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Texas capital management company to make initial sale

A Texas-based company is one of two private-equity investors in Northern Blizzard Resources Inc. that was hoping to raise money through an initial public offering sale in the month of July. Northern Blizzard Resources is an oil company based in Canada, and it is hoping to raise about $350 million. Together with its two private-equity investors, the company is seeking to raise closer to $500 million.

The Texas-based company, NGP Energy Capital Management LLC, is based in Irving. The second private-equity investor in Northern Blizzard Resources is the New York-based company Riverstone Holdings LLC. The information about the IPO was leaked by two people who are familiar with the sale, but they asked to remain anonymous since the terms of the initial sale are not yet public. NGP and the chief executive officer of Northern Blizzard were not available for a comment, and an outside spokesperson for Riverstone declined to comment.

Northern Blizzard is a production and development company with a large-scale heavy oil base, and its operations are primarily focused in the area of Saskatchewan. The Canadian Imperial Bank of Commerce, the Royal Bank of Canada, the Bank of Nova Scotia and the Toronto-Dominion Bank were the four banks leading the sale, and it is expected that the IPO will be priced in the last week of July. Royal Bank was retained by Northern Blizzard in 2013, at which point it was believed that a sale would draw in about $1 billion and attract the attention of mid-sized Chinese oil producers interested in expanding their business overseas.

Texas is a major state for business growth, and individuals looking to set up shop or to expand their companies within or outside of the state may want to consult with a business law attorney. An attorney may help individuals with mergers and acquisitions, in addition to arranging partnerships to effectuate the sale of stock or the sale of a company.

Source: Bloomberg Businessweek, "Northern Blizzard Seeks $500 Million in IPO This Month", Doug Alexander, July 09, 2014