By OGJ editors
HOUSTON, Dec. 18 -- National Oilwell Varco Inc. (NOV) plans to acquire Grant Prideco Inc. in a $7.4 billion cash-equity transaction already approved by the boards of both companies.
Both firms are based in Houston. Closing is expected in the first half of 2008. Upon completion, current stockholders of NOV will own 86% of the combined company.
The transaction remains subject to Grant Prideco shareholders approval and customary regulatory approvals.
NOV designs, manufactures, and sells drilling and production equipment and components. It also provides field services and upstream supply chain integration services.
Grant Prideco specializes in drill stem technology development and drill pipe manufacturing, sales, and service. The company noted that it still expects to finalize its previously announced sale of its tubular businesses to Vallourec SA.
