ESCO Corp. has entered into a definitive purchase agreement to acquire all of the outstanding equity interests of Ulterra Drilling Technologies L.P. for approximately $325 million in cash, subject to customary closing adjustments.

Ulterra designs and manufactures polycrystalline diamond compact drillbits used in the construction of oil and gas wells. Headquartered in Fort Worth, Texas, Ulterra employs approximately 400 people and has manufacturing operations in Fort Worth and Leduc, Alberta, Canada.

“This acquisition allows ESCO to leverage Ulterra’s deep expertise in the drilling industry and to capitalize on the growing oil and gas sector in North America,” said Cal Collins, CEO and president of ESCO Corpo. “Ulterra is a natural fit for ESCO given its culture of designing highly engineered wear products and delivering world-class service.”