Proserv moves ahead with financial restructuring agreement

Energy services company Proserv has entered into a restructuring agreement with its principal lenders which will strengthen the long-term financial structure of the company.

Proserv said on Friday that the agreement will result in up to $50 million of fresh capital being injected in to the business and will see existing lenders Oaktree Capital Management and KKR become majority shareholders.

Oaktree is a global investment manager specializing in alternative investments and KKR is an investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate, credit and, through its strategic manager partnerships, hedge funds.

US private equity investor Riverstone Holdings LLC, formerly the principal shareholder of Proserv, will maintain a minority share in the company, Proserv added.

Under the terms of the agreement, Proserv will emerge substantially debt free with sufficient liquidity to deliver its strategic plan.

David Lamont, Proserv CEO, said: “We have committed investors who see an extremely positive future for Proserv and I’m delighted that we are moving ahead with a restructuring agreement that will enable us to focus on building our business.

“There is a more positive outlook in the energy sector this year which is already apparent in our results with more than $15 million of contracts secured this year to date and an even more positive global sales pipeline.”