Sector News

TrailStone buys Cargill's power and gas group: sources

January 23, 2017
News

Commodities trader and investor TrailStone Group has purchased Cargill Inc’s gas and power trading group, three sources familiar with the deal said this week.

The move, first reported by Sparkspread, comes amid a reshuffling in the power and natural gas industry as private equity firms and hedge funds pour into the space, filling a void left by banks and other longtime players.

The banks and others have been pulling back over the past several years as natural gas prices have reached lows not seen in a decade, due to abundant U.S. shale gas and increasingly strict capital requirements and regulations that have pressured banks to reduce their involvement in physical commodities markets.

Swiss-based commodities trader Gunvor Group Ltd this year opened a natural gas trading desk in Connecticut, headed by a former director of natural gas for Freepoint Commodities.

Last September, Hartree Partners lost its head of natural gas trading, and in May, U.S. investment bank Goldman Sachs Group Inc snagged Mercuria Energy Trading’s head of natural gas and power trading.

TrailStone already had natural gas and power trading operations in the United States. TrailStone did not respond to a request for comment, and Cargill declined to comment.

By Catherine Ngai and Liz Hampton

Source: Reuters

comments closed

Related News

August 23, 2019

The higher purpose of being a CEO

Borderless Leadership

LinkedIn Twitter Xing EmailWhen I left my second large company experience to become President of a small manufacturing company I did so driven by ego; I fancied the title. Soon […]

August 23, 2019

As Brexit nears, Britain’s drugs, devices and pricing regulators seek the exit

Life sciences

LinkedIn Twitter Xing EmailFirm details on exactly how the U.K. will regulate new medicines is still to be decided after it leaves the EU later this year (caveats on timing […]

August 23, 2019

The Simply Good Foods Company acquires Quest Nutrition for $1bn

Food & Drink

LinkedIn Twitter Xing EmailThe Simply Good Foods Company, the owner of Atkins-branded food products, has secured a deal to acquire protein snack maker Quest Nutrition for $1 billion. Quest, which […]

Send this to a friend