HOUSTON, Texas – October 2018 – SCF Partners is pleased to announce that Nine Energy Service, Inc. (NYSE: NINE) has acquired Magnum Oil Tools International, LTD and concurrently placed a private bond offering of $400 million. Nine has used the net proceeds of the bond offering, together with cash on hand and borrowings under a new credit facility for the consummation of the Magnum acquisition.
Nine Energy Service, a Fund VII investment for SCF Partners and publicly traded on the NYSE, is a leading oilfield services company that offers completion and production solutions throughout North America. Nine is headquartered in Houston, Texas with operating facilities in the Permian, Eagle Ford, SCOOOP/STACK, Niobrara, Bakken, Barnett, Marcellus, Utica and throughout Canada.
Magnum is a premier downhole completions technology provider, serving the global oil and gas industry. Magnum has a broad offering of proprietary downhole completions products, including dissolvable and composite frac plugs, as well as an array of other patented consumables. The acquisition positions Nine as a leading provider of differentiated technology and conveyance with ability to service the entire addressable North American completion tool market.
Ann Fox, CEO of Nine Energy Service stated, “We could not be more thrilled to partner with Magnum. At Nine, we constantly focus on adding differentiated technology to our portfolio of completion tools to enable operators to more reliably and effectively complete the horizontal wellbores of tomorrow.”
Lynn Frazier, CEO and Founder of Magnum stated “We are honored to join the team at Nine and see this as a great next step for Magnum’s business evolution. Together we will be able to offer superior technology and service to our customers.”