Onshore drilling specialist Patterson-UTI Energy Inc. (PTEN) said Wednesday it is acquiring Calgary-based Warrior Rig Ltd., a deal expected to give it more options in the rig market and expand its technology offerings. Swiss-based Clariant AG also has snapped up two Texas-based drilling experts whose focus is the Permian Basin.
Houston-based PTEN agreed to acquire Warrior and its related entities for an undisclosed amount. Warrior, which began business in September 2005, has an office in Oklahoma City.
"This acquisition will enhance our competitive position within the high-spec rig market and expand our technology portfolio," CEO Andy Hendricks said.
Although few details were disclosed, Hendricks said Warrior's workforce would become part of "the Patterson-UTI family.” Warrior manufactures fully automated pipe handling equipment, and its forte is rig components, including top drives, both electric and hydraulic, automated tubular tongs and alternating current/hydraulic drawworks.
Warrior is about the same size as Canrig Drilling Technology Ltd., owned by Nabors Industries Ltd., according to RBC Capital Markets. RBC estimated that less than $20 million was paid for Warrior, with the "vast majority" through a stock exchange.
Separately, Clariant agreed to buy Arsenal Capital Partners LP's Kel-Tech, which is based in Midland, while NCH Corp. sold Irving-based X-Chem LLC. Financial details also were not disclosed for the transactions, which are set to close by Oct. 1.
Both Kel-Tech and X-Chem manufacture chemical products used to enhance the drilling process, including hydraulic fracturing. Clariant's specialty chemicals arm already manufactures drilling stimulation products. It also makes products to separate solids from oil and to reduce pipeline corrosion.
"It is part of our global strategy to seize business opportunities in key markets with excellent future prospects through innovations and bolt-on acquisitions," CEO Hariolf Kottmann said. "These acquisitions allow us to strengthen our position in one of the world's largest specialty chemicals markets."
Clariant estimated the two companies would add a total of about $200 million to annual sales, which in 2015 were about $5.93 billion.