Total consideration includes nearly 7.5 million shares of Key common stock and $189.7m in cash, which includes $26.3m to reimburse Edge capital expenditures, net of working capital adjustments.
Edge primarily rents frac stack equipment used to support hydraulic fracturing operations and the associated flow back of frac fluids, proppants, drilling and completion fluids and oil and natural gas.
Edge also provides well testing services, rental equipment such as pumps and power swivels and oilfield fishing services.
Key Energy chairman, president and CEO Dick Alario said the company expects Edge to increase its exposure to the horizontal well completion markets..
"We expect Edge to increase our exposure to the horizontal well completion markets, and we hope to leverage our broad US infrastructure to facilitate expansion of this high quality business in the coming years," Alario said.
Key Energy is an onshore, rig-based well servicing contractor.
