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July 5 (Reuters) - Oilfield services company Patterson-UTI Energy said on Wednesday it will buy privately held Ulterra Drilling Technologies from affiliates of Blackstone Energy Partners in a cash-and-stock deal. oil rig diamond drill bit
Ulterra supplies polycrystalline diamond compact (PDC) drill bits, which are primarily used by the oil and gas industry.
Patterson-UTI plans to buy Ulterra on a debt-free basis for $370 million in cash and 34.9 million Patterson-UTI shares.
The deal comes less than a month after Patterson-UTI and NexTier Oilfield Solutions agreed to merge to form a $5.4 billion oilfield services firm.
Oilfield services firms have been consolidating as they navigate operational and pricing challenges.
"When you consider the combination of data systems from Patterson-UTI, NexTier and Ulterra, we believe we will have the most comprehensive set of data for drilling and completions across the United States," Patterson-UTI Chief Operating Officer Mike Holcomb said.
For the full year 2023, Patterson-UTI expects Ulterra to generate between $160 million and $180 million of earnings before interest, taxes, depreciation and amortization (EBITDA).
Tci Tricone Bit Ulterra will continue to operate under the same name and its headquarters will remain in Fort Worth, Texas.(Reporting by Arunima Kumar in Bengaluru; Editing by Dhanya Ann Thoppil, Shilpi Majumdar and Shounak Dasgupta)