Listing Number: 76931-879431
This company designs, manufactures, services, sells and rents/leases downhole drilling tools for oil well and construction businesses. Established in 2011 by prior electrical engineer for a large EPC corporation, this company is known for providing a complete line or proprietary drilling motors, as well as manufacturing space parts for directional companies and competitors products.
Sales reached over $14M in 2018, with EBITDA in excess of $2.3M. Early 2019 was also the beginning of the most significant reduction of land drilling rigs, which has obviously continued to decline throughout 2020. The rig count has only recently begun to increase and is expected to continue to increase assuming crude prices remain around $40/bbl. This is an excellent opportunity for new ownership to capitalize on the regrowth of operational drilling rigs and reap the benefits of future potential at a bargain price. Includes $2.5M in motor parts inventory at cost.
In addition to the business for sale in the amount of $7.9M, the custom purpose built facility, in excess of 27,000 square feet, in addition to upstairs living space, is available for sale for $3M. This impressive building includes a service center equipped with two overhead and two job cranes which support four breakout machines and two hydraulic vices. Located on 6 acres.
- Price: $7,900,000
- Down Payment: $7,900,000
- Sellers Discretionary Earnings: $0
- Total Sales: $9,496,350
- Location: Harris County, Texas
- Inventory: $2,500,000
- FF&E: $1,500,000
- Employees: 15
- Year Established: 2011
- Reason for Selling: Retirement
- Category: Manufacturing