Friday, January 31, 2014

Enterprise Group, Inc. - E.t

Enterprise Group, Inc. - E.t provides services to the utility, energy and infrastructure construction sectors.

The company is an expert in specialized underground construction and rents heavy equipment and flameless heating units all over the three Western Canadian Provinces.

On January 13, 2014 the company released News

"Enterprise Group, Inc. (“Enterprise,” or “the Company”) (TSX:E) is pleased to provide an update on the integration of Hart Oilfield Rentals Ltd. (“Hart”). The Company acquired Hart, one of Western Canada’s most highly regarded oilfield service providers, for a cost of $22.6 million.

Enterprise completed its acquisition of Hart on January 3, 2014, and has already made significant advancements towards the integration of this highly complementary new business unit. Highlights include:

- Hart’s vendors and chief executives, Gordon and Bonnie Hart, have both signed two-year management agreements with Enterprise. Five other Hart executives have also signed five-year management agreements, completing the transition of Hart’s senior management.
- Work has begun on a new Enterprise location in Fort St. John, British Columbia. This office is expected to house not only a new Hart office, but also offices for Artic Therm and Calgary Tunnelling & Horizontal Augering Ltd.(“CTHA”).
- Logistics are currently being streamlined to allow CTHA and Artic Thermto utilize Hart’s six existing locations – five in Alberta and one in British Columbia – resulting in both increased productivity and reduced transportation costs.
- Hart has commenced the utilization of inventory from Artic Therm in lieu of third party rentals, resulting in increases in operating margin.
- Enterprise is finalizing the purchase of new additions to Hart’s fleet of modular units. In total, Enterprise expects to deploy a total of$9.4 million towards developing this fleet. The Company’s work to date has confirmed its original estimate that a full year’s deployment of these new units could increase Hart’s annual revenue and EBITDA to $29.9 million and $12.0 million, respectively."