OMNI Energy completes acquisitions
Omni Energy Services Corp. announced that it has completed the previously announced acquisition of Charles Holston, Inc. (CHI) for $18 million of cash and $5 million of promissory notes. The promissory notes accrue interest at a rate of 5% per annum and mature at various dates over a 3-year period.
OMNI also announced that it had completed the previously announced acquisition of certain assets of Cypress Energy (Cypress) for approximately $10.1 million, including approximately $7.1 million of cash and a $3 million promissory note. The promissory note matures three years from the date of acquisition and accrues interest at a rate of 5% per annum.
CHI, with approximately 250 employees and corporate offices in Jennings, Louisiana and dockside facilities in Cameron and Fourchon, Louisiana, provides a full range of environmental services including transportation of non- hazardous oilfield byproducts, such as salt water and spent drilling fluids; NORM surveys, cleaning and waste disposal; tank degreasing and demolition; rig pit cleaning; oilfield waste disposal; hydro blasting; dockside and offshore cleaning; and offshore sandblasting and painting. For fiscal 2006, CHI reported pro forma EBITDA of $5.0 million on revenues of $29.4 million.
Headquartered in Houston, Texas, Cypress currently employs approximately 225 people in two business segments, seismic services and employee leasing. The acquisition includes the assumption of approximately $20 million of seismic drilling contracts. For fiscal 2006, Cypress reported EBITDA of $2.6 million on revenues of $ 23.7 million.