Primary Energy Ventures

“Intralinks clearly proved its value for a deal with a large number of document and an aggressive time frame."

– Craig Bennett, Associate General Counsel, Primary Energy Ventures

The results exceeded expectations, including significant time savings, improved responsiveness to buyers, and a new structure for organizing the company’s most important information. 

The Situation

Primary Energy Ventures, LLC is one of the leading energy recyclers in the United States. In May 2006, the company’s majority owner, a New York-based private equity firm, decided to sell its interest in Primary Energy.

The Problem

The seller pushed for an aggressive time frame to close, but the due diligence process posed a hurdle. Given the document-intensive nature of the energy industry, potential buyers can spend months reviewing operating agreements, vendor contracts, maintenance records, insurance information and other materials.

The Implications

Like many young companies, Primary Energy had focused on growth, not on the discipline of document management. Organizing the millions of pages of information spread throughout the company in various filing cabinets and on numerous hard drives proved daunting. Without a uniform system for managing, naming and storing information, Primary Energy had created a records management nightmare.

The Solution

Primary Energy selected Intralinks Exchanges^TM to support the due diligence process. The company had used Intralinks previously for a commercial loan and found the solution convenient and efficient. The ability for multiple parties to review documents simultaneously would reduce the process from weeks to days. In addition, Intralinks trained Primary Energy on best practices for indexing and organizing its documents and provided templates to ease the work.

The Result

Along with facilitating a smooth due diligence process for the buyers and sellers, Intralinks saved Primary Energy significant time. In August 2006, Primary Energy’s majority owner successfully sold its stake to Edmonton-based Epcor Power, L.P for $380 million deal.