Lufkin Industries Acquires North American Rod Lift Business of Schlumberger N.V.

Lufkin Industries

2020/11/3 10:19

AsiaNet 86393

MISSOURI CITY, Texas, Nov. 2, 2020 /PRNewswire=KYODO JBN/ --

- Expands Global Platform in Rod Lift Solutions

Lufkin Industries ("Lufkin"), a portfolio company of KPS Capital Partners, LP

("KPS"), announced today that it has completed the acquisition of the North

American Land Rod Lift Business (the "Rod Lift Business" or the "Business") of

Schlumberger N.V. ("Schlumberger") (NYSE: SLB).

Schlumberger's Rod Lift Business is a large provider of rod lift products and

services in North America (onshore) with brands including Don-Nan, Shores Lift

Solutions, KBA Engineering, Platinum Pumpjack Services and RLC Rod Lift

Consulting. The Business provides its customers with a full product offering

including downhole pumps and accessories, beam pumping units, sucker rods and

gas lift products. The Rod Lift Business has significant manufacturing and

distribution capacity and has developed differentiated technology offerings,

including the proprietary PumpTrak software. The Business has an expansive

footprint across all major oil-producing regions in North America (onshore),

including the Permian Basin where Don-Nan has operated for almost 60 years.

Lufkin became an independent company after being acquired by KPS from Baker

Hughes on June 30, 2020. Lufkin, headquartered in Missouri City, Texas, is a

leading global provider of rod lift products, technologies, services and

solutions, including automated control and optimization equipment and software

for rod lift equipment to the oil and gas industry. With over 100 years of

industry leadership, Lufkin manufactures a complete line of surface pumping

units, downhole sucker rod pumps and automation systems in six manufacturing

and assembly facilities worldwide. Lufkin has an extensive global service

footprint that operates throughout the oil-producing world.

Michael Psaros, Co-Founder and Co-Managing Partner of KPS, said, "We are

excited to combine Lufkin and Schlumberger's Rod Lift Business, which together

have an unparalleled reputation for reliability, superior technology,

innovation, customer service and global footprint. KPS Partner Ryan Baker,

leveraging KPS' significant capital resources and global platform, is

successfully leading a team that is building Lufkin through the acquisition of

complementary businesses, technologies and products that serve the upstream

sector of the energy business. KPS is committed to expanding the Lufkin

platform despite unprecedented volatility in the energy business, which will

benefit customers of Lufkin and Schlumberger's Rod Lift Business."

Andy Cordova, President of Lufkin, said, "The real winner in the combination

are the customers of Lufkin and Schlumberger's Rod Lift Business. Our

customers will now have access to the many strengths of both businesses as we

combine the very best technology, manufacturing processes and global

footprint. We will remain laser focused on providing world-class quality,

delivery and customer service across our platform as we combine these

businesses and beyond."

Simmons Energy, a division of Piper Sandler & Co., acted as advisor and Paul,

Weiss, Rifkind, Wharton & Garrison LLP and Dentons served as legal counsel to

Lufkin and its affiliates. PPHB LP acted as advisor and Akin Gump Strauss

Hauer & Feld LLP served as legal counsel to Schlumberger.

About Schlumberger Rod Lift Business