M-I Acquires BW Group
M-I has acquired BW Group plc ("BW Mud") for a cash consideration of £12.0 million. M-I will also assume certain intercompany debt and third party indebtedness totalling £5.3 million, giving a total consideration of £17.3 million. BW Group is an Aberdeen-based provider of drilling and completion fluids and other well-related chemicals to the North Sea market. BW Mud, which reported revenues of approximately $11.3 million for the first half of 2001, will be integrated into M-I's existing U.K. operations.
Loren Carroll, President & CEO of M-I, commented, "We're pleased to finalize the transaction with BW Mud, a company that has a successful history of performance in the North Sea. In combining our technical strengths, we'll enhance M-I's ability to offer value-added solutions in what is one of the most challenging drilling arenas in the world. The acquisition, along with the opening of our state-of-the-art research center in Aberdeen, demonstrates M-I's commitment to the U.K. drilling sector and provides a solid and substantial base for future growth."