Carrollton-based Varel International acquired by Arcapita for $369 million

by PegNews wire

CARROLLTON — Varel International Inc., the world’s fastest-growing drill bit company, announces the completion of sale to an affiliate of Arcapita Inc., a private equity firm based in Atlanta. Varel, a technology leader in the oil and gas, and mining and industrial industries, was purchased from KRG Capital Partners, a Denver-based private equity firm, for approximately $369 million. This transaction was completed to provide funding to hopefully further Varel’s growth and product offering.

“This transaction with Arcapita is an important milestone in Varel’s journey to be recognized as a leading global drill bit company,” said Jim Nixon, President & CEO of Varel International. “In the past few years, Varel has achieved explosive growth. We want to continue this growth by delivering more product innovation, product performance and service to the industries we serve. Arcapita is fully committed to helping us achieve these objectives. We are proud to have them as our new partner.”

The company insists that the sale does not affect any of Varel’s 1,100 employees.

Headquartered in Carrollton, Varel services oil & gas, mining, and industrial markets with its comprehensive suite of roller cone and fixed cutter drill bits. The company has manufacturing facilities in Carrollton, Houston, Matamoros, and Tarbes, France, as well as sales offices throughout the world.

Source: Varel International