Dallas, Dec 02 –USA Compression Partners, LP (NYSE: USAC) (“USAC” or “USA Compression” or the “Partnership”) today announced it has entered into a definitive agreement to acquire J-W Power Company, a large privately-held provider of compression services in the United States, for total consideration of approximately $860 million.
Compelling Strategic and Financial Benefits
Expanded Scale: Creates a combined fleet of approximately 4.4 million active horsepower.
Enhances Geographic Diversification: Adds over 0.8 million active horsepower across key regions including the Northeast, Mid-Con, Rockies, Gulf Coast, Bakken and Permian Basin.
Diversified Business Lines: Includes aftermarket services and parts distribution, as well as additional optionality associated with specialized manufacturing services.
Customer Base: Highly diversified, high-quality customer base with long-term relationships.
Market Leadership: Expands USAC’s position across mid-to-large horsepower compression.
Financial Impact: Meaningful near-term accretion on a Distributable Cash Flow basis.
Valuation: Attractive ~5.8x 2026 estimated Adjusted EBITDA multiple before expected synergies.
Deleveraging: Deleveraging transaction that accelerates path to sub-4.0x leverage.
“This acquisition represents a milestone step for USAC,” said Clint Green, President and Chief Executive Officer of USAC. “By adding J-W Power Company’s high-quality fleet and expanding our presence in key basins, we are excited to expand our position as a leading provider of compression services. The combined entity will deliver meaningful scale, broaden customer relationships, and enhance our ability to service the growing demand for natural gas compression.”
Green continued, “J-W Power Company brings a strong reputation for operational excellence and a diversified business model. We look forward to welcoming their talented team and working together to create long-term value for our unitholders.”
Transaction and Closing Details
Under the terms of the agreement, USAC will fund $430 million in cash, with plans to initially fund through available capacity under its revolving credit facility, and issue approximately 18.3 million new USAC common units ($430 million based on 10-day volume-weighted average price as of November 26, 2025 with a collar of $23.25 – $23.50, resulting in an effective price utilized $23.50) to the seller. The transaction is expected to close in the first quarter of 2026, subject to customary closing conditions and regulatory approvals.
Conference Call Information
USA Compression will host a conference call today beginning at 11:00 AM Eastern Time (10:00 AM Central Time) to discuss. The call will be broadcast live over the internet. Investors may participate by audio webcast, or if located in the U.S. or Canada, by phone. A replay will be available shortly after the call via the “Events & Presentations” page of USA Compression’s Investor Relations website.
By Webcast:
Connect to the webcast via the “Events & Presentations” page of USA Compression’s Investor Relations website at https://investors.usacompression.com. Please log in at least 10 minutes in advance to register and download any necessary software.
By Phone:
Dial (888) 440-5655 at least 10 minutes before the call and ask for the USA Compression Partners Earnings Call or conference ID 8970064.
Advisors
Wells Fargo is serving as exclusive financial advisor and Sidley Austin LLP is serving as exclusive legal advisor to USA Compression Partners. Jefferies LLC served as the exclusive financial advisor and Jackson Walker LLP served as legal counsel to J-W Power Company.