In 1998, Encore Acquisition (Encore), located in Fort Worth, Texas was formed by Warburg Pincus, an experienced management team, and other investors in order to acquire and develop oil and gas properties in the onshore continental United States. Encore's strategy was to purchase proven, long-lived, predictable reserves, in a depressed commodity price environment, where there was an opportunity to enhance performance through improved reservoir engineering, increased attention to operations, and low risk capital expenditures. Warburg Pincus played an integral role in Encore’s development, including working with the management team to establish the business plan, evaluate and analyze acquisition prospects side-by-side, provide access to capital, and enhance the company’s Board through the appointment of independent directors. Encore completed its IPO on the New York Stock Exchange in 2001. Warburg Pincus exited Encore through a series of distributions of shares from November 2003 to December 2004.
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