BV’s PetroSkills platform notches 3x EBITDA growth, adds e-learning company RDC

PetroSkills, one of the ”leading comprehensive partners to the energy marketplace for competency development,” is taking aim at the so-called “Big Crew Change” in the oil and gas business as older engineers and other experts retire, creating a critical need for training and services for a younger generation, Justin Harrison, a managing director at BV, told Buyouts.

“We think there’s a lot more market opportunity in front of us,” Harrison said. ”We may look at one or two other targeted add-ons as part of our overall strategic plan.”

Birmingham, Mich-based Resource Development Company fits into the picture as a specialist in online content and software for the petroleum industry. PetroSkills purchased RDC for an undisclosed price in a deal announced Jan. 6.

Among its offerings, RDC maintains a library with more than 600 hours of industry-validated content on operations and maintenance, health, safety and environmental issues, refining, petrochemical, production and many other topics.

“There’s just a growing demand for engineering talent both domestically and internationally,” Harrison said. ”It’s further impacted by the fact that assets are further afield…These are intensive processes that require further, deeper training and education.”

BV Investment Partners sourced the acquisition of RDC on its own and negotiated the deal directly with the company owner, Harrison said.

RDC marks the second significant add-on deal for PetroSkills, a Fund VII portfolio firm that’s grown organically as well, he said.

BV Investment Partners is currently raising BVIP Fund VIII LP with $169 million in commitments from 58 investors, with no target figure listed, according to an October 4 Form D filing. A separate Form D filing for a Fund VIII offshore vehicle disclosed $40 million in commitments.  Evercore Partners is listed as a sale commission recipient in both filings. Sources familiar with the firm said the target for the fund is at least $400 million.

Harrison declined to discuss any aspect of fundraising.

Boston Ventures VII rang up an IRR of 11.2 percent as of Dec. 31, 2012 for the Connecticut State Employees Retirement System. The LP committed $75 million to the fund in 2006 and had paid out $62 million by the end of 2012, according to pension fund data compiled by Buyouts.

BV Partners changed its name from Boston Ventures in 2010.

The vintage 2000 Boston Ventures VI LP delivered an IRR of 9.8 percent for the Washington State Investment Board as of Dec. 31, 2012.