Trican to acquire all of the issued and outstanding shares of Iron Horse Energy

By Medicine Hat News on July 5, 2025.

Medicine Hat News

Trican Well Service Ltd. announced they have entered into an agreement to acquire all of the issued and outstanding shares of Iron Horse Energy Services for approximately $77.35 million in cash and approximately 33.76 million common shares of Trican.

Iron Horse is a privately owned fracturing and coiled tubing services provider operating primarily in the Cardium, Charlie Lake, Mannville Stack, Viking, Montney and Shaunavon plays in the Western Canadian Sedimentary Basin.

Iron Horse has an office in Redcliff and employs many southeastern area people.

With a demonstrated track record of financial and operational excellence spanning over 20 years, Iron Horse extends Trican’s fracturing footprint and adds industry leading coiled tubing integrated fracturing expertise. In addition to the acquisition, Trican is pleased to announce that the board of directors of Trican has approved a 10 per cent increase to Trican’s dividend following and pending the closing of the acquisition.

The acquisition enhances Trican’s position as a leading energy services company, expanding its operational expertise in coiled tubing integrated fracturing in Alberta and Saskatchewan. The acquisition will add over four fracturing spreads and 10 coiled tubing units, which will augment Trican’s leading services offering throughout the WCSB across the drilling, completion and production lifecycles.

Iron Horse has long been recognized as a premium provider of fracturing services, with a history of operational and financial results that align with Trican. As a result, the acquisition is expected to deliver immediate and significant accretion to Trican shareholders, as well as support an increase to Trican’s dividend.

“Iron Horse is one of few North American fracturing companies that has consistently demonstrated operational and financial performance that aligns with Trican. The acquisition will provide significant EBITDA, free cash flow and earnings accretion to Trican shareholders. It will also expand Trican’s customer base into both conventional and unconventional plays in Alberta and Saskatchewan,” said Brad Fedora, Trican’s president and chief executive officer.

Chairman and CEO of Iron Horse, Tom Coolen, commented, “I would like to thank my partners Brendon Hamilton, Danny Meier, Todd Garman, and the entire Iron Horse team for their tremendous dedication in growing Iron Horse into a successful Canadian energy services company. Trican is widely considered among the top completions services providers in North America and has developed this reputation through a focus on the same core values that Iron Horse has demonstrated for two decades. Together, we will continue to deliver exceptional service to existing and prospective clients and create new career opportunities for both Iron Horse and Trican employees.”

“Mr. Coolen and his partners have built their company into a trusted and innovative services provider, and we look forward to welcoming him to the Board and benefiting from his 20+ years of industry experience to create incremental value for Trican shareholders,” Brad Fedora said.

Following the acquisition, Iron Horse will operate as a wholly owned division of Trican. It is expected that Trican will retain all of the existing management and employees of Iron Horse, with the objective that Iron Horse will continue to deliver premium solutions to its existing customers under the Iron Horse banner and increase its presence through the support of Trican’s resources, including its idle equipment, facilities, and balance sheet.

ACQUISITION HIGHLIGHTS

• Strategically aligned acquisition increases Trican’s scale and competitiveness among North American completions services providers

o Provides opportunity to expand complementary completions services lines (cementing, coiled tubing)

• Geographic expansion and diversifies commodity exposure, increasing operational resilience

o Expands footprint to service customers in Central / Eastern Alberta and Saskatchewan

o Diversifies Trican’s commodity exposure by adding portfolio of clients operating in conventional and unconventional, oil weighted and liquids rich plays

• Attractive acquisition multiple (<3.0x EBITDA based on July 2, 2025 closing share price) drives immediate, significant, accretion to EBITDA, free cash flow and earnings for Trican shareholders

o Acquisition expected to provide Trican shareholders with double digit accretion across key metrics, with ability to drive further accretion through leveraging basin expertise and realizing commercial and cost synergies

• Supplements Trican’s organic growth profile

o Increases exposure to customers pursuing coil activated completion methods o Opportunities to leverage idle assets to support increased utilization

• Maintain strong leverage profile and capital flexibility.

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