Mullen Group to Merge With Oilfield Services Firm

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ullen Group Income Fund said Wednesday that its board approved a merger with Producers Oilfield Services.

Mullen, which operates in western Canada, said the merger agreement will result in each Producers share being converted into 0.4444 Mullen units.

It also said the two companies’ operations in far north regions may be transferred into a separate public company.

“We expect that on a combined basis that revenues will exceed C$1 billion and [earnings before taxes and interest] of about C$250 million,” said Stephen Lockwood, Mullen’s president and co-chief executive officer.

The transaction is subject to regulatory approval and shareholder approval by at least two-thirds of each company’s shareholders.

Based in Alberta, Canada, Mullen already had some oilfield and gas exploration operations in addition to its trucking unit.

Mullen is ranked No. 63 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies.