C&J Energy and Keane to merge, creating a $1.8 billion well services company

ایران اخبار اخبار

C&J Energy Services Inc. and Keane Group Inc. announced Monday a merger-of-equals deal to create a diversified oilfield services company with a combined enterprise value of $1.8 billion, including $255 million in debt. Under terms of the deal, C&J shareholders will receive 1.6149 Keane shares for each C&J share they own. Based on Friday's closing prices, that values C&J stock at $11.29 each, or a 5.3% premium. After the deal closes, which is expected to occur in the fourth quarter of this year, C&J and Keane shareholders will each own 50% of the equity of the combined company. "The merger of equals unites two great companies, resulting in a broader portfolio of well completion services across an even greater footprint in the U.S., benefiting our combined employees, shareholders, customers, suppliers, and the communities in which we operate," said Keane Chief Executive Robert Drummond. C&J's stock has tumbled 33.8% over the past three months and Keane shaes have shed 28.7%, while the VanEck Vectors Oil Services ETF has lost 22.5% and the S&P 500 has gained 2.35.