Weatherford agrees to acquire Alpine Oil Services

Weatherford International Inc., Houston, on Monday said it has signed a definitive agreement to acquire Alpine Oil Services Corp. of Calgary in a stock transaction valued at $55 million (US). The move follows a letter of intent signed by the two firms in mid-May.


Weatherford International Inc., Houston, on Monday said it has signed a definitive agreement to acquire Alpine Oil Services Corp. of Calgary in a stock transaction valued at $55 million (US). The move follows a letter of intent signed by the two firms in mid-May.

The acquisition will extend Weatherford's underbalanced drilling capabilities worldwide and add new completion technology capabilities to Weatherford's completion systems division, says Weatherford.

Terms of the deal call for Weatherford to pay $2.50 (Can.) for each share of Calpine stock, payable in Weatherford common stock. The exact share exchange ratio will be based on the average value of Weatherford's closing price during the 10 days prior to close of the deal.

Both companies' board of directors have approved the transaction, and owners of 34% of Alpine's outstanding shares have agreed to vote in favor of the deal. The deal is subject to approval by Alpine's shareholders, who will vote at an upcoming meeting to be scheduled soon. Canadian regulatory and judicial authorities also must approve the transaction.

More in Companies