Calgary, Alberta-based Aveda Transportation and Energy Services Inc., which provides oil-field hauling services and equipment rentals to the energy industry, said it signed a purchase agreement to buy Oklahoma City-based Hodges Trucking Co.
Hodges owns about 900 pieces of rig-moving and heavy-haul equipment, including about 200 haul trucks, 400 trailers, 70 bed/pole trucks, 35 cranes, 40 forklifts/loaders and 160 service vehicles.
Aveda, which is publicly traded on Canada’s TSX Venture Exchange, did not disclose the terms of the purchase, but said it expects the deal to close on June 15.
Hodges’ revenue peaked at $166 million in 2012 before falling to $139.4 million in 2013 and $123.7 million last year. Its earnings before interest, taxes, depreciation and amortization was $34 million in 2012, $13.6 million in 2013 and $14.1 million in 2014.
On a combined basis, the two companies would make the largest rig-moving company in North America by revenue, Aveda said.
“Due to reduced drilling activity levels and energy market conditions, similar to many other oil-field services companies, Hodges generated reduced revenue and a net loss in the first quarter of 2015,” Aveda said, adding that it “is currently exploring all options for integration and consolidation to maximize future synergies between the two operating entities.”
