Falcon Flowback Services: Oil States Grows US Shale Service Offerings With Acquisition

Oil States International Inc. (NYSE: OIS) is expanding its well completions business in key U.S. shale plays with an $85 million acquisition of Falcon Flowback Services LLC, the Houston-based company said Feb. 28. The acquisition comes as oilfield service M&A continues to heat up providing the industry with much-needed consolidation, said equity research analysts from Tudor, Pickering, Holt & Co. (TPH), which noted that Oil States purchase of Falcon shouldn't come as a surprise "for those paying close attention." The Falcon deal follows Oil States' recently completed $525 million acquisition of downhole tool provider GEODynamics Inc. in January. Oil States expects the addition of Falcon will provide "greater scale and access to highly-trained field technicians in a tightening labor environment," Cindy B. Taylor, Oil States' president and CEO, said in a statement.