Nabors Industries Ltd, the Bermudian-domiciled energy technology company, is to acquire Houston-based Parker Wellbore, which provides drilling services across global energy markets.

The companies said a definitive agreement had been reached under which Nabors will acquire all of Parker’s issued and outstanding common shares in exchange for 4.8 million shares of Nabors common stock, subject to a share price collar.

Through its Quail Tools subsidiary, Parker is the leading rental provider of high-performance downhole tubulars in the US market.

Internationally, Parker provides tubular rentals and repair services, with state-of-the-art facilities in key geographies.

Parker offers differentiated, casing and tubular running services in the US, the Middle East, Latin America, and Asia.

Its portfolio also includes a fleet of 17 drilling rigs in the US and international markets, as well as operations and maintenance services primarily in Canada and Alaska.

The transaction has been approved by the Nabors and Parker boards of directors.

Nabors will acquire Parker for 4.8 million shares and the assumption of net debt totalling approximately $100 million.

The transaction is expected to close in early 2025, subject to customary closing conditions, as well as shareholder and regulatory approvals.

Anthony Petrello, chairman, president and chief executive of Nabors, said: “This transaction brings together two of the storied names in our industry. The acquisition of Parker expands our high margin, capex-light Nabors Drilling Solutions global business, while solidifying the geographical footprint of our international drilling rig business.

“With Parker’s resilient free cash flow and healthy capital structure, this acquisition also is expected to deliver profitable growth together with improved leverage metrics.

“Over the past five years, Parker has achieved an impressive record of increasing results and we expect this expansion to continue.

“We are excited to welcome Parker’s highly capable team to Nabors. With Nabors’ extensive global technology platform, we are confident we will extend Parker’s success even further.”