Wellsite services and equipment company Seventy Seven Energy Inc. executed a definitive agreement to sell Hodges Trucking Co. LLC to a wholly owned subsidiary of Aveda Transportation and Energy Services Inc., the company said May 25.
Hodges operates and owns about 900 pieces of rig moving and heavy haul equipment. This includes about 200 haul trucks, 400 trailers, 70 bed/pole trucks, 35 cranes, 40 forklifts/loaders and 160 service vehicles, Seventy Seven said.
The transaction is scheduled to close June 15.
Calgary, Alberta-based Aveda Transportation entered the agreement through its operating subsidiary in the U.S., Aveda separately said May 26.
Aveda's senior credit facility, and a take-back note which will be secured by a lien on fixed assets and accounts receivable, will finance the sale.
In 2014, Hodges' gross revenue was $123.7 million, Aveda said.
"Hodges is the premier rig hauling company in North America and this transaction will allow them to better focus on their business while enabling us to concentrate on our core business segments,” Seventy Seven’s CEO, Jerry Winchester, said.
Seventy Seven Energy Inc. is based in Oklahoma City and works in major U.S. shale plays.
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