Tesco Corp Nabors Industries Ltd. Deal with Tesco Corp
Nabors Industries Ltd. is a drilling and contractor company that deals with natural gas and geothermal energy. Nabors owns one of the largest international drilling fleet. Its main offices are in Huston. It`s located in Bermuda, Hamilton. It operates in the Middle East, Far East, Africa and the United states.
The firm made a deal to acquire Tesco Corp in a full-stock transaction. The transaction will be completed by the end of 2017. Nabors closed its books on 11th August 2017 and valued each of Tesco`s common share at $4.62. Tesco Cord completed its cash balance on 30th June 2017. Tesco discovered that Nabors` valuation was 19% premium to its shares` closing value, and 30% premium to its enterprise price.
Nabors will use 0.68 of its common shares to exchange outstanding Tesco`s common shares. Tesco shareholders will acquire 10% of Nabors shares if the deal is completed. Tesco Corp will have to compensate Nabors $8 million if it fails to close the deal by 14th February 2018.
Anthony Petrello, the Chairman of Nabors Industries Ltd. acknowledged the importance of the transaction. In his press statement, Petrello approximated the operating synergies in the first year to be $20 million. The full-run synergies will be between $30 million and $35 million. Petrello also admitted that the transaction enabled Nabors to achieve its objective quickly.
Anthony Petrello is the Chairman, President and CEO of Nabors Industries Ltd. He graduated with a Bachelor`s of Science in Mathematics from Yale University. He pursued a master’s degree in the same course at the same university. Petrello graduated from Harvard Law School with a Juris Doctor for more info about us: https://en.wikipedia.org/wiki/Nabors_Industries click here.
Anthony Petrello started working at Baker $ McKenzie, as a legal expert, in 1979. In 1986, he became a Managing Partner of the company`s New York offices. He left the law firm in 1991 and joined Nabors Industries Ltd. He was the Chief Operating Officer at the firm until he was elected as the President of the organization in 1992. He became the Deputy Chairman in 2003. In 2011, Anthony Petrello became the CEO of Nabors. In 2012, Anthony was elected as the Chairman of the Executive Board.