M&A · Energy · Oil & Gas Field Machinery & Equipment
Drilling Tools International Corp to acquire Superior Drilling Products, Inc.
Announced Mar 7, 2024 · Closed Aug 1, 2024
Deal value$32MEV $32M
Premium—To unaffected price
EV / Adj. EBITDA6.3x1.5x EV / Revenue
ConsiderationCash and stock
Transaction
- Acquirer
- Drilling Tools International Corp (DTI)
- Target
- Superior Drilling Products, Inc.
- Buyer type
- Strategic
- Offer price per share
- —
- Enterprise value
- $32M
- Status
- Closed Aug 1, 2024
Deal protections
- Break fee (target pays)
- $1.0M · 3.1%
- Reverse fee (buyer pays)
- —
- Go-shop
- No-shop
- Financing
- —
Advisors
- To the acquirer
- Not disclosed
- To the target
- Piper Sandler
Sector context · Energy
- Comparable deals
- 37 in the prior 24 months
- Premium
- Sector median 22.0%
- EV / Adj. EBITDA
- 6.3x vs. 8.3x sector median
- Break fee
- 3.1% vs. 2.8% sector median
Timeline
- AnnouncedMar 7, 2024
- Proxy filedJul 2, 2024
- Definitive proxyJul 2, 2024
- Shareholder voteJul 29, 2024
- ClosedAug 1, 2024
Valuation · fairness opinions
Discounted cash flow$1.52$2.14
Discounted cash flow$5.71$9.36
Discounted cash flow$0.62$1.80
Implied value per Superior Drilling Products, Inc. share by analysis, from Piper Sandler · DCF discount rate 19.1%–23.1%.