Well service provider Ranger Energy Services continues the expansion of its wireline services business with the acquisition of PerfX Wireline Services.
This is the second merger in three months, as Ranger bought Patriot Completion Services in May. The combination of Patriot and PerfX “significantly increases the scale and scope” of its existing Mallard wireline business, said the company in a statement.
Bill Austin, chairman of the board and interim CEO of Ranger stated: “With these two acquisitions we now have the scale, scope and diversification necessary to ensure the long-term success of our wireline service offerings under the Ranger umbrella. Moving forward, Ranger will continue its focus on balance sheet strength and free cash flow generation. We are pleased to have completed these two transactions and expect more opportunities to grow our businesses through acquisitions.”
Together, the Patriot and PerfX transactions add 55 wireline trucks, 10 cranes, and four pump-down pumps to Ranger’s existing Mallard fleet of 13 wireline trucks and eight pumps. Additionally, these acquisitions bring eight locations and 27 incremental customers, as well as full packages of other ancillary equipment. Because both Patriot and PerfX are young companies with a full suite of recently built assets, Ranger expects to see only nominal maintenance capital expense associated with these assets over the next few years.
As noted, these acquisitions add scale to Ranger’s existing wireline business, increasing Mallard’s 13 unit count to a post-transactions total of 68 wireline trucks. Geographically, the company is expanding beyond Mallard’s current Permian focus to a footprint that includes the DJ, Bakken and Powder River basins in eight incremental locations.
For more information visit: www.rangerenergy.com