Flowco to Acquire Valiant Artificial Lift in $200M Deal, Adds ESP Capability
Flowco agreed to acquire Valiant Artificial Lift’s parent company for $200 million—$170 million in cash and $30 million in Class A stock—with closing expected in March under customary conditions. The company declared a dividend of $0.08 per share payable February 25 to holders of record on February 13.
1. Acquisition Details
On February 2, Flowco agreed to acquire the parent company of Valiant Artificial Lift for $200 million, comprising $170 million in cash and $30 million in Class A common stock. The transaction is expected to close in March pending customary closing conditions and regulatory approvals.
2. Strategic Rationale
Valiant’s established electric submersible pump (ESP) offering in the Permian Basin complements Flowco’s existing artificial lift portfolio, enabling the combined company to support clients across the full producing life cycle of a well. Management anticipates leveraging its expanded footprint and customer relationships to cross-sell lift technologies in domestic and select international markets.
3. Financial Implications
The acquisition will be financed through a mix of cash and equity, augmenting Flowco’s capital structure while preserving liquidity for ongoing operations. Expected synergies include broader service offerings that could drive revenue growth and operational efficiencies.
4. Dividend Declaration
Flowco declared a quarterly cash dividend of $0.08 per share, with a record date of February 13 and a payment date of February 25, reflecting continued commitment to returning capital to shareholders.