Edmonton, AB – Alberta Investment Management Corporation (AIMCo) has announced a significant increase in its stake in Howard Energy Partners (HEP), solidifying its position as a major investor in the diversified energy platform. AIMCo has acquired Astatine Investment Partners’ (formerly Alinda Capital Partners) shares, boosting its total ownership in Howard Energy Partners to an impressive 87 percent.
This strategic move underscores AIMCo’s strong confidence in Howard Energy Partners, a U.S.-based company with a robust portfolio of midstream and downstream assets. Howard Energy Partners operates in key energy regions of the United States, leveraging long-term, fixed-fee contracts that provide a stable revenue base.
HEP’s commitment to sustainability is also noteworthy. The company recently received a five-star ESG rating from GRESB, a globally recognized benchmark for environmental, social, and governance practices in infrastructure investments. This prestigious recognition places Howard Energy Partners among the top 10 percent of private companies evaluated by GRESB and highlights their dedication to improved ESG performance, earning them the title of “2022 Most Improved in Infrastructure.”
AIMCo’s initial investment in Howard Energy Partners began in early 2017 with a 28 percent stake. The continued strong performance of this investment and its alignment with AIMCo Infrastructure’s energy transition strategies have driven this increased commitment. The remaining 13 percent ownership of Howard Energy Partners will be held by HEP management and other minority investors, ensuring continued alignment and operational expertise.
Ben Hawkins, Executive Managing Director & Head, Infrastructure, Renewables & Sustainable Investing at AIMCo, stated, “We are excited to make further investment in Howard Energy and to grow our global portfolio of high-quality energy infrastructure assets on behalf of our clients. AIMCo’s significant ownership ensures continuity of a very successful, long-term partnership with Howard Energy.”
Echoing this sentiment, Mike Howard, HEP Chairman and CEO, commented, “As one of the premier capital providers in the industry, AIMCo has been a long-time and trusted partner of HEP. They have supported our vision of growth and value creation while at the same time supporting our commitment of delivering positive energy in new and innovative ways. I am excited that we are significantly expanding our partnership in North America, and I believe that together we will be able to further scale our platform of assets for many years into the future.”
The financial terms of this transaction remain undisclosed. AIMCo was advised by TPH&Co., the energy business of Perella Weinberg Partners, as financial advisor, and Kirkland & Ellis LLP as legal advisor.
About Alberta Investment Management Corporation (AIMCo)
AIMCo is one of Canada’s leading institutional investment managers, overseeing more than $150 billion in assets. Established in 2008, AIMCo’s mandate is to deliver superior long-term investment results for its clients. Operating independently from the Government of Alberta, AIMCo invests globally on behalf of 32 Alberta-based pension, endowment, and government funds. For more information, please visit www.aimco.ca or connect with them on LinkedIn.
About Howard Energy Partners (HEP)
Howard Energy Partners, headquartered in San Antonio, Texas, is a growth-oriented, diversified energy company focused on providing innovative midstream solutions. Howard Energy Partners’ extensive asset base includes natural gas and crude oil pipelines, processing plants, refined products storage, deep-water docks, rail facilities, fractionation, hydrogen production, and renewable diesel logistics assets. These assets are strategically located across Texas, New Mexico, Oklahoma, Pennsylvania, and Mexico. Howard Energy Partners is dedicated to delivering positive energy solutions. For further details, please visit www.howardenergypartners.com.
