Key Energy Services, Inc. cancelled the acquisition of Basic Energy Services, Inc. from a group of shareholders.
The transaction is subject to the approval of Key Energy's Board, a period of limited mutual due diligence, and execution of mutually acceptable definitive documentation, shareholder approvals of both the companies and customary closing conditions. The transaction will be accretive to both sets of shareholders after consideration of cost synergies, which are estimated to be $65 million annually when achieved. As on September 24, 2018, the transaction has been unanimously declined by the board of directors of Basic Energy Services. The proposal has been declined as it is not in best of interests of Basic and its stockholders as per the board of directors of Basic.
Key Energy Services, Inc. (NYSE:KEG) cancelled the acquisition of Basic Energy Services, Inc. (NYSE:BAS) from a group of shareholders on September 24, 2018.