Suppliers News (February 04, 2008)

Finning to Acquire Collicutt Energy

Caterpillar equipment dealer Finning International (FTT-t) has announced plans to acquire Collicutt Energy Services (COH-t).

Collicutt is a Canadian oilfield service company that services and builds natural gas compression and electric power generation packaging in Alberta and British Columbia.

The acquisition, valued at $145 million, is aimed at expanding services in the two western provinces.

Collicutt shareholders will receive $9.75 per share. The merger will add more than 450 new employees to Finning, as well as 200,000 sq. ft of modern shop facilities in Red Deer, Alta.

“This acquisition is an excellent fit for Finning as it offers a significant expansion to our customer service capabilities in Western Canada,” said Doug Whitehead, president and CEO of Finning International.

Major Drilling grows revenue by 53%

New Brunswick-based Major Drilling Group International (MDI-t) has reported a 53% increase in revenue for its second quarter of fiscal year 2008.

The drilling service company’s earnings also grew a record 75% ($22.8 million.)

“Our strong results were driven by a combination of additional investments in people and equipment, acquisitions and an improved pricing environment,” said Francis McGuire, president and CEO of Major Drilling.

The company also recently acquired Harris Drilling in Chile and Paragon Drilling in Ecuador.

The company’s fiscal year ended Oct. 31.