CIC Partners Announces Follow On Investment In Magnolia Petroleum Company
June 9, 2016 – Dallas, TX: CIC Partners ("CIC"), a Dallas-based private equity firm, is pleased to announce a follow on acquisition for its portfolio company, Magnolia Petroleum Company ("Magnolia" or the "Company"). CIC's follow on investment, made in concert with Magnolia CEO and President and CIC Operating Partner Kyle Burnett, will facilitate the acquisition of over 50 operated properties from Famcor Oil in San Jacinto and Polk County. Based in Dallas, Texas, Magnolia is an oil and gas acquisition and production company targeting developments in South and East Texas.
"This acquisition aligns well with our existent scope of operations and holdings in the region," said Kyle Burnett. "[It] represents a step towards the significant growth that we hope to achieve in the following months."
The acquisition includes a material amount of proprietary 3D seismic, acreage held by production, and other real property associated with the fields. The acquired properties sit between Magnolia's current operations in South Texas and Louisiana but produce out of many of the same conventional channel sands.
"This was also a nice opportunity for Magnolia to diversify its revenue stream with some oil weighted properties," commented Bayard Friedman, Vice President at CIC Partners. "We are confident that Kyle Burnett and the rest of his operating team will be able to workover key properties and augment reserves in these and adjacent fields."
Marshall Payne, Partner at CIC Partners, added, "We are excited to continue investing with Kyle. We believe this is the right time in the cycle to be investing alongside likeminded operators seeking to grow reserves in low finding cost basins. This was a great fit for Magnolia, and we hope to find others in the years ahead."
ABOUT CIC PARTNERS
CIC Partners is a middle-market private equity firm that invests in growth-oriented companies primarily in the food, restaurant, and energy industries. CIC manages the personal capital of its investment team, operating partners and strategic investors and seeks to partner with owner-operators, founders and management teams. CIC looks for opportunities where it can leverage the collective experience of its investment team and its operating partners, who are successful CEOs and entrepreneurs, to guide, support and add value to portfolio companies. Based in Dallas, Texas, the firm has been generating wealth in private-equity investing for its investors and management teams for over 25 years. For additional information, please visit www.cicpartners.com.
ABOUT MAGNOLIA PETROLEUM
In concert with CIC Operating Partner Kyle Burnett, Magnolia Petroleum was capitalized in 2013 to pursue the acquisition and development of oil and gas properties in the United States. With working interest ownership in over 100 wells across South and East Texas as well as Louisiana, Magnolia Petroleum couples a talented management team with a proven track record of exploiting reserves with CIC's strategic and investment capabilities. For additional information, please visit www.burnettpetroleum.com/partners