2011-05-31-2011-05-16-2011-06-22

Bought LeTourneau Technologies Inc., which provides drilling products to the energy industry.

Joy Global Inc., Milwaukee, (Nasdaq: JOYG) has closed the purchase of LeTourneau Technologies Inc. from Rowan Companies Inc., Houston, (NYSE: RDC) for $1.1 billion in cash.

LeTourneau designs, builds and supports equipment for the mining and oil and gas drilling industries. LeTourneau operates two business segments, mining products and drilling products. The mining products business manufactures large wheel loaders for surface mining, providing the industry's largest model sizes and payload capacities. The drilling products business designs offshore jack-up drilling rigs and manufactures the primary components for these rigs. It is also a major manufacturer of drilling equipment for large land and offshore rigs and of specialty steel products.

The sale was part of Rowan's strategy to separate noncore businesses and raise money for its offshore drilling business through continued growth of high-spec jack-up fleet or expansion into the ultradeepwater drilling segment.

Joy Global president and CEO Mike Sutherlin says, "The acquisition of LeTourneau brings two very strong business platforms to Joy Global. LeTourneau's wheel loaders are the largest and most fuel efficient in the industry and their complementary application to our electric mining shovels will deliver significant synergies. LeTourneau is also a leading brand in oil and gas drilling rig equipment and design and this business is leveraged to an emerging demand for higher specification rigs."

Bank of America Merrill Lynch was financial advisor to Joy Global and Covington & Burling LLP was legal advisor. Barclays Capital was financial advisor to Rowan.