Sale of Well Support Services Segment March 9, 2020
Transaction Overview Non-core sale increases focus on core completions business NexTier to sell 100% of its Well Support Services (WSS) Overview segment to Basic Energy Services, Inc. (Basic) Total cash and cash equivalent…
Transaction Rationale Creating shareholder value and prioritizing returns over growth Elevates our position as one of the largest completions companies predominantly focused on U.S. land Furthers focus on core competencies; reduces…
Dedicated Completions Focus One of the largest U.S. land focused completions companies Completion Well Construction & Services Intervention Services Hydraulic Fracturing Coiled Tubing Wireline Pumpdown Cementing 3rd largest…
Attractive Deal Benefits Accelerates free cash flow, lowers capex & reduces expenses Accelerates 5 years of free cash flow FCF Deal consideration reflects approximately 5 years of WSS expected free cash flow1 Reduces capex 20…
Proceeds & Free Cash Flow Usage Greater financial flexibility to create value Balance Sheet Enhances balance sheet strength and increases Strengthening financial flexibility from increased cash position Capital Return Added…
Multiple Expansion Opportunity Simplifying transaction provides opportunity for valuation accretion NEX trades at a discount to peers, despite leading profitability per fleet, strong balance sheet and attractive free cash flow EV /…
Investor Contacts: Daniel Jenkins Vice President, Investor Relations investorsNexTierOFS.com Marc Silverberg Managing Director (ICR)
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