Overview
ESP is an investment adviser focused on managing privately pooled investment vehicles
(individually, a “Fund”, collectively, the “Funds”). ESC Investment Advisors LLC (“ESC”), the
relying adviser in this Form ADV, is the investment adviser for certain of the Funds. References
to ESP in this Part 2A will also be deemed to refer to ESC unless otherwise noted. ESP provides
investment management and supervisory services to the Funds in accordance with the investment
objectives and strategies set forth in the applicable governing documents. The Funds are exempt
from registration under the Investment Company Act of 1940, as amended (the “Investment
Company Act”) and the Funds securities are not registered under the Securities Act of 1933, as
amended (the “Securities Act”).
The primary purpose of the Funds is to make venture capital-oriented investments in lower middle-
market companies that acquire, develop and operate energy assets in the U.S., Canada and Mexico
(as warranted). ESP expects that most investments by the Funds will be made in companies with
business plans expected to result in enterprise values of $100 to $500 million. The Funds will
follow a venture capital strategy and will seek to realize equity returns by making negotiated equity
investments with entrepreneurial, owner-managed companies that have the ability to grow and
create equity value.
The Company has full discretionary authority with respect
to investment decisions, and its advice
with respect to the Funds is tailored according to the investment objectives, guidelines, and
requirements as set forth in the applicable governing documents. The Funds’ respective general
partners, which are affiliates of the Company (each, a “General Partner”), may enter into
agreements with one or more investors which have the effect of altering or supplementing the
terms of the offering to the specific investor (each, a “Side Letter”). Any terms contained in such
a Side Letter to or with an investor shall govern with respect to such investor notwithstanding the
provisions of the Fund’s governing documentation.
ESP is a Delaware limited liability company that was formed and began operating in 2018. ESC
is a Delaware limited liability company that was formed and began operating in 2011 as a result
of the Dodd Frank Act. The common interests of both ESP and ESC are wholly-owned by Energy
Spectrum Securities Corporation (“ESSC”), a Texas corporation formed in 1997 with controlling
interests held by ESP’s President and Managing Directors, Thomas O. Whitener, Jr., James P.
Benson and James W. Spann. Prior to the formation of ESSC, the principals had formed and
managed the first of the prior funds in 1996. As of December 31, 2023, ESP and ESC collectively
advised approximately $1.887 billion of regulatory assets under management on a discretionary
basis for the Funds.