CALGARY 鈥� Trican Well Service Ltd. has signed a deal to buy Iron Horse Energy Services, a privately owned oilfield services provider.
Under the deal, the company will pay $77.35 million in cash and 33.76 million Trican common shares, making the deal worth about $231 million based on Trican's share price on Wednesday.
鈥淚ron Horse is one of few North American fracturing companies that has consistently demonstrated operational and financial performance that aligns with Trican," chief executive Brad Fedora said in a news release Thursday.
Iron Horse provides fracturing and coiled tubing services, which help extract oil and gas from shale formations. Its main operating areas are in the Cardium, Charlie Lake, Mannville Stack, Viking, Montney and Shaunavon regions of Western Canada.
The acquisition will boost Trican's bottom line and shareholder returns, as well as grow its customer base in Alberta and Saskatchewan, Fedora added.
Trican also says it will increase its quarterly base dividend by 10 per cent to 5.5 cents per share from five cents.
Its shares jumped almost 11 per cent to $5.04 in trading on the Toronto Stock Exchange.
The acquisition is expected to close in the second half of 2025.
"Trican is widely considered among the top completions services providers in North America and has developed this reputation through a focus on the same core values that Iron Horse has demonstrated for two decades," said Iron House chair and chief executive Tom Coolen in a press release.
"Together, we will continue to deliver exceptional service to existing and prospective clients and create new career opportunities for both Iron Horse and Trican employees.鈥�
This report by The Canadian Press was first published July 3, 2025.
Companies in this story: (TSX:TCW)
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