FlexEnergy, Inc. (“FlexEnergy” or “Flex”) is pleased to announce it has received an equity investment from Intervale Capital (“Intervale”), an energy-focused private equity firm.
Headquartered in Portsmouth, NH, Flex manufactures small natural gas turbines. Flex’s gas turbines provide highly reliable, low maintenance clean power and heat to customers globally, often in remote areas where the electrical grid can be unreliable, expensive or absent altogether. Intervale’s investment will support Flex as it increases production, expands its geographic presence and continues to broaden its product line.
The technology behind Flex’s turbines was developed over two decades by Ingersoll Rand and was acquired by Flex in 2010. Since 2010, Flex has further developed and refined the technology and product offering. It currently offers 250 and 333 kW turbines. FlexEnergy turbines are unique among micro-turbines as their design is based on larger capacity power generation turbines, which utilize a more reliable synchronous generator and rugged load management system. Each FlexEnergy turbine also features patented Recuperator technology, which can also be applied to a wide range of devices to improve system efficiency. Together with the widest fuel tolerance in its class, these features have led to exceptional uptime performance, particularly in remote oilfields both domestic and abroad, using associated petroleum gases that are otherwise flared. Flex turbines have been employed in a variety of applications including oilfield well-site power generation, midstream compressor stations, industrial power generation and combined heating and power. Flex’s turbine fleet has registered in excess of three million operating hours since commercial inception.
Mark Schnepel, President of Flex, commented, “We are excited to partner with Intervale to take advantage of the many growth opportunities available to us. FlexEnergy enters 2015 with record backlog across multiple customers and markets and is positioned to experience another year of dramatic growth. Intervale has a track record of driving industry-leading growth among its portfolio companies by investing in companies with rapid expansion opportunities and excellent product offerings. The support of Intervale will allow us to achieve our objectives and better serve our customers.”
Charles Cherington, Managing Partner at Intervale, added, “We are proud to partner with Mark and his excellent team. TRF Energy Solutions, one of our other investments, leases a fleet of Flex turbines, so we have first-hand experience with Flex and believe they offer a superior solution for remote power, particularly in applications where the cost of failure is very high. We look forward to helping Flex grow its business.”
Flex is poised to complete another record year of sales in 2014, with unit growth of more than 150% over 2013, which is the second consecutive year of greater than 70% growth. International and domestic sales have grown equally in both the energy and combined heat and power industries.
Existing owners of Flex, including ESS Funds and RNS Capital Partners, welcome the investment by Intervale and look forward to working with them as partners to continue the momentum and success demonstrated by the Flex management team in the last two years.
About Intervale Capital
Intervale Capital is an energy-focused private equity firm with offices in Boston and Houston. Intervale invests exclusively in middle-market oilfield services and manufacturing companies and related technologies. The firm has raised $1.2 billion of committed capital since its inception in 2006 and is currently investing from its third fund.
Intervale portfolio companies include TEAM Oil Tools (completions equipment and services), Aegis Chemical Solutions (production chemicals and water treatment), Allied Oil & Gas Services (cementing and acidizing services), Antelope Oil Tool (casing and cementing products), Certus Energy Solutions (diversified oilfield rental equipment), Energes Oilfield Solutions (well flow control, water transfer and safety services), EPIC Lift Systems (artificial lift), Tier 1 Energy Solutions (Canadian wireline and completions), American Disposal Services (oilfield waste management) and TRF Energy Solutions (fueling solutions and power generation).
FlexEnergy is a privately-held business with direct sales offices in the U.S., U.K. and Singapore and a growing distributor base internationally. FlexEnergy is headquartered in New Hampshire and manufactures small gas turbines providing highly reliable, low maintenance and low emissions electricity and heat to customers globally, often in remote areas where the electrical grid can be unreliable, expensive or absent altogether. Developed over the course of two decades by Ingersoll Rand before being acquired by FlexEnergy in 2010, FlexEnergy’s turbine fleet has registered in excess of three million operating hours since commercial inception.