Nabors Industries Ltd. has closed its acquisition of driller Parker Wellbore in an all-stock transaction valued at roughly $372 million at the time the deal was announced in October.

Nabors said March 12 the deal will be immediately accretive to its free cash flow and estimated recurring synergies of $40 million by the end of 2025. Nabors estimated Parker’s business would produce annualized 2025 adjusted EBITDA of approximately $150 million—before expenses of $110 million, including $40 million of synergies expenses and 2025 post-closing capital expenses of $70 million.

The acquisition adds a large-scale, high performance tubular rental and repairs services operation in the Lower 48 and offshore U.S. to the Nabors portfolio. Parker holds market positions in onshore and offshore tubular running services across the U.S., the Middle East, Latin America and Asia.

Parker's contract drilling services include land and barge rigs, as well as operations and maintenance services.

[Nabors Parker Acquisition overview.jpg Source: Nabors]
(Source: Nabors)

Anthony Petrello, chairman, president and CEO of Nabors, said the completion of the Parker transaction will accelerate growth of the company’s Drilling Solutions business across several markets, “while bolstering our global drilling business.”

“We are excited to welcome a strong and talented organization to the Nabors team. Our customers will benefit from the best practices that both organizations employ, and we expect to create incremental value for them by combining our offerings. Our immediate priority is to ensure seamless integration, and to capture the synergies we have projected."

Haynes Boone represented Nabors in the transaction.

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