Business | Oil & Gas
Schlumberger and FRC to buy Saxon
Schlumberger Ltd, the biggest oilfield contractor, and First Reserve Corp (FRC), an energy industry buyout fund, agreed to acquire Canada's Saxon Energy Services Inc for about C$592.1 million to expand in South America.
- Bloomberg
- Published: 00:11 May 6, 2008
Calgary: Schlumberger Ltd, the biggest oilfield contractor, and First Reserve Corp (FRC), an energy industry buyout fund, agreed to acquire Canada's Saxon Energy Services Inc for about C$592.1 million to expand in South America.
Under terms of the transaction, Saxon holders will get C$7 a share, Calgary-based Saxon said in a Canada Newswire statement today. That's a 1.9 per cent premium to Saxon's closing price May 2.
Saxon, which was advised by Thomas Weisel Partners Canada Inc, had 84.59 million shares outstanding as of April 30, according to Bloomberg data.
Schlumberger, based in Houston and Paris, is seeking a bigger stake in the growing market for oilfield-services companies as oil prices surge to records. Saxon has 21 rigs in South America, 11 in Mexico and 19 in the US, according to Sanford C. Bernstein & Co analyst Ben Dell in New York.
Business Editor's choice
-
Do unemployment figures flatter to deceive?
Jobseekers and recruiters give out mixed signals ranging from optimism to downright despair even as official data show recovery
-
Banks can increase their share
Longer opening hours, more locations outside cities and lower charges can help
-
Geepas idea blossomed in Dubai
The journey led from a small shop in Bahrain to a $1.27b company in the UAE
