HOUSTON, July 12 /PRNewswire/ -- Universal Compression Holdings, Inc.
(NYSE: UCO), a leading provider of natural gas compression services, today
announced that it has completed the purchase of KCI, Inc., a Tulsa, Oklahoma-
based fabricator of large horsepower compressors, for approximately
$26.3 million in cash and 694,927 shares of Universal's common stock.
Universal also repaid all of KCI's approximately $51 million in indebtedness.
"The acquisition of KCI provides us with significant fabrication expertise
and capabilities and a 100,000 square foot fabrication facility in Tulsa, and
adds approximately 125,000 horsepower to our rental fleet," said
Stephen A. Snider, President and Chief Executive Officer. "The KCI team has
an excellent reputation in pipeline and related natural gas markets. By
combining KCI's pipeline experience with our field and gathering business, we
now offer our customers a broader range of natural gas compression products
and services," added Snider.
KCI was advised in the transaction by East Side Advisors, Inc.
Universal, headquartered in Houston, Texas, is a leading natural gas
compression services company, providing a full range of rental, sales,
operations, maintenance and fabrication services and products to the domestic
and international natural gas industry.
Statements about Universal's outlook and all other statements in this
release other than historical facts are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements rely on a number of assumptions concerning future
events and are subject to a number of uncertainties and factors, many of which
are outside Universal's control, which could cause actual results to differ
materially from such statements. While Universal believes that the assumptions
concerning future events are reasonable, it cautions that there are inherent
difficulties in predicting certain important factors that could impact the
future performance or results of its business. Among the important factors
that could cause actual results to differ materially from those indicated by
such forward-looking statements are integration and anticipated synergies of
KCI and other recent acquisitions, the demand for Universal's products and
services and operating conditions. These risk factors are discussed in
Universal's filings with the Securities and Exchange Commission, copies of
which are available to the public. Universal expressly disclaims any intention
or obligation to revise or update any forward-looking statements whether as a
result of new information, future events, or otherwise.
MAKE YOUR OPINION COUNT - Click Here
http://tbutton.prnewswire.com/prn/11690X48643466
SOURCE Universal Compression Holdings, Inc.
CONTACT: David Oatman, Director, Investor Relations, 713-335-7460, of Universal Compressions Holdings, Inc.; General Inquiries, Jeffrey Wilhoit of The Financial Relations Board BSMG Worldwide, 312-640-6757