Baker Hughes Holdings LLC acquired Quest Integrity Business from Team, Inc. for approximately $279 million.
November 01, 2022
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Baker Hughes Holdings LLC agreed to acquire Quest Integrity Business from Team, Inc. (NYSE:TISI) for approximately $280 million on August 14, 2022. The consideration will be paid in cash, subject to certain adjustments based on the levels of cash, debt and working capital at closing. The Quest Integrity business generated over $80 million in revenues in 2021 and reported $59 million in revenues through the six months ended June 30, 2022. The consummation of the Transaction is subject to customary closing conditions, regulatory approvals, including the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, approval by the General Authority for Competition of the Kingdom of Saudi Arabia. The Purchase Agreement and the Transaction were unanimously approved by the special subcommittee of the CompanyÆs board of directors (ôBoardö) and by the CompanyÆs Board. The sale is expected to close in the fourth quarter of 2022. Robert W. Baird & Co served as the exclusive financial advisor to TEAM on the transaction. Rachael L. Lichman, P.C., David Wheat, P.C., J. Robert Fowler, P.C., Sean Thomas Wheeler and Cephas Sekhar of Kirkland & Ellis LLP served as TEAMÆs legal counsel. McDermott Will & Emery LLP acted as legal advisor to Baker Hughes Holdings LLC.
Baker Hughes Holdings LLC completed the acquisition of Quest Integrity Business from Team, Inc. (NYSE:TISI) for approximately $279 million on November 1, 2022. The net proceeds to the Company (after payment of transaction related expenses and certain other fees) will be approximately $270 million. The Company intends to use approximately $238 million of the proceeds to pay down term debt and to pay certain fees associated with that repayment and related accrued interest, with the remainder reserved for general corporate purposes.
Team, Inc. is a provider of specialty industrial services. The Company offers its clients access to a full suite of conventional, specialized, and proprietary mechanical, heat-treating, and inspection services. The Companyâs segments include Inspection and Heat Treating (IHT) and Mechanical Services (MS). IHT provides conventional and advanced non-destructive testing services primarily for the process, pipeline and power sectors, pipeline integrity management services, and field heat treating services, as well as associated engineering and condition assessment services. IHT also provides non-destructive testing services and metallurgical and chemical processing services. MS provides solutions designed to serve clients' needs during both the operational (onstream) and off-line states of their assets. Its onstream services include a range of standard custom-engineered leak repair and composite solutions, and hot tapping and line stopping, and on-line valve insertion solutions.
TEAM, INC. 