Trican Well Service Ltd. (TSX: TCW) has agreed to acquire i-Tec Well Solutions AS for up to US $107.1 million.
Trican will acquire all of the shares and discharge existing debt of Petro Tools Holding AS (the holding company for i-Tec and its subsidiaries) in exchange for initial cash consideration of US $30 million and 2.4 million Trican common shares. In addition, Trican has agreed to pay deferred consideration of up to US $47.1 million subject to agreed upon financial targets for i-Tec for the year ended December 31, 2013.
The transaction is expected to close before January 31, 2013.
TD Securities Inc. acted as exclusive financial advisor to Trican, while Evercore Partners and Alpha Corporate Finance acted as financial advisors to Petro Tools Holding AS on the transaction.
Stavanger, Norway based i-Tec is an independent and fast growing oilfield service company focused on specialized completion and intervention solutions. i-Tec operates in Norway, the United States and currently supports Trican’s Completion Tool division in Canada.