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Jul 30,2018
TPG Growth Agrees to Sell Discovery Midstream to KKR and Williams

San Francisco and  Fort Worth, Texas – July 30, 2018 – TPG Growth, the middle market and  growth equity platform of alternative asset firm TPG, announced today it has  signed a definitive agreement to sell Discovery Midstream (“Discovery”) to a  newly-formed joint venture between KKR and Williams (NYSE: WMB) for approximately  $1.2 billion. The transaction is expected to close in the third quarter and is  subject to customary closing conditions.

Discovery is a provider of oil and natural gas gathering and  natural gas processing services in the southern portion of Colorado’s  Denver-Julesburg Basin. The company’s infrastructure and related facilities are  strategically located across more than 250,000 dedicated acres primarily in  Weld and Adams counties. Discovery was established in 2015 by a group of  seasoned industry executives.

“Over the last year, Discovery has had tremendous operational  and commercial success in expanding its systems and growing its customer base,”  said Christopher Ortega, Partner at TPG. “It’s been a pleasure to work with the  Discovery team, who we’ve known and respected for many years. We are grateful for  their partnership.”

The Discovery system includes both natural gas and crude  oil gathering pipelines, cryogenic gas processing, liquids handling, and crude  oil storage. Assets include a 60 million cubic feet per day (MMcf/d) gas  processing plant with an additional 200 MMcf/d plant that is fully permitted  and under construction. It is expected to be in service by the end of 2018.

“Working with TPG, we’ve taken meaningful steps in growing  our platform in the DJ Basin, furthering our objective of providing superior  service and maximum value for our producer customers,” said Steven Meisel, Co-Founder  of Discovery. Drew Chambers, Co-Founder of Discovery, continued, “We are thankful  for TPG’s support over the last year. Looking ahead, we are excited by the  complementary capabilities of the KKR/Williams partnership and Williams’ record  as a safe and reliable operator to further grow these assets.”

TPG’s energy team has a long history of partnering with  leading companies and strong management teams across the energy value chain. Focused  on building strategic platforms with significant growth potential, the team’s investments  have included Copano Energy, EnLink Midstream, and Jonah Energy. In 2017, TPG  launched its first energy-focused vehicle, TPG Energy Solutions. TES invested  in Discovery alongside TPG Growth.

Vinson & Elkins served as legal advisor and Jefferies  acted as financial advisor to TPG Growth.


 About TPG Growth

TPG Growth is the middle market and growth equity investment  platform of TPG, the global alternative asset firm. With approximately $13.2  billion of assets under management, TPG Growth targets investments in a broad  range of industries and geographies. TPG Growth has the deep sector knowledge,  operational resources, and global experience to drive value creation, and help  companies reach their full potential. The firm is backed by the resources of  TPG, which has approximately $84 billion of assets under management. For more  information, visit

About Discovery  Midstream

  Based in Dallas, Discovery is a full-service midstream  company focused on maximizing value and providing outstanding service to  producers. Discovery’s management team has more than 100 years of experience in  developing grassroots projects, optimizing assets and providing related  services in the major producing basins in the United States. For more  information, please visit

About Williams & Williams  Partners

Williams  (NYSE: WMB) is a premier provider of large-scale infrastructure connecting U.S.  natural gas and natural gas products to growing demand for cleaner fuel and  feedstocks. Headquartered in Tulsa, Okla., Williams owns approximately 74  percent of Williams Partners L.P. (NYSE: WPZ). Williams Partners is an  industry-leading, large-cap master limited partnership with operations across  the natural gas value chain including gathering, processing and interstate  transportation of natural gas and natural gas liquids. With major positions in  top U.S. supply basins, Williams Partners owns and operates more than 33,000  miles of pipelines system wide – including the nation’s largest volume and  fastest growing pipeline – providing natural gas for clean-power generation,  heating and industrial use. Williams Partners’ operations touch approximately  30 percent of U.S. natural gas.

About KKR

KKR  is a leading global investment firm that manages multiple alternative asset  classes, including private equity, energy, infrastructure, real estate, credit  and, through its strategic partners, hedge funds. KKR aims to generate  attractive investment returns by following a patient and disciplined investment  approach, employing world-class people, and driving growth and value creation  with KKR portfolio companies. KKR invests its own capital alongside its  partners' capital and provides financing solutions and investment opportunities  through its capital markets business. References to KKR's investments may  include the activities of its sponsored funds. For additional information  about KKR & Co. Inc. (NYSE: KKR), please visit KKR's website at and on Twitter @KKR  Co.

Media Contacts
Erika White
(415) 743-1550