Privately Held ProFrac to Buy FTS International for $407.5 million in Cash

FTS International said the all-cash transaction with ProFrac will create one of the largest completions focused service companies in the U.S. oil and gas industry.

Privately Held ProFrac to Buy FTS International for $407.5 million in Cash

The combination with ProFrac will create “a stronger organization to successfully compete in our rapidly evolving industry,” says FTS International Board Chairman Eugene Davis. (Source: FTS International Inc.)

Fort Worth, Texas-based FTS International Inc. agreed to sell itself on Oct. 22 to privately held ProFrac Holdings LLC in an all-cash transaction the company said will create one of the largest completions focused service companies in the U.S. oil and gas industry.

An independent hydraulic fracturing service company and one of the only vertically integrated service providers of its kind in North America, FTS took a hit last year from the pullback in U.S. shale activity in response to the COVID-19 pandemic driven downturn, forcing the company to voluntarily file for bankruptcy protection. However, by November 2020, FTS had emerged from the restructuring process debt-free and ready to take advantage of future opportunities.

“The board and executive leadership team have carefully evaluated a range of strategic alternatives focused on maximizing value and determined that this cash offer from ProFrac, which provides immediate and certain value at an attractive price, is in the best interest of all stockholders,” Eugene Davis, chairman of the FTS board, commented in the release.

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Emily Patsy

Emily Patsy is the senior managing editor for Hart Energy’s Digital News Group. She's responsible for the daily news flow and also manages the A&D Watch and Energy Pulse weekly newsletters.