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VIENNA (Reuters) - Austria's Schoeller-Bleckmann Oilfield Equipment (SBO) SBOE.VI is buying 67 percent of Canadian oilfield service company Resource Well Completion Technologies Inc in a deal to expand its business portfolio, SBO said on Tuesday.
It said the purchase price was variable. A first tranche due upon closing is 39.3 million Canadian dollars ($34.9 million), while a second tranche payable at the end of March will range between 30 million and 50 millionanadian dollars, depending on Resource's results. SBO has an option Cto acquire the remaining 33 percent after three years, it said in a statement.
SBO will finance the purchase from cash flow and existing credit lines. Its gearing after the second instalment will be an estimated 15-20 percent.
(1 US dollar = 1.1251 Canadian dollar)
Reporting by Michael Shields; Editing by Harro ten Wolde