Parallaxes Capital Highlights Terminated TRAs by a Leading Oil & Gas Company

NEW YORK, November 24, 2022 /PRNewswire/ — Parallaxes Capital Management (“Parallaxes”) is an alternative asset manager and has launched four tax claim agreement (“TRAs”) funds since 2017. As the leader in TRA monetization, Parallaxes is dedicated to increasing the visibility and transparency of TRAs, which remain an often overlooked and misunderstood asset class. In order to provide more visibility into the TRA ecosystem, Parallaxes is pleased to highlight a notable development in the market as Ranger Energy Services Inc. (“Ranger Energy”) previously discontinued its TRA.

Ranger Energy announced that it has issued 376,185 Class A common shares (valued at approximately 4 million dollars at the time of the announcement) to TRA holders to cancel their TRA. The Ranger Energy TRA provided for the payment of 85% of the net savings generated from certain tax attributes, including savings from (I) Tax base increases due to the exchange of subsidiaries for common stock and (ii) certain payments under the TRA.

Parallaxes views TRAs, including the Ranger Energy TRA, as a valuable tool in reducing certain moral hazard issues and information asymmetries inherent in a company’s public offering. TRAs help ensure that pre-IPO owners are economically aligned with new public shareholders and incentivizes pre-IPO owners to pursue an IPO structure that provides ongoing tax benefits to the company. Parallaxes believes that increased awareness and understanding of TRAs will lead to increased market adoption.

About Parallax Capital

Parallaxes Capital Management (“Parallaxes”) is the leading investment firm focused solely on the monetization of Tax Claim Arrangements (“TRAs”). Parallaxes provides private equity sponsors, co-investors and members of the management team with solutions to achieve liquidity, diversification and optionality in their TRAs. Founded in 2017, Parallaxes is comprised of experienced investment professionals from leading private equity and growth capital firms. To learn more, please visit www.plxcap.com

disclosure

This press release should not be taken as representative of any official position or statement by Parallaxes or any of its affiliates.

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SOURCE Parallaxes Capital

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