Newpark Resources, Inc. (NYSE: NR) has agreed to pay $75 million to acquire substantially all of the assets, operations and employees of the Well Service Group Inc. (WSG) and an affiliate.

WSG and its affiliate Utility Access Solutions Inc. (UAS) entered into definitive agreements with Newpark, the company said Oct. 31. The acquisition will augment Newpark’s matting business, which prepares areas to support base loads for equipment, trucks and other uses at various oil and gas field sites.

“Since 2012, WSG has been a strategic logistics and installation service partner for Newpark's Mats & Integrated Service segment, providing a variety of complementary services to the composite matting systems, including access road construction, site planning and preparation, environmental protection, fluids and spill storage/containment, erosion control and site restoration services,” Newpark said in a press release. “Building upon their position as a leading worksite service provider to operators drilling in the Marcellus and Utica basins, the combined WSG and UAS business has expanded geographically and entered new customer markets, including the utility transmission and distribution sector. The combined business now maintains a footprint that covers the Northeast, Midwest, Rockies and West Texas regions.

The purchase price includes about $43 million of cash consideration and $32 million worth of common equity in Newpark. The cash consideration will be funded through borrowings on Newpark's revolving credit facility and the transaction is expected to close in November 2017. The company expects the acquisition to be accretive to Newpark earnings in 2018.

Matthew Lanigan, Newpark vice president and president of Mats and Integrated Services said the acquisition is a “critical step” in the companies’ long-term mats strategy.

“Serving as our key partner in the significant Northeast market over the last five years, Well Service Group has demonstrated their unique capabilities and focus on superior customer service and continual innovation, a culture that fully aligns with Newpark,” he said. “Through this acquisition, we see a meaningful opportunity to drive additional operational efficiencies for our existing matting customers, deliver further advancements of our industry-leading composite matting systems, accelerate our penetration of targeted end-user market opportunities, and create additional value for our shareholders."

Rich Brennan, president of the Well Service Group added, "We are delighted to be part of the Newpark family and excited at the opportunities this union brings for our customers and employees."