Porter Hedges Represents Magnum Oil Tools in its $493 Million Acquisition by Nine Energy Service
Porter Hedges represents Magnum Oil Tools International, LTD (Magnum) in its sale to Nine Energy Service, Inc. (NYSE: NINE). Magnum provides downhole technology to the global oil and gas industry and has a broad offering of proprietary downhole completion products, including dissolvable and composite frac plugs, as well as a number of other patented consumables.
Total upfront transaction consideration of $493 million consists of a combination of approximately $334 million of cash, as well as 5 million shares of Nine common stock (valued at $159 million, based on a 30-day value weighted average price as of October 12, 2018).
Magnum is a market-leading downhole technology provider serving the global oil and gas industry for over a decade. Magnum is headquartered in Corpus Christi, TX with operating facilities in the Permian, SCOOP/STACK, Bakken, Niobrara, Haynesville, Marcellus, Utica and Canada.
Nine is an oilfield services company that offers completion and production solutions throughout North America. Nine is headquartered in Houston, Texas with operating facilities in the Permian, Eagle Ford, SCOOP/STACK, Niobrara, Barnett, Bakken, Marcellus, Utica and throughout Canada.
For additional information, see the press release here.