Avista Capital Partners announced today that it has signed an agreement to acquire Top-Co, a designer and manufacturer of specialized casing cementing products used in the drilling and completion of oil, natural gas and geothermal wells.
Top-Co designs and manufactures float equipment and mechanical cementing products, including centralizers and casing accessories primarily for use in oil and natural gas wells. Top-Co currently operates two plants: a 132,000 sq. ft. facility in Edmonton and a 41,000 sq. ft. manufacturing platform in Weatherford, TX. In addition, the company has customer service and product support centers throughout the world, including Canada, the United States, the United Arab Emirates, Russia, the Netherlands, Australia, the United Kingdom, Colombia and Mexico. The company was founded in 1963 and is headquartered in Edmonton, Alberta (www.top-co.ca).
“We are delighted about our new partnership with Top-Co. With its highly experienced management team led by Gerald McLaughlan, the company’s robust casing hardware product offering, technology-driven client focus and best-in-class testing facility, Top-Co is well positioned to continue to capitalize on several key oil and gas industry trends, including increased horizontal drilling, longer laterals, deeper wells and a greater number of frac stages per well, all of which will increase demand for the company’s products. We look forward to supporting the Top-Co team as they deliver on their long-term strategic plan, capitalize on near-term growth opportunities and continue to capture additional global market share in the casing hardware market,” said Trevor Turbidy, an Energy Industry Advisor with Avista.
Avista Capital, founded in 2005, makes control or influential minority investments in growth-oriented healthcare, energy, and media companies as well as select industrial and consumer businesses. The firm is based in New York, NY with offices in Houston, TX and London, UK (www.avistacap.com).
“Our company has systematically prepared for profitable growth in domestic and international markets, and the active participation of Avista Capital Partners will enhance our ability to execute key strategies and meet our goals. Avista’s support, international experience and energy sector expertise will be invaluable as we capitalize on attractive opportunities in our niche domestic and international markets, facilitated by the near-term commercialization of a state-of-the-art manufacturing facility in China,” said Gerald McLaughlan, CEO of Top-Co.
CIBC World Markets served as financial advisor and Burnet, Duckworth & Palmer served as legal advisor to Top-Co. Weil, Gotshal & Manges and McCarthy Tetrault both served as legal advisor to Avista.