Innovex completes purchase of Downhole Well Solutions
Innovex International (NYSE: INVX) has completed the acquisition of the remaining equity ownership of Downhole Well Solutions (DWS), following its initial minority investment in May 2023. Founded in 2019, DWS specializes in proprietary drilling optimization and friction reduction tools for US Land markets. The acquisition enhances Innovex's product portfolio and aims to expand DWS technologies both domestically and internationally. The merger aligns with Innovex's 'No Barriers' culture and is expected to deliver growth, cash flow, and returns for shareholders.
Innovex International (NYSE: INVX) ha completato l'acquisizione della restante partecipazione azionaria di Downhole Well Solutions (DWS), a seguito del suo iniziale investimento di minoranza effettuato a maggio 2023. Fondata nel 2019, DWS si specializza in strumenti proprietari per l'ottimizzazione della perforazione e la riduzione dell'attrito per i mercati terrestri statunitensi. L'acquisizione migliora il portafoglio prodotti di Innovex e mira ad espandere le tecnologie di DWS sia a livello nazionale che internazionale. La fusione si allinea con la cultura 'No Barriers' di Innovex e si prevede porterà crescita, flusso di cassa e rendimenti per gli azionisti.
Innovex International (NYSE: INVX) ha completado la adquisición del resto de la participación accionaria de Downhole Well Solutions (DWS), tras su inversión inicial minoritaria en mayo de 2023. Fundada en 2019, DWS se especializa en herramientas de optimización de perforación y reducción de fricción para los mercados terrestres de EE.UU. La adquisición mejora el portafolio de productos de Innovex y tiene como objetivo expandir las tecnologías de DWS tanto a nivel nacional como internacional. La fusión está alineada con la cultura 'No Barriers' de Innovex y se espera que genere crecimiento, flujo de caja y rendimientos para los accionistas.
Innovex International (NYSE: INVX)은 2023년 5월에 소수 지분 투자 이후 Downhole Well Solutions (DWS)의 나머지 지분 인수를 완료했습니다. 2019년에 설립된 DWS는 미국 육상 시장을 위한 독점적인 드릴링 최적화 및 마찰 감소 도구를 전문으로 합니다. 이 인수는 Innovex의 제품 포트폴리오를 강화하고 DWS 기술을 국내외로 확장하려고 합니다. 이 합병은 Innovex의 'No Barriers' 문화와 일치하며 주주에게 성장, 현금 흐름 및 수익을 가져올 것으로 예상됩니다.
Innovex International (NYSE: INVX) a finalisé l'acquisition de la participation actionnariale restante de Downhole Well Solutions (DWS), après son investissement initial minoritaire en mai 2023. Fondée en 2019, DWS se spécialise dans les outils propriétaires d'optimisation de forage et de réduction de friction pour les marchés terrestres américains. L'acquisition renforce le portefeuille de produits d'Innovex et vise à étendre les technologies de DWS tant au niveau national qu'international. La fusion s'aligne sur la culture 'No Barriers' d'Innovex et devrait générer de la croissance, des flux de trésorerie et des rendements pour les actionnaires.
Innovex International (NYSE: INVX) hat die Übernahme des verbleibenden Eigenkapitalanteils von Downhole Well Solutions (DWS) abgeschlossen, nachdem im Mai 2023 zunächst eine Minderheitsbeteiligung erworben wurde. DWS, 2019 gegründet, ist auf proprietäre Werkzeuge zur Optimierung des Bohrvorgangs und zur Friktionseinsparung auf dem US-Landmarkt spezialisiert. Die Übernahme erweitert das Produktportfolio von Innovex und zielt darauf ab, die Technologien von DWS im nationalen und internationalen Bereich auszubauen. Die Fusion stimmt mit der Kultur 'No Barriers' von Innovex überein und wird voraussichtlich Wachstum, Cashflow und Renditen für die Aktionäre liefern.
- Strategic acquisition expanding product portfolio in drilling optimization technology
- Potential for international market expansion
- Integration of established revenue-generating business
- None.
Insights
The acquisition of Downhole Well Solutions (DWS) represents a strategic expansion of Innovex's product portfolio in the oil and gas drilling optimization sector. Following their initial minority investment in May 2023, this complete acquisition demonstrates a calculated approach to M&A execution. DWS's specialization in proprietary drilling optimization and friction reduction tools adds valuable recurring rental revenue streams to Innovex's business model.
The deal strengthens Innovex's market position in US Land operations while opening opportunities for international expansion. DWS's rapid establishment as a premier provider since its 2019 founding suggests strong product-market fit and potential for accelerated growth under Innovex's broader distribution network. While financial terms weren't disclosed, the integration should drive operational synergies and enhance Innovex's competitive position in drilling technologies.
This acquisition aligns with broader industry trends toward technological optimization in oil & gas operations. The US Land drilling market remains robust and DWS's specialized tools address growing demand for efficiency improvements and cost reduction in drilling operations. The expansion potential into international markets is particularly noteworthy, as global drilling activity continues to increase.
The deal's timing is strategic, capitalizing on strong industry fundamentals and increasing capital expenditure in drilling operations. The rental model for specialized tools provides attractive recurring revenue potential with higher margins compared to traditional equipment sales. This transaction positions Innovex to capture larger market share in the growing drilling optimization segment.
Innovex completes purchase of Downhole Well Solutions (Photo: Business Wire)
Founded in 2019, DWS is a leading provider of proprietary drilling optimization and friction reduction tools that are rented to operators in multiple US Land markets. DWS’ commitment to customer satisfaction and the superior performance of their unique tools have allowed them to quickly establish themselves as one of the premier providers of downhole drilling optimization tools in the US Land market.
“This acquisition adds another industry leading technology to Innovex’s product portfolio, enabling Innovex to offer customers a more complete portfolio,” said Adam Anderson, CEO of Innovex. “DWS has established a culture that is an excellent fit with Innovex’s ‘No Barriers’ culture, and we look forward to working together to deliver superior growth, cash flow, and returns for our shareholders.”
“We are excited to join forces with Innovex and take the next step in our partnership,” said Taylor Janca, Managing Partner of DWS. “Combining with Innovex provides an ideal platform to further expand our technologies in the US Land market as well as establish ourselves in several international markets where there is strong demand for our technologies.”
A presentation providing further information on the transaction can be found on Innovex’s investors website at https://investors.innovex-inc.com/.
About Innovex International
Innovex International, Inc (NYSE: INVX) is a
Our comprehensive portfolio extends throughout the lifecycle of the well; and innovative product integration ensures seamless transitions from one well phase to the next, driving efficiency, lowering cost, and reducing the rig site service footprint for the customer.
With locations throughout
Cautionary Statement Regarding Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the performance and benefits of the Company's products. Forward-looking statements are based upon certain assumptions and analyses made by the Company in light of its experience and other factors. These statements are subject to risks beyond the Company's control, including, but not limited to, operating risks and other factors detailed in the Company's public filings with the Securities and Exchange Commission. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and actual outcomes may vary materially from those indicated.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241202805390/en/
Investor Relations:
Erin Fazio, Director of Corporate Finance
erin_fazio@dril-quip.com
Media Relations:
Nichola Alexander, Senior Director of Marketing
nichola.alexander@innovex-inc.com
Source: Innovex Downhole Solutions, Inc.
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