Ecolab to buy oilfield specialty chemicals company Champion Technologies for $2.2 bn
12 Oct 2012
US cleaning products giant Ecolab Inc, today agreed to acquire privately-held oilfield specialty chemicals company Champion Technologies for around $2.2 billion in a cash and stock deal.
Ecolab said that the deal will be paid through a mix of approximately 75 per cent in cash and 25 per cent in stock.
Ecolab will pay around $1.7 billion in cash and issue approximately 8 million shares of Ecolab common stock.
Descendants of the late Willard Johnson, who had acquired half of Champion in 1959, had hired Tudor Pickering Holt & Co and Lazard Ltd to conduct the sale, Bloomberg yesterday reported, citing people with knowledge of the matter.
Houston, Texas-based Champion Technologies, which competes with Schlumberger, Halliburton, and Baker Hughes, is a global specialty chemical company serving the upstream, midstream, and downstream oil and gas markets.
Originally started in West Texas in 1953, Champion Technologies, part of Permian Mud Service Inc, has become one of the largest global oilfield production chemical companies.