Oil States Completes Previously Announced Acquisition of GEODynamics
January 12 2018 - 5:00PM
Oil States International, Inc. (NYSE:OIS) announced today that it
has completed its acquisition of GEODynamics, Inc. The acquisition
was funded with a combination of $295 million of cash (net of
estimated cash acquired and funded by borrowings under Oil States'
amended revolving credit facility), the issuance of 8.66 million
shares of Oil States’ common stock (valued at approximately $295
million based on Oil States’ share price at closing), a $25 million
unsecured promissory note payable to the sellers, bearing interest
at 2.5% per annum maturing in July 2019, and other closing
adjustments, for total consideration of approximately $615 million.
Cindy B. Taylor, Oil States' President and Chief
Executive Officer, commented, "We believe the acquisition of
GEODynamics offers a unique opportunity for our Company as it
provides meaningful growth potential that combines technology with
downhole consumable completion solutions that are ideal for the
current operating environment. We are excited to add their products
to our existing offerings and their employees to the Oil States
family. Collectively, we will be able to offer our customers more
customized downhole completion solutions, while assisting with
their increasingly complex completion designs."
About Oil StatesOil States International, Inc.
is a global oilfield products and services company serving the
drilling, completions, subsea, production and infrastructure
sectors of the oil and gas industry. The Company’s manufactured
products include highly engineered capital equipment as well as
products consumed in the drilling, well construction and production
of oil and gas. The Company is also a leading provider of
completion services to the industry. Oil States is headquartered in
Houston, Texas with manufacturing and service facilities
strategically located across the globe. Oil States is publicly
traded on the New York Stock Exchange under the symbol “OIS”.
For more information on the Company, please visit Oil States
International’s website at www.oilstatesintl.com.
About GEODynamics
GEODynamics, Inc. creates and delivers downhole
solutions that enable enhanced well economics, performance and
lifespan. GEODynamics is a leading researcher, developer and
manufacturer of engineered solutions to connect the wellbore with
the formation in oil and gas well completions. GEODynamics’
solution-oriented product lines span the life of a well from
advanced perforating systems (including patented CONNEX® reactive
perforating technologies, FracIQ™ Limited Entry Perforating System,
and SandIQ™ Optimized Perforating for Diversion) to an innovative
line of unconventional well completion tools (including the
patented SmartStart Plus™ Time Delay Test & Frac Valve,
FracTrap™ Composite FracPlug System, and the FracDock™ family of
patented bigbore frac solutions) and well abandonment tools
(including Legacy™ plugs and cement retainers, setting equipment,
and jet cutters). GEODynamics has headquarters, engineering, sales,
laboratory and manufacturing facilities located in Millsap, Texas;
technical sales and services in Aberdeen, Scotland and nine U.S.
distribution centers. For more information about GEODynamics,
visit www.perf.com.
Forward Looking StatementsThe foregoing contains
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Forward-looking statements are those that do not state
historical facts and are, therefore, inherently subject to risks
and uncertainties. The forward-looking statements included therein
are based on then current expectations and entail various risks and
uncertainties that could cause actual results to differ materially
from those forward-looking statements. Such risks and uncertainties
include, among other things, the ability to retain GEODynamics’
customers and employees, the ability to successfully integrate
GEODynamics’ operations, product lines, technology and employees
into Oil States’ operations, and the ability to achieve the
expected synergies as well as accretion in earnings; risks
associated with the general nature of the energy service industry;
and other factors discussed in the "Business" and "Risk Factors"
sections of the Form 10-K for the year ended December 31, 2016, as
well as any other factors discussed in subsequent Forms 10-Q, filed
by Oil States with the Securities and Exchange Commission.
Company Contact:
Lloyd A. HajdikOil States International, Inc.Executive Vice
President, Chief Financial Officer and Treasurer 713-652-0582
Patricia GilOil States International,
Inc.Director, Investor Relations713-470-4860
SOURCE: Oil States International, Inc.
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