SALE OF TEAM SNUBBING SERVICES, INC. TO BASIC ENERGY SERVICES, INC. for $7,000,000 December 2009
Team Snubbing Services, Inc. provides snubbing services for natural gas production companies in the Fayetteville Shale play of central Arkansas. The Company was founded in 2006 by Mr. Rick Parker, and is headquartered in Conway, Arkansas. The company has adapted the use of a short stroke snubbing tool, which is used primarily for completion of well sections along the lateral line of the well.
Team Snubbing was referred to DAG by a previous client located in the same geographical area. DAG met with Mr. Parker and his partner, Mr. Robert Gunn, in September 2009. After explanation of the sales process, DAG was selected to handle the company sale.
DAG defined a group of strategic and financial candidates, and pursued a select number. After several discussions and one on-site meeting, DAG negotiated a transaction with Basic Energy Services (NYSE:BAS). The transaction was closed in December 2009, just 90 days after engagement.
All employees were retained by Basic, and Mr. Jim Reherman, Manager of Team, was appointed Basic’s Regional Manager.