CALGARY, Oct. 17, 2014 /CNW/ - Petrowest Corporation (Petrowest) (TSX: PRW) announced today that it has closed the previously announced (August 22, 2014) acquisition of all the shares of each of Trans Carrier Ltd. and Trans Carrier Rentals Ltd. for the purchase price of $11.5 million plus the assumption of approximately $5.5 million of debt (of which $2.5 million of the debt was paid out immediately upon closing of the acquisition). The purchase price was paid with $5.8 million in cash and the issuance of 6,004,376 Class A common shares of Petrowest having a value of $5.7 million (based on a price per share of $0.95).
Trans Carrier Ltd. is a private company based in Fort St. John, British Columbia, and is in the business of transporting service rigs, test equipment, plant site maintenance equipment and construction equipment, hauling contaminated soil and hazardous waste and crushing gravel in the western provinces of Canada and in the Northwest and Yukon territories. Trans Carrier Rentals Ltd. is a private company that is in the business of renting out oilfield equipment in the same geographic areas as Trans Carrier Ltd.
"We are pleased to have successfully completed the acquisition of Trans Carrier Ltd. and its related entities. Petrowest has not only increased its heavy equipment fleet, but also included a new rentals business and we have added another experienced management team into the Petrowest group" said President and Chief Executive Officer, Rick Quigley. "Industry activity levels remain strong in our primary operating regions and the growth of our heavy equipment fleet and management team allows Petrowest to continue to benefit from that activity."
Petrowest is an Alberta corporation involved in pre-drilling and post-completion energy services as well as industrial and civil infrastructure projects, gravel crushing and hauling for non-energy sector customers. Petrowest's primary operations are based in the Grande Prairie area of northern Alberta and in northeastern British Columbia.
SOURCE: Petrowest Corporation
For further information: Richard Quigley, President and Chief Executive Officer, at (780) 830?0881, or Lloyd Wiggins, Chief Financial Officer, at (416) 572-2160, or [email protected]?west.com