New Source Energy Partners L.P. completed the acquisition of Erick Flowback Services, LLC and Rod's Production Services, LLC from Brian N. Austin and J. Mark Snodgrass for $81.2 million.
New Source Energy Partners L.P. (NYSE:NSLP) completed the acquisition of Erick Flowback Services, LLC and Rod's Production Services, LLC from Brian N. Austin and J. Mark Snodgrass for $81.2 million in cash and units on June 26, 2014. The total purchase price consists of a cash payment of approximately $57.3 million including payment of $19.78 million as reimbursement for capital expenditures, $15.33 million for employee's compensation; issue of 1.41 million partnership common units and the assumption of debt of approximately $16.81 million. New Source Energy will also issue and deposit in the escrow 0.43 million common units to satisfy the potential future settlement obligations of phantom units. New Source will also pay an earn out payment in cash and common units in the second quarter of 2015 based on a specified multiple of the annualized EBITDA of Erick Flowback and Rod's Production for the year ended December 31, 2014. American Stock Transfer & Trust Company, LLC acted as escrow agent in the transaction.