HOUSTON -- Smith International Inc. and W-H Energy Services Inc. have signed a definitive merger agreement whereby Smith will acquire W-H Energy at a transaction value of $3.2 billion.
The transaction is expected to be complete in 3Q 2008.
As a result, Smith says, it will gain access to directional drilling services and the combined company will offer a full suite of products from the rig floor to the drill bit.
"From a drilling and evaluation perspective, the W-H Energy team has developed world-class products for logging-while-drilling, measurement-while-drilling, rotary steerable systems, directional drilling and downhole drilling motors, as well as, trained a highly skilled cadre of directional drillers and technical support people to operate these systems," says Doug Rock, CEO of Smith. "W-H Energy has also achieved broad success in its other business lines such as rental tools, cased-hole wireline, coiled tubing and fluids-related products and services. We look forward to growing our businesses together."