Case Study
Cirro Energy, Inc was formed in 2000 as one of the first retail electric providers (REPs) to capitalize on the deregulation of the electricity market in Texas. Since its inception, Cirro has grown to be one of the leading independent REPs in the state with over 52,000 residential and commercial customers.
In 2007, Cirro approached Aspen to assist it in evaluating alternatives that would not only generate liquidity for its founding shareholders, but also ensure the continued success of the business. Cirro had experienced rapid growth in its seven-year history, and as a result the owners believed that the company was at a strategic inflection point in needing either to partner with a larger organization or acquire generating capacity to better hedge the risks inherent in its business. After a thorough review, the decision was made to seek out a partner that would accomplish these objectives.
After receiving several proposals, the shareholders decided to sell Cirro to Dominion Resources, Inc. (NYSE:D). By partnering with Aspen on this transaction, our client was able to generate liquidity for its shareholders while also partnering with a strategic buyer that will continue to build upon Cirro's successful history. We view this transaction as a prime example of our ability to address our client's specific goals and objectives by finding the right strategic partner for the company.
"Aspen helped us navigate a complicated sale process during a volatile period in the financial markets. The transaction met our personal objectives as shareholders while also ensuring the future success of the business."
Tim Rogers, Former CEO, Cirro Energy