By the OGJ Online Staff
HOUSTON, June 21 -- Dresser Inc., Dallas, has acquired Entech Industries Inc., Houston, from First Reserve Corp. in a transaction worth $70 million.
The amount consisted of $25 million in cash, $28 million in Dresser equity, and $17 million in assumed debt. It is subject to a post-closing adjustment for changes in working capital.
Entech's valve products are designed and manufactured in the United Kingdom, the Netherlands, Italy, and Germany, and marketed under the Ring-O Valve, Control Seal, EDG, IVL, Meer, WWP, Valcontrol, and LVF brands.
The Entech business lines will be merged into Dresser's Flow Control segment.
Patrick M. Murray, president and chief executive officer of Dresser, said, "[The acquisition] provides a great opportunity to penetrate certain high-growth markets such as deep water, subsea, and other severe service applications in the exploration and production industry through its proprietary engineering technology."
Dresser said the cash portion was funded with existing resources, and no additional borrowing was required.