# Tailwater Capital

Tailwater Capital is an Asset Manager based in Dallas, United States.

## Overview

- **Organization type:** Asset Manager
- **Headquarters:** Dallas, United States
- **Region:** North America
- **Address:** Dallas, TX, United States
- **Founded:** 2013
- **Assets under management:** Undisclosed
- **Website:** www.tailwatercapital.com
- **LinkedIn:** https://www.linkedin.com/company/tailwater-capital-llc

## Regulatory record

- **CRD number:** 167240
- **SEC file number:** 801-77769
- **Registration status:** Registered
- **Reports private funds:** Yes
- **IAPD record:** https://adviserinfo.sec.gov/firm/summary/167240

## About

Tailwater Capital is a Dallas-based private equity firm with approximately $6.2B in committed capital and a strong track record in energy and infrastructure. Through a research-driven Full Immersion approach, it partners with top management teams to build scalable, sustainable assets that address market bottlenecks. The firm has completed over 300 transactions totaling more than $29 billion in value.

## Sectors

- Energy Transition & Renewables
- Infrastructure
- Energy

## People

- Jason Downie — Co-Founder & Managing Partner
- Edward Herring — Co-Founder & Managing Partner

## Questions

### Who runs investment decisions at Tailwater Capital?

Co-founders Jason Downie and Edward Herring serve as managing partners and control all material investment decisions. Both came out of HM Capital's energy group and have operated together for over two decades. The firm has not installed an independent investment committee or outside non-executive directors on its deal-approval process.

### How does Tailwater source proprietary deal flow?

Sourcing relies on the founding partners' multi-decade relationships with midstream operators, family-owned oilfield service companies, and environmental remediation founders across Texas and Oklahoma. The firm does not advertise an in-house origination technology platform. Its market position as a dedicated energy infrastructure buyer — in a space where generalist private equity firms have broadly retreated — means many deals come through bilateral negotiations rather than broad auctions.

### Does Tailwater participate in fund commitments or only direct deals?

Tailwater operates as a direct investor, taking control or structured minority stakes in portfolio companies through its commingled fund vehicles. The firm does not publicly operate a fund-of-funds program or make LP commitments to third-party energy managers. Its limited partners are institutional allocators who commit directly to the Tailwater Energy Fund series.

### Which sectors does Tailwater explicitly avoid?

Tailwater does not invest in upstream exploration and production or downstream refining and marketing. The firm also avoids power generation assets including renewable project development — its energy transition exposure is limited to environmental infrastructure such as water recycling, carbon-capture-adjacent logistics, and emissions management services rather than electricity generation.

### How is Tailwater Capital related to HM Capital?

Tailwater Capital was formed in 2013 when Jason Downie, Edward Herring, and the energy investment team spun out of HM Capital (formerly Hicks, Muse, Tate & Furst). The separation was a structural break — Tailwater operates as a fully independent firm with no ongoing affiliation, shared economics, or legacy fund management ties to HM Capital.

## Related profiles

- [Tail End Capital Partners](https://altss.com/profile/tail-end-capital-partners)
- [Tailwind Associates](https://altss.com/profile/tailwind-associates)

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Last updated: 2026-08-11T15:08:18.003Z

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