CALGARY, Alta. – Producers Oilfield Services has announced it has completed its acquisition of Neil Withers Trucking.
The company was bought for about $13.6 million in cash and the issuance of 1,000,000 common shares of Producers Oilfield Services – a division of Mullen Transportation.
Neil Withers Trucking is a Grande Prairie, Alta.-based carrier servicing the oilfields.
“This acquisition strengthens our ability to provide ‘One Stop Shopping’ to our oil and gas customers.
“NWT brings its own customer base in this sector which will allow us to expand this service throughout our trucking network,” said Ric Peterson, president and chief executive officer.
Neil Withers will serve as president of the company.
“Mr. Withers founded NWT and his experience will be invaluable as we continue to grow this sector,” added Peterson.
Just days later, Mullen Transportation announced it had closed its acquisition of Payne Transportation Inc.
Mullen was an initial investor in Payne, based in Winnipeg, Man., holding a 45 per cent interest. The consideration for Mullen’s acquisition of the balance of the 55 per cent of Payne will be satisfied with $1.5 million of cash and 100,000 common shares of Mullen, said company officials.
“Our original investment in Payne has far exceeded our expectations. Payne is an outstanding company that strengthens our position in both the long-haul van and flatdeck businesses. I am also extremely pleased that Mr.Tom Payne and the other senior management have agreed to remain with Payne to oversee its ongoing operations,” said Murray Mullen, chairman and co-chief executive officer.
Payne operates a fleet of approximately 220 owner-operated power units and 400 trailers.
Payne focuses on the transportation of truckload and less-than-truckload general freight across Canada and into the United States from its head office in Winnipeg and its terminals across Canada.
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