exploration and extraction of offshore energy resources, including oil and wind energy. OEG operates within this sector.
- Private Equity – This sector is comprised of investment firms managing pools of capital to acquire stakes in companies. Apollo Global Management is securing a majority interest in OEG.
- Investment Management – Firms in this sector provide financial services to manage clients' investments across various asset categories. Oaktree Capital is an investment management firm involved in the transaction.
Financials
- Over $1 billion – The transaction implies a headline valuation of more than $1 billion for the acquisition of OEG.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| OEG Energy Group | Target Company | Company | A leading provider of core services to the offshore energy industry with significant operations in oil, gas, and wind sectors. |
| Apollo Global Management | Acquiring Company | Company | A global alternative asset manager acquiring a majority stake in OEG. |
| Oaktree Capital Management | Selling Company / Vendor | Company | An investment management firm selling a majority stake in OEG but maintaining a minority interest. |
| Banco Santander SA | Financial Advisor to Apollo | Company | Provided financial advisory services for Apollo in the transaction. |
| Vinson & Elkins LLP | Legal Advisor to Apollo | Company | Provided legal services to Apollo for the acquisition. |
| Goldman Sachs International | Financial Advisor to Oaktree | Company | Financial advisory services to Oaktree for the transaction. |
| Gibson, Dunn & Crutcher LLP | Legal Advisor to Oaktree | Company | Provided corporate legal services to Oaktree for the transaction. |
| Latham & Watkins | Legal Advisor for financing & antitrust | Company | Handled financing and antitrust legal services for Oaktree. |
| White & Case LLP | Legal Counsel to OEG Management | Company | Provided legal services to OEG management during the transaction. |