CERF Inc. has signed a non-binding letter of intent to acquire a private oilfield equipment rental company located in Alberta. Under the agreement, the existing management team of the oilfield rental company would manage and grow CERF’s new business unit. The closing of the transaction is subject to the parties entering into a definitive share-purchase agreement, and customary closing conditions.
CERF, based in Edmonton, Alberta, Canada is a Canadian public corporation that owns 4-Way Equipment Rentals as well as waste management and environmental services firms. The oilfield rental company appears to have natural synergies with CERF’s existing equipment rental division.
“We are excited to have a successful oilfield rental company join the CERF group of companies,” said Wayne Wadley, president of CERF Inc. “We look forward to being able to participate more directly in the oil industry and to have our wholly owned subsidiary, 4-Way Equipment Rentals Corp. working closely with the oilfield rental company in supplying some similar rental equipment and services to a whole new oilfield customer base.”
CERF trades on the TSX Venture Exchange under the symbol CFL and currently has more than 9.6 million common shares issued and outstanding. 4-Way Equipment Rental is No. 94 on the RER 100.
