Grifco International Enters Talks to Acquire Casing Accessory Company
Grifco International, a provider of oil and gas services equipment to the worldwide oil and gas industry, has entered negotiations to acquire a to-be-named casing accessories company.
The casing accessories company anticipates annual revenue in the next two years in the $15 to $18 million range and has embarked upon an aggressive production agenda to add casing accessory inventory to meet future customer demand. The acquisition will also provide both Grifco and the acquisition target the opportunity to better serve their combined customers, with the addition of distribution/inventory stock points in Wyoming, Midland/Odessa, Utah, California, and Houston.
"With the requisite due diligence process involved in any acquisition or merger, we are not yet naming the acquisition candidate until our review of the company's inventory, assets, financial statements and technology is complete and a definitive agreement is signed. We did, however, wish to inform our shareholders of this potential acquisition, given its impact on our overall operations," stated Jim Dial, President and CEO of Grifco International. "We expect the due diligence process to be completed in sixty days and, pending a favorable outcome, a definitive agreement would be entered into shortly thereafter," said Jim Dial, President and CEO of Grifco International.
The acquisition candidate services most of the major oil suppliers with casing accessories, including such items as bow spring centralizers, solid metal centralizers, inline centralizers, metal wipers and wire scrapers. These items are used in most cementing operations worldwide. The company also makes float equipment and specialty tool float equipment.
Grifco International is a leading provider of oil and gas
equipment, specializing in the conception, architecture,
and development of
tools for the coil tubing, wire line, and snubbing industry
United States, China, Mexico, South America, the Middle
East and Africa.
Grifco holds and owns design rights and manufacturing facilities
producing more than 6,000 products for the oil and gas industry
than 150 clients, boasting the biggest names in the business,
Halliburton, Exxon, and Schlumberger.
- Grifco Announces Spins- Off Coil Tubing Technology (Aug 02)
- Grifco Further Clarifies CTT Spin-off Procedure (May 14)
- Grifco Unveils Procedure for CTT Spin-off (Apr 24)