Superior Energy buying Complete in $2.7 billion deal

Published Oct 10, 2011 at 10:59 am (Updated Oct 10, 2011)

New Orleans-based Superior Energy Services is buying Houston-based Complete Production Services in a cash-and-stock deal valued at $2.7 billion, the company announced today, giving it a broader reach in the oilfield services sector. The deal has been unanimously approved by both companies' boards, but still needs approval from Superior and Complete shareholders. The acquisition could close as soon as the end of the year. The buyout equates to 0.945 common shares of Superior and $7 in cash for each share Complete stockholders own. Superior shareholders will own about 52% of Superior's outstanding stock, while Complete stockholders will own the remaining 48%. The acquisition will allow Superior to offer more products and services, such as hydraulic fracturing and well servicing, the company says. "The combination of Superior and Complete creates a top-tier diversified oilfield services company with the products, technologies and talented people that are critical to helping our customers create value, particularly in unconventional fields in North America," Superior President and CEO David Dunlap says in a statement. The combined company will keep the Superior name and be led by Dunlap. The new board will add two independent members from Complete. Superior says it expects the acquisition will add to its 2012 earnings per share, excluding transaction and integration costs.