Superior Energy Services Inc. sees the merger of Baker Hughes Inc. and Halliburton Co. as a chance to boost its own international profile and potentially add assets that the two oilfield services companies are required to divest to win deal approval.
“It means a significant, very high quality competitor is going away,” Dave Dunlap, chief executive officer of Superior, said in an interview Monday at the Howard Weil Energy Conference in New Orleans. “That creates a hole in the marketplace that customers will be looking for someone to fill.”
The company is looking to increase international sales an average of 15 percent a year for the next five years, Dunlap said. Superior will become the fourth-largest oilfield-services company after Halliburton buys Baker Hughes in a $34.6 billion deal that’s supposed to close in the second half of the year.
The two companies are expected to begin asset sales next month as a requirement for antitrust approval from the U.S. Justice Department. Superior is “very much” interested in any of the assets, Dunlap said.
“They’re high-quality businesses,” Dunlap said. “The opportunity to acquire high-quality businesses is actually somewhat rare in oil and gas services.”
Superior helps oil and natural gas companies find and produce hydrocarbons. The stock, which has 17 buy ratings from analysts and 10 holds, has climbed 5.6 percent this year.
The company is looking to increase international sales an average of 15 percent a year for the next five years, Superior will become the fourth-largest oilfield-services company after Halliburton buys Baker Hughes in a $34.6 billion deal that’s supposed to close in the second half of the year. The two companies are expected to begin asset sales next month as a requirement for antitrust approval from the U.S. Justice Department. Superior is “very much” interested in any of the assets, Dunlap said.
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