Gibson to buy U.S. oilfield services company OMNI, hikes payout
CALGARY, Alberta (Reuters) - Gibson Energy Inc (GEI.TO), operator of the largest independent fleet of for-hire oil trucks in the United States, said on Thursday it has agreed to buy OMNI Energy Services Inc for $445 million to boost the size of its U.S. oilfield production and environmental services business.
The Calgary, Alberta-based company also said it will raise its quarterly dividend by one Canadian cent to 26 Canadian cents and sell 15.84 million subscription receipts for C$22.10 each, for gross proceeds of C$350 million ($358.3 million), or as much as C$403 million should underwriters exercise an option to boost the offer size by 15 percent.
Gibson said in a statement that OMNI's oilfield services operations are established in many of the fastest growing oil regions in the United States, such as North Dakota's Bakken oil-shale field, the Eagle Ford in Texas and the Tuscaloosa marine shale in Louisiana and Mississippi.
The company said the acquisition brings new customers like Exxon Mobil Corp (XOM.N), Anadarko Petroleum Corp (APC.N) and others.
"OMNI broadens Gibson's footprint in most of the major U.S. liquids focused basins (and) provides the scale we believe is required to grow the environmental services business in North America," Stewart Hanlon, Gibson's chief executive, said in a release.
The privately held OMNI has its business by 30 percent per year since 2010. The Canadian company will add OMNI's 1,091 employees to its staff.
The deal is expected to close by October 31, Gibson said.
The subscription receipt offering is co-led by BMO Capital Markets and RBC Capital Markets.
Gibson shares were halted prior to the announcement. They last traded at C$22.74 on the Toronto Stock Exchange.
(Reporting by Scott Haggett;editing by Sofina Mirza-Reid)
NEW YORK, March 8 (Reuters-peHUB) - The auction of JP Morgan Chase's private equity business, One Equity Partners, in the market since at least November, has hit an impasse, according to three people with knowledge of the situation.
- U.S. small businesses borrowed more money in January than they did a year earlier, signaling continued growth in the economy despite a spate of cold weather that has been blamed for weakness in many other indicators of activity.
BEIJING/HONG KONG - China reiterated its opposition on Thursday to a European Union plan to limit airline carbon dioxide emissions and called for talks to resolve the issue a day after its major airlines refused to pay any carbon costs under the new law.