SOURCE: Atlas America, Inc.

February 21, 2007 09:45 ET

Atlas America, Inc. Announces the Formation of Lightfoot Capital Partners, LP

PHILADELPHIA, PA -- (MARKET WIRE) -- February 21, 2007 -- Atlas America, Inc. (NASDAQ: ATLS) announced today the formation of Lightfoot Capital Partners, LP ("Lightfoot"), created in conjunction with Magnetar Capital, The Global Principal Strategies Group of Lehman Brothers and a management team led by Vincent Cubbage, formerly Managing Director and Sector Head of Master Limited Partnerships ("MLPs") in the Investment Banking Division of Banc of America Securities LLC. Additional lead investors include Goldman Sachs & Co. Lightfoot will have an initial equity funding of approximately $160 million and intends to focus its investments primarily on incubating new MLPs and providing capital to existing MLPs in need of additional equity or structured debt. Lightfoot will concentrate on assets that are MLP-qualified such as infrastructure, coal, and other asset categories and intends to form new MLPs in partnership with premier management teams in sectors that have been under-utilized by the MLP structure.

Atlas America, Inc. will own, directly and indirectly, approximately 18% of Lightfoot Capital Partners GP LLC, the general partner of Lightfoot, and it will invest $20 million in the Lightfoot entities. Atlas will also receive certain co-investment rights until such point as Lightfoot raises additional capital through a private offering to institutional investors or a public offering. Jonathan Cohen, Vice Chairman of Atlas America, has been appointed as the Chairman of Lightfoot and Vincent Cubbage as its Chief Executive Officer.

Edward E. Cohen, Chief Executive Officer of Atlas America, noted, "Lightfoot is yet another vehicle which will enable Atlas America to leverage its expertise. We continue to see value in building publicly traded partnerships with strong wealth-creating potential, and intend to use Lightfoot to target assets that would be outside of the strategic focus of our existing MLP vehicles. We look forward to working with Magnetar, Lehman Brothers, Goldman Sachs and the Lightfoot management team in developing these MLP investments into profitable businesses."

In addition to its holdings in Lightfoot, Atlas America, Inc. owns an 80% common unit interest and all of the Class A and management incentive interests in Atlas Energy Resources, LLC (NYSE: ATN), an 83% interest in Atlas Pipeline Holdings, L.P. (NYSE: AHD), a limited partnership which owns the general partner interest in Atlas Pipeline Partners, L.P. (NYSE: APL), all the incentive distribution rights and 1,641,026 common units of APL. For more information, please visit our website at, or contact Investor Relations at

Certain matters discussed within this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Atlas America, Inc. believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from expectations include financial performance, regulatory changes, changes in local or national economic conditions and other risks detailed from time to time in the Company's reports filed with the SEC, including quarterly reports on Form 10-Q, reports on Form 8-K and annual reports on Form 10-K.

Contact Information

  • Contact:
    Brian Begley
    Investor Relations
    Atlas America, Inc.
    1845 Walnut St. - Suite 1000
    Philadelphia, PA 19103
    (215) 546-5005
    (215) 546-5388 (facsimile)