Houston-based Quorum Software is to acquire Calgary-based Entero Corporation to expand its product portfolio to cover the energy value chain from engineering to accounting and finance in upstream and across the full range of midstream processes through to distribution.
Quorum, a portfolio company of Silver Lake Partners and Silver Lake Kraftwerk, did not disclose deal terms or any financial details.
The combined company will maintain a joint presence in Calgary and Houston, in addition to Quorum's locations in Dallas, College Station and Tampa.
The acquisition adds geo-specific and upstream expertise and products, augmenting products such as myQuorum Land Canada, Quorum said.
"With Entero's history of innovation and world-class customer base we are excited to add Entero to our team and significantly grow our Canadian presence. We also plan to double down on the recent MOSAIC success in the U.S., as it and the myQuorum Upstream suite are highly complementary," Perry Turbes, president and CEO of Quorum, said in a statement. "Quorum's modern energy software suite, combined with the functionality of MOSAIC and Entero ONE, now form the industry's most comprehensive upstream and midstream management software portfolio.
"By joining forces with Quorum, we have the opportunity to bring together the most comprehensive product portfolio that tracks asset performance from plan to end of life. It's a powerful combination, and we're looking forward to bringing these two strong teams together," stated Mike Lake, president of Quorum Entero MOSAIC.
Combining the Canadian leader in Reserves & Economics and the U.S. leader in Upstream solutions creates significant opportunity to the North American market to unseat legacy providers with next-generation capabilities, Quorum said. MOSAIC is the leading Canadian Economics and Reserves solution with 60 per cent market share, while Quorum is the leading U.S. Upstream solution with 85 per cent of the largest E&P operators.
The acquisition will also combine Quorum’s leading position in natural gas marketing and operations with Entero’s leading position in liquids marketing and operations to create a fully-integrated multi-commodity marketing and multi-modal operational solution for gas, NGLs and crude, the company said. Together, Quorum and Entero account for the majority of the top-20 midstream operators in Canada and the U.S.