HOUSTON, TX - APRIL 5, 2016 - Pelican Energy Partners is pleased to announce the sale of Downhole Technology LLC to Schoeller Bleckmann Oilfield Equipment on April 1st in a transaction representing an enterprise value of $152 million. Pelican sold all of its equity holdings in the company, however the management team retained the majority of its equity and will continue with the business as partners with Schoeller Bleckmann. Downhole will immediately begin operations within the Schoeller Bleckmann family of energy service companies.
Pelican Managing Partner Mike Scott said, "We are proud of our team at Downhole Technology and our team at Pelican for the hard work putting this transaction together in a very difficult environment. We believe that this transaction is a win-win for all parties involved and that the company has tremendous growth potential going forward. We wish all of the employees, who have become family to us, much success in the future."
Norton Rose Fulbright served as the lead sell-side counsel on the transaction.
Downhole Technology is a leading provider of composite frac plugs used to isolate sections of the wellbore during plug-and-perf hydraulic fracturing operations. Downhole Technology's simple, patented design improves reliability and offers more efficient pump down and drillout versus competing products. Additionally, Downhole Technology is the only vertically-integrated manufacturer of composite frac plugs in the industry, enhancing product development capabilities and quality control. Downhole Technology has approximately 160 employees and is headquartered in Houston, Texas, with sales personnel located throughout North America. In the fiscal year ended on December 31, 2015, Downhole Technology generated revenue of approximately $43 million.
Pelican Energy Partners
Pelican Energy Partners is a Houston-based private equity fund specializing in strategic investments in small to middle-market, high growth potential energy service and equipment companies with sustained earnings outlooks. Pelican's current investments include Capline Environmental Services, Elite Production Services, Rapid Rod Service, Patriot Artificial Lift, Elite Multiphase Solutions, Multilift Welltec and P360 Management Solutions.
Norton Rose Fulbright
Norton Rose Fulbright is a global law firm, providing the world's preeminent corporations and financial institutions with a full business law service. Norton Rose Fulbright has more than 3,800 lawyers and other legal staff based in more than 50 cities across Europe, the United States, Canada, Latin America, Asia, Australia, Africa, the Middle East and Central Asia. Its lawyers advise on a broad range of transactional, disputes and regulatory matters for clients of all sizes - from Fortune 500 corporations to startups, nonprofit organizations, governmental entities and individuals - with a focus across key industry sectors: financial institutions; energy; infrastructure, mining and commodities; transport; technology and innovation; and life sciences and healthcare. Wherever it is, Norton Rose Fulbright operates in accordance with its global business principles of quality, unity and integrity. It aims to provide the highest possible standard of legal service in each of its offices and to maintain that level of quality at every point of contact.