C&J Energy Services and Nabors Industries have announced the completion of the combination of C&J with Nabors’ completion and production services business. The resulting combined company is one of the largest completion and production services providers in North America. It will be led by the current C&J management team, with Josh Comstock serving as Chief Executive Officer and Chairman of the Board and Randy McMullen serving as President and Chief Financial Officer. The new C&J is headquartered in Bermuda. Nabors received approximately $688 million in cash from C&J as a portion of the consideration for the transaction and now owns approximately 53% of the outstanding and issued common shares of the new C&J, with the remainder held by former C&J shareholders.
“Among the many strategic benefits of this combination is the transformative increase in scale, driving the rapid advancement of our goal of growing C&J from what we started as a single-crew pressure pumping company to what is now a leading diversified provider of technologically advanced oilfield services,” Mr Comstock, Founder, Chairman and Chief Executive Officer of the new C&J, said. “With this combination, we have greatly expanded our capabilities and resources in a critical step to diversify our business, positioning New C&J to benefit from future opportunities and manage market challenges.”
“We would like to thank our employees for their dedication and hard work in building a leading provider of completion and production services in North America. We are very proud of their contributions and efforts through the years,” Anthony G. Petrello, Chairman, Chief Executive Officer and President of Nabors, said. “We believe the combined company will be more capable and better positioned to serve customers and compete on a global level than either company would have realized on their own. With a majority ownership, our shareholders retain a significant stake in a larger, premier provider of completion and production services, while benefitting from the growth of New C&J.”