Executive Network Partnering Corp. (ENPC), a special purpose acquisition entity, announced Monday that it has entered into a definitive agreement with Grey Rock Investment Partners, a Dallas-based investment firm, to complete a $1.3 billion business combination. The deal will result in the formation of publicly traded Granite Ridge Resources, Inc.
Under the deal, Grey Rock will contribute oil and gas assets currently held in its Fund I, Fund II, and Fund III portfolios to Granite Ridge in exchange for equity. Grey Rock will not receive any cash proceeds as part of the deal and will roll all of its equity into the pro forma company.
Assuming no redemptions paid from ENPC cash in trust, gross proceeds of approximately $414 million held in the trust account will be transferred to Granite Ridge in connection with the transaction for growth capital purposes, including future acquisitions.
The transaction was unanimously approved by the board of ENPC and remains subject to the approval of ENPC stockholders and the satisfaction or waiver of other customary conditions.
Upon closing, Granite Ridge will maintain a seven-person board, which will include three independent directors as well as a committee dedicated to strong ESG practices.
Subject to approval by the ENPC stockholders and customary regulatory requirements, Granite Ridge intends to be listed on the NYSE under the ticker symbol “GRNT” upon closing, which is expected to occur later this year.
Granite Ridge will be led by Chief Executive Officer Luke Brandenberg and Chief Financial Officer Tyler Farquharson.
Brandenberg said, “As demonstrated by consistent success across multiple hydrocarbon price cycles and a fortress balance sheet, Grey Rock is unique among its peer group. Our team at Granite Ridge will maintain Grey Rock’s strategic, adaptable approach as we focus on non-operated working interest and joint ventures, partner with experienced operators in the most prolific basins, leverage real-time data and analytics, and build a diversified asset base that generates attractive returns and substantial value for our partners.”
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