July 18, 2016
American Securities Completes Acquisition of Ulterra Drilling Technologies
American Securities LLC, a leading U.S. private equity firm, today announced its acquisition of Ulterra Drilling Technologies, L.P. ("Ulterra" or the "Company") in partnership with the Company's management team. Ulterra is a leading manufacturer of polycrystalline diamond compact ("PDC") drill bits for the oil and gas industry. The Company was owned by ESCO Corporation. Financial terms of the transaction were not disclosed.
Headquartered in Fort Worth, Texas, Ulterra designs and manufactures matrix and steel PDC bits used in drilling of oil-and-gas wells, as well as downhole tools. The Company's products are manufactured with customer- and region-specific modifications that increase drilling efficiency and reduce total drilling costs. Ulterra has a broad North American presence spanning the key U.S. and Canadian oil and gas regions. The Company also has a global footprint with operations in countries throughout the Middle-East, Africa, Latin America, and Asia-Pacific.
"We are proud of Ulterra's reputation for excellent product performance and customer service," said John Clunan, President and Chief Executive Officer of Ulterra. "With American Securities as our new partner, we are well positioned for the next phase of growth and development."
"Ulterra is another example of our backing talented and hardworking management teams that have developed differentiated products," commented Kevin Penn, a Managing Director of American Securities. "We have been impressed with the strong corporate culture at Ulterra and look forward to partnering with John and his colleagues to leverage their market-leading technology to further expand the business."
Weil Gotshal & Manges LLP served as legal counsel to American Securities, and Baker Botts L.L.P. served as legal counsel to ESCO Corporation with respect to the transaction. Wells Fargo Securities acted as financial advisor to ESCO Corporation with respect to the transaction.