By Adriano Marchese

ACT Energy Technologies has agreed to acquire the oil-and-gas directional drilling services business of SB Directional Services for $47 million in cash and stock.

The Canadian directional drilling technology and services company said Monday that it has entered into an agreement to acquire the business from SB Directional Services through a wholly owned subsidiary.

The $47 million price tag is made up of $30 million in cash and $17 million in ACT common shares, which represents about 3.6 million shares.

ACT said the two companies have a complementary customer base, market presence and scale, and the merger is expected to have an accretive financial impact on adjusted earnings before interest, taxes, depreciation and amortization, free cash flow and net income.

The company also expects the transaction to generate cost synergies by replacing SB's rented rotary steerable tools with its own equipment.

ACT has also agreed to expand its syndicated credit facility to 145 million Canadian dollars ($106.9 million) from C$125 million, as well as its U.S.-dollar credit facility to $30 million from $10 million.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

March 09, 2026 06:38 ET (10:38 GMT)

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