Lime Rock Partners has executed a management buyout of A&B Valve, the leading valve service provider in the Permian Basin, aiming to enhance growth and innovation in the industry.

Target Company Overview

A&B Valve, established in 1972, has grown to become the premier valve service provider in the Permian Basin. The company specializes in three key areas: valve distribution, valve installation, maintenance, repair, and testing, as well as actuation solutions for automating valves. With its headquarters in Houston, Texas, A&B Valve operates primarily in Midland, Texas, and Carlsbad, New Mexico, catering to a diverse clientele across the Permian Basin.

Industry Overview in the Permian Basin

The Permian Basin is a significant oil-producing region in the United States, well-known for its vast reserves and prolific production capabilities. This area has drawn considerable investment due to its advanced extraction technologies and infrastructure, allowing for efficient development of its resources. The increase in oil prices has further incentivized operators to invest in the region, thereby driving growth in ancillary service providers such as A&B Valve.

In addition to upstream activities, the region has seen a burgeoning demand for support services, including those provided by valve facilitators like A&B. As the industr