PNC Bank closed $109 million in facilities for two oilfield services providers: Innovex Downhole Solutions and FHE USA.
PNC first served as administrative agent on an $84 million senior secured facility for Innovex.
Headquartered in Houston, Innovex provides downhole products and technologies for the oil and gas industry. It designs, manufactures and installs a range of mission-critical well construction and well completion solutions for onshore and offshore operators in major oil-producing regions worldwide. The company has been backed since 2008 by Intervale Capital, a private equity firm that invests in oilfield manufacturing and service companies.
Innovex will use the funds to refinance existing senior debt and certain preferred securities, partially fund capital expenditures and for ongoing working capital. Treasury management products and services also were included in this transaction.
“We are pleased with the flexible capital solution provided by PNC, which meets our company’s financial requirements,” said Adam Anderson, Innovex CEO. “The added flexibility and enhanced liquidity supports the future growth and strategic direction of our business.”
PNC also closed a $25 million senior secured credit facility for FHE USA, where it served as administrative agent. Treasury management products and services also were included in this transaction.
Founded in 2007 and headquartered in Fruita, CO, FHE is a value-added equipment manufacturer with product lines including pressure control equipment, wellhead safety equipment, perforating consumables and related services. It is a subsidiary of a private industrial holding company based in New York and recently received an investment from a New York-based private equity firm.
The company will use the funds to refinance existing senior debt, support ongoing working capital, for general corporate and letter of credit needs and to finance certain capital expenditures.
“We are proud to support FHE in their growth as they expand distribution of their quality product set,” said Basem Pharaon, senior vice president and Northeast Region market manager for PNC Business Credit. “FHE will benefit greatly from the expanded range of financial products and services available through PNC.”
