Trican Well Service Acquires Iron Horse Energy Services and Increases Dividend

Trican Well Service ( (TSE:TCW) ) has shared an announcement.

Trican Well Service Ltd. announced its acquisition of Iron Horse Energy Services, a private fracturing and coiled tubing services provider, for approximately $77.35 million in cash and 33.76 million common shares. This strategic acquisition is expected to enhance Trican’s operational expertise and expand its customer base in Alberta and Saskatchewan, providing significant accretion to EBITDA, free cash flow, and earnings for Trican shareholders. Additionally, Trican announced a 10% increase in its base dividend, reflecting the anticipated positive impact of the acquisition on its financial performance.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.

Spark’s Take on TSE:TCW Stock

According to Spark, TipRanks’ AI Analyst, TSE:TCW is a Outperform.

Trican Well Service’s strong financial foundation and attractive valuation are key strengths, supporting the stock’s potential for growth. Technical indicators present a mixed picture, while challenges with pricing pressures and decreased EBITDA are notable. The company’s strategic initiatives and shareholder support further bolster its position.

To see Spark’s full report on TSE:TCW stock, click here.

More about Trican Well Service

Trican Well Service Ltd. is a leading energy services company specializing in fracturing and coiled tubing services. It operates primarily in the Western Canadian Sedimentary Basin, providing services across the drilling, completion, and production lifecycles.

Average Trading Volume: 539,698

Technical Sentiment Signal: Strong Buy

Current Market Cap: C$808.9M

Learn more about TCW stock on TipRanks’ Stock Analysis page.