HOUSTON/NEW YORK (Reuters) - Blackstone Group
Fort Worth, Texas-headquartered Ulterra had the fifth-largest share of the global drill bits industry in 2017, bringing in about $200 million in revenue, or 8 percent of the global market share, according to data from oilfield consultancy Spears & Associates.
Ulterra is one of a host of oilfield services firms which have been shopped around in recent weeks, as increased drilling activity coupled with higher oil prices encourages owners - many of them buyout houses - to seek a sale.
Blackstone is buying the firm from fellow private equity house American Securities, which itself acquired the business in 2016.
Blackstone and American Securities declined to comment. Ulterra did not respond to a request for comment.
The acquisition of Ulterra is being supported by a debt package which is currently being pre-marketed ahead of a formal launch, one of the sources said this week.
Other deals in the oilfield services space announced in recent days include the sale of downhole technology firm Magnum Oil Tools to Nine Energy Services
(Reporting by Liz Hampton in Houston and David French in New York, Editing by Rosalba O'Brien)