LONDON (Alliance News) - Industrial services and rental company Northbridge Industrial Services PLC Friday said it has acquired the assets of Oilfield Material Management Limited for USD3.0 million, made up of USD2.5 million in cash and USD0.5 million in 66,829 Northbridge shares.
In addition to the initial consideration, Northbridge expects to pay a deferred consideration of USD4.75 million in March 2017.
Abu Dhabi-based Oilfield Material Management rents out drilling tools for the oil and gas industry to customers in the Middle East, North Africa and the Commonwealth of Independent States. It had net assets of USD6.6 million on August 31 and annualised hire-related revenue of USD4.6 million.
Northbridge said the acquisition complements Tasman Oil Tools Pty, its Australia-based business, and will expand its presence the Middle Eastern. Tasman Oil Tools also provides rental of tools and drilling equipment to the oil and gas industry.
The stock was trading at 482.00 pence Friday morning, up 2.00 pence or 0.4%.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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