Previous company formed with Apollo was bought by Parsley for $2.8 billion
Double Eagle Energy is back again, as the private development company just announced the formation of third iteration of the company.
The first Double Eagle Energy was formed with Apollo Global Management in 2013, when the partnership focused on the Anadarko and Ardmore Basin. This company sold most of its assets to American Energy at the end of 2014. Immediately after this, Double Eagle Energy II was formed. Double Eagle II focused on the Midland Basin, particularly after the company merged with Post Oak’s Veritas Energy in late 2016.
Double Eagle II was bought by Parsley Energy (ticker: PE) in early 2017 in a move that, at the time, made Parsley the second-largest publicly traded E&P in the Midland Basin. Parsley purchased 71,000 net acres for $1.4 billion in cash and an additional $1.4 billion in stock, making it one of the largest in a long series of Permian deals in the last year.
Another ‘new’ Permian player
Apollo Global and Double Eagle are now back for a third time, again focusing on the Permian Basin.
The same management team that headed the previous two companies will lead Double Eagle III. Co-CEO Cody Campbell commented on the formation of Double Eagle III, saying, “We are excited to have the opportunity to work once again with Apollo. The continued strong relationships with their team, paired with their funds’ financial strength and track record of success allow us to aggressively pursue larger and more numerous opportunities in the most prolific basin in North America. With the integration of our world-class operating team and the collective resources of the Apollo team, Double Eagle III will look to continue the strategic and successful acquisition and development of high quality oil and gas assets in the Permian Basin.”
