TPH Partners seeks to partner with talented management teams who have a solid business concept, intimate knowledge of their particular niche and a high degree of focus, whether it be in the upstream, midstream or oilfield services industries. We fully understand the cyclicality of the energy industry we have chosen to make our professional focus. Core to our investment philosophy is the idea that attractive returns can be achieved, without the incurrence of unrewarded risk, through the prudent application of several important principals:
- Volumetric growth, not price, is the primary tenet of our investment approach;
- Use leverage sparingly;
- Risk management through price hedging is an important tool for protecting the cash flow needed to invest in volumetric growth opportunities; and
- No energy investment can be fully appreciated without the application of high-quality technical expertise.
The team's strategy also involves the construction of a portfolio consisting primarily of control or shared control positions. As a majority investor, TPH Partners can make significant contributions at the board of directors level, leveraging its industry contacts and know-how to help portfolio companies through operational, growth and restructuring challenges. As a complement to core positions of controlling investments, we will pursue certain opportunities to invest in select, non-control investments with other strategic or financial partners.