SMITHS Group, the global technology business, today announces the acquisition of CDI Energy Services (CDI) of Tyler, Texas.
CDI is a leading provider of sales and service for pumping equipment that aids production from oil and gas wells, a technology known in the industry as artificial lift. The company has also developed well monitoring and performance improvement services which increase productivity and longevity of customers wells.
CDI was founded in 1892 as part of the Axelson Company and was acquired by the current private shareholders in 1999. It is located and incorporated in Texas, USA. The total cost of the acquisition was $37.0m [19.2 m], which has been satisfied in cash.
CDI will extend Smiths Groups participation in the oil and gas industries, and will report through John Crane, which is part of the Specialty Engineering division. John Crane designs and manufactures Mechanical Seals and associated products for the oil & gas, chemical, pharmaceutical, pulp & paper and mining sectors.
Keith Butler-Wheelhouse, chief executive of Smiths Group, said: This acquisition marks a broadening of our technology in the energy sector. John Crane has a peerless product range, currently focused on seals and associated products, with a truly global service and support footprint. CDI brings new products to our offering and adds important new capability to our fast-growing remote energy asset management services.
Global Energy Products, a sister business also acquired, supplies CDI with globally sourced pumps, rods and other related equipment critical to the business.