Dril-Quip has entered into an agreement to acquire TIW Corporation, a manufacturer of consumable downhole products, for approximately $143 million, subject to closing adjustments. TIW provides liner hanger systems and related equipment and services worldwide and is based in Houston.
Blake DeBerry, Dril-Quip’s president and CEO, said, “TIW has a long history of success as a family-owned company and we intend to preserve that legacy by continuing to reliably serve our customers with our combined teams around the world. TIW is a market leader in the liner hanger business, and we are particularly excited about its expandable liner hanger technology that is frequently utilized in deepwater or high pressure/high temperature environments.”
“TIW’s products and services fit squarely with and complement our current product offerings. In addition to its offshore market, TIW’s onshore presence, particularly in the Middle East and South America, will provide Dril-Quip with more market opportunities,” DeBerry added.
TIW is being acquired on a debt-free, cash-free basis, and Dril-Quip intends to fund the consideration with cash on hand.
The transaction is expected to close during the fourth quarter.