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Acquired well-intervention company that provides integrated pressure-control services globally, primarily hydraulic workover and snubbing services.

Halliburton, Houston, (NYSE: HAL) has closed its acquisition of well-intervention specialist Boots & Coots, Houston, (NYSE Amex: WEL) in a cash and stock deal for an estimated $270 million.

Halliburton paid $3 per Boots and Coots share, comprised of $1.73 in cash and $1.27 in Halliburton common stock. The company issued a total 3.4 million shares and $142.5 million in cash.

Boots & Coots provides integrated pressure-control services globally, primarily hydraulic workover and snubbing services. The company's Safeguard pressure-control services are designed to reduce the number and severity of oil and gas well fires, blowouts or other incidences due to loss of control at the well. Its equipment services segment provides high-pressure, high-temperature rental tools.

Halliburton plans to create a new product service line to include its existing coiled tubing and hydraulic workover operations and Boots & Coots' intervention services and pressure control business. Boots & Coots' management will remain with the company.

Marc Edwards, Halliburton senior vice president of completion and production, says, "We are pleased to close this acquisition and initiate the integration process with Boots & Coots' talented group of professionals. Through the new Boots & Coots product service line, our customers will have access to the industry's most advanced and wide-ranging suite of well-intervention and pressure-control services to optimize and improve full life-cycle returns."

Boots & Coots president and chief executive Jerry Winchester says, "Merging with Halliburton serves as a perfect complement to Boots & Coots' growth strategies and is a natural addition to Halliburton's global service capabilities."

Wunderlich Securities Inc. analyst Neal Dingmann commented on the deal back in April, saying Boots has an exceptional niche business. "Boots' pressure control and well intervention services are unique not only in the services provided, but the regions operated. Boots' services consist primarily of hydraulic workover and snubbing services that we believe other even larger oilfield-service companies have problems replicating. In addition, Boots has a sizeable share of business in areas such as Algeria, Libya and the Congo."

Pritchard Capital Partners LLC analyst William Conroy said in April, "We think the acquisition makes strategic sense. Boots & Coots' Safeguard risk-prevention business is the main attraction; competition in Boots' markets is limited. The snubbing/workover business complements Halliburton's existing CT and snubbing business."

He estimated Halliburton paid $290 million, including $42 million of Boots & Coots debt.