MRC Global to acquire Production Specialty Services
MRC Global recently announced McJunkin Red Man Corp., the company’s U.S. operating subsidiary, has signed an agreement to acquire the operating assets of Production Specialty Services.
Established in 1990, Midland, Texas-based Production Specialty Services supplies pipe, valves and fittings as well as other MRO products to the oil and gas industry. It operates 17 services locations, including one distribution center, in the Permian Basin and Eagle Ford shale regions of Texas and New Mexico.
The Permian Basin is the most active oil drilling and production region in the U.S. with more than 425 rigs operating within the territory. With the acquisition of Production Specialty Services’ 17 locations, MRC Global will have a service location network of 23 branches and one major distribution center supporting the Permian Basin energy infrastructure activity.
Production Specialty Services has projected 2012 revenue of $127 million. The acquisition is subject to customary closing conditions, including the expiration or early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.