Silica closes Cadre Services deal.
1 August 2014 - US commercial silica producer US Silica Holdings Inc (NYSE:SLCA) announced the completion of its purchase of Texas-based sand mining company Cadre Services Inc for USD98m (EUR73.2m) in cash.
Cadre's operational and logistics offerings will allow Silica to expand its geographical coverage and product offerings. The transaction will create new opportunities for Silica and will support its strategy to expand capacity so as to address rising demand for raw sand proppants, said Bryan Shinn, president and CEO of Silica.
Moreover, the acquisition of Cadre will allow Silica to offer its customers high-quality and regionally sourced products that will meet the demand of many oil and gas wells in the booming Permian Basin, Shinn added.
The acquired business will now operate as Cadre, a US Silica Company.
Target: Cadre Services Inc
Buyer: Silica Holdings Inc
Deal size in USD: 98m
Type: Corporate acquisition