Peakview Partners is pleased to announce that Discovery Downhole Services Inc. (“Discovery”) has been acquired by Cathedral Energy Services Ltd. (“Cathedral”) (TSX: CET). Discovery is a U.S.-based, high-performance mud motor technology rental business with operations in Texas, Wyoming and North Dakota. Peakview Partners served as the exclusive M&A advisor to Discovery in this transaction.
“Our acquisition of the Discovery assets adds valuable and strategic operations at a time when industry fundamentals are pointing to improving conditions. We are excited to welcome the Discovery personnel, customers, and suppliers to the Cathedral team,” said Tom Connors, Cathedral’s President and CEO. “This acquisition also increases our US market share and adds a high-quality customer base of oil and gas producers and directional drilling companies active in all the major U.S. land basins.” Connors also said, “Additionally, in the face of ongoing global supply chain issues, we believe this access to critical motor technology provides the Company a competitive advantage and the opportunity to expand this service offering to the Canadian market.”
Cathedral is focused on growing its operations, driving improved efficiency, and increasing cash flow generation. This acquisition aligns with Cathedral’s goals and follows two successful acquisitions completed in Canada in the third quarter of last year. Cathedral remains disciplined in its approach to acquisitions, only pursuing opportunities that provide strategic growth in select areas, that add value on a per-share basis and maintain a conservative balance sheet.
Cathedral is publicly-traded on the Toronto Stock Exchange under the symbol “CET”. For more information, visit www.discoverydhs.net or www.cathedralenergyservices.com.