Owners of Permian Basin Operator Colgate Energy Reportedly Planning IPO

The private equity owners of Colgate Energy Partners III LLC are reportedly preparing to take the Permian Basin operator public in what would be the first major IPO of a Permian-based oil and gas producer since 2017.

Based in Midland, Texas, Colgate Energy is a privately held, independent oil and natural gas company operating in the Permian Basin. Since its founding in 2015 with backing from Pearl Energy Investments and NGP, the company has built a formidable position in the Permian’s Delaware Basin, including through a series of notable acquisitions made this year.

Now, Pearl Energy Investments and NGP are preparing to take Colgate public at a valuation approaching $4 billion, including debt, according to a report made by Reuters on Dec. 14 citing people familiar with the matter. A representative of Colgate declined to comment on the Reuters report.