Billionaire John Goff might best be known for his real estate empire, but this Fort Worth investor isn’t one to put all his eggs in one basket. So, when Goff spotted what he considered a jewel in the rough in an ailing Contango Oil & Gas, he brought out his polishing cloth and went straight to work. REC today is following the remarkable turnaround of Houston-based Contango, which faced certain bankruptcy as early as last year. After the death of its CEO, the once thriving company found itself on life support, struggling with debt, lack of cash flow and hazy direction. Goff began buying up Contango stock at a buck a share until he became the largest shareholder. He then put to work his business mastery starting with new leadership, new deals with lenders, buying distressed oil and gas assets in Texas, Okla. and La., and infusing the company with more of his own capital. Perhaps most transformational is Contango’s fresh business strategy to snatch up bank-owned acreage positions on the cheap and focus less on gas and more on crude. The result? In 12 months, the company has more than doubled its share price. We call that a dazzling new start.
Posted on October 1, 2019