Helmerich & Payne Completes $2 Billion Acquisition of KCA Deutag

Helmerich & Payne (H&P), a leading rig technologies and drilling solutions company based in the U.S., has finalized its acquisition of KCA Deutag, a UK-based drilling, engineering, and technology services provider. The deal, valued at nearly $2 billion, is set to strengthen H&P’s global onshore drilling capabilities, increase rig count, and enhance its presence in key oil and gas-producing regions.

John Lindsay, President and CEO of H&P, expressed his enthusiasm about the acquisition, stating, “We are excited to complete this transformative acquisition and welcome KCA Deutag’s talented employees to H&P. Today marks an important milestone for our company, customers, and shareholders as we create an organization with an enhanced global footprint, exceptional service capability, and superior technology offering.”

“Over the past several months, team members across the company have been diligently working on the planning associated with this integration and providing excellent service to our customers. I am appreciative of and impressed by the entire team across our global operations for all of their hard work and commitment.”

The acquisition is expected to drive growth and value creation for H&P by accelerating its international expansion strategy, particularly in the Middle East. The company anticipates significant benefits from the deal, including enhanced scale, diversification, and a more robust revenue stream across U.S. and international markets.

Despite the acquisition, H&P will maintain its headquarters in Tulsa, Oklahoma, with John Lindsay continuing to lead as President and CEO. Joseph Elkhoury, CEO of KCA Deutag, will not be joining H&P post-acquisition. The transaction is projected to generate double-digit free cash flow accretion by 2025, surpassing the cost of capital by 2026.

The completion of the acquisition follows KCA Deutag’s recent success in securing lucrative drilling contracts across various regions, including the Middle East, Africa, Latin America, and the UK.