Innovex International announced that it has completed the acquisition of TCO Group AS. Innovex previously announced that it had signed an agreement to acquire TCO in a cash and stock transaction valued at $95 million.
Innovex said the acquisition enhances its corporate margin profile and is expected to be accretive to earnings per share. The company also expects further upside over time by using its global commercial platform to expand the reach of TCO’s differentiated glass barrier technologies.
TCO’s established presence in Norway and the United Arab Emirates gives Innovex additional opportunities to introduce its broader portfolio into those markets. Innovex said this could further improve transaction returns over time.
The acquisition aligns with Innovex’s strategy of investing in small-ticket, high-impact products. The company said it will continue evaluating investment opportunities that fit this strategy while balancing them against returns available through share repurchases.
TCO is a global provider of well completion and tubing-conveyed perforating technologies. The company focuses on solving complex well challenges through innovation, technical experience, and operational execution.
Innovex is a Houston-based energy technology company serving customers across the well lifecycle. The company combines engineering expertise, advanced manufacturing, and a mix of conventional and innovative technologies to solve operational challenges and improve efficiency.
Innovex said the combination creates a stronger platform for customers, employees, and shareholders. By combining TCO’s technology depth and proven execution with Innovex’s broader portfolio and global reach, the company expects to expand its ability to redefine well technology.
KEY QUOTES:
“We are excited to announce the acquisition of TCO Group. Robert and the TCO team have built an outstanding company with differentiated technologies, strong customer relationships, and an impressive track record of execution. We are pleased to welcome the entire TCO team to Innovex and look forward to creating value for our customers, employees, and shareholders, together.”
Adam Anderson, CEO of Innovex
“We are energized to continue our growth under the Innovex name. TCO brings technology depth, great talent and proven execution rooted in Norway. Innovex has a broad complementary portfolio and brings scale and reach globally. Together, this creates a much stronger platform for us to continue to redefine well technology and enable our customers to deliver efficient wells.”
Robert Abercrombie, CEO of TCO
