Abbot Group, a UK based oil field services company, has launched its £1bn credit facilities in what is the largest LBO since the summer’s credit crunch. It’s success, or otherwise, will be seen as a barometer for the rest of the year.
US private equity firm First Abbot is a Scottish-headquartered oil field services group that owns and operates onshore and offshore drilling rigs and provides drilling services to third parties. It operates in Europe, the Middle East, Russia, North and West Africa, and the Caspian Region. First Reserve is the largest private equity investor in the energy industry with over US$12.5bn under management. The firm claims the deal will be the largest private equity buyout in the drilling services industry, and the first and largest European oil field services take-private.
Will Honeybourne, managing director of First Reserve, said: “Long-term industry demand, based on global needs for increased oil production over the medium to long term, makes Abbot an attractive acquisition for First Reserve.”