Archrock Acquires Elite Compression Services
Ticker: AROC · Form: 8-K · Filed: May 22, 2024 · CIK: 1389050
| Field | Detail |
|---|---|
| Company | Archrock, INC. (AROC) |
| Form Type | 8-K |
| Filed Date | May 22, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.01 |
| Sentiment | bullish |
Sentiment: bullish
Topics: acquisition, growth, energy
TL;DR
Archrock buying Elite Compression for growth, deal closes Q3.
AI Summary
Archrock, Inc. announced on May 21, 2024, that it has entered into a definitive agreement to acquire all of the outstanding equity interests of Elite Compression Services, LLC. The transaction is expected to close in the third quarter of 2024 and is subject to customary closing conditions. This acquisition is anticipated to be immediately accretive to Archrock's distributable cash flow per share.
Why It Matters
This acquisition expands Archrock's natural gas compression services fleet, potentially increasing revenue and market share in the energy sector.
Risk Assessment
Risk Level: medium — Acquisitions carry inherent risks, including integration challenges, potential overpayment, and the possibility of not achieving expected synergies.
Key Numbers
- Q3 2024 — Expected Closing (The acquisition of Elite Compression Services is anticipated to be finalized in the third quarter of 2024.)
Key Players & Entities
- Archrock, Inc. (company) — Acquiring company
- Elite Compression Services, LLC (company) — Acquired company
- May 21, 2024 (date) — Date of definitive agreement
- third quarter of 2024 (date) — Expected closing period
FAQ
What is the primary purpose of this 8-K filing?
This 8-K filing is to report Archrock, Inc.'s entry into a definitive agreement to acquire Elite Compression Services, LLC, which is considered a significant event.
What is Archrock, Inc. acquiring?
Archrock, Inc. is acquiring all of the outstanding equity interests of Elite Compression Services, LLC.
When is the acquisition expected to close?
The acquisition is expected to close in the third quarter of 2024.
What is the expected financial impact of the acquisition?
The transaction is anticipated to be immediately accretive to Archrock's distributable cash flow per share.
Are there any conditions to closing the acquisition?
Yes, the transaction is subject to customary closing conditions.
Filing Stats: 467 words · 2 min read · ~2 pages · Grade level 10.8 · Accepted 2024-05-21 18:48:55
Key Financial Figures
- $0.01 — nge on which registered Common stock, $0.01 par value per share AROC New York S
Filing Documents
- aroc-20240521x8k.htm (8-K) — 31KB
- 0001389050-24-000028.txt ( ) — 147KB
- aroc-20240521.xsd (EX-101.SCH) — 3KB
- aroc-20240521_lab.xml (EX-101.LAB) — 16KB
- aroc-20240521_pre.xml (EX-101.PRE) — 10KB
- aroc-20240521x8k_htm.xml (XML) — 5KB
01 Regulation FD Disclosure
Item 7.01 Regulation FD Disclosure On May 21, 2024, Archrock, Inc. ("Archrock") is posting updated investor presentation materials about Archrock on the "Investor Relations" section of its website at www.archrock.com . Information on Archrock's website or any other website is not incorporated by reference in this Current Report on Form 8–K and does not constitute a part of the Current Report on Form 8–K. The information furnished pursuant to this Item 7.01 shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and will not be incorporated by reference into any filing under the Exchange Act or the Securities Act of 1933, as amended, unless specifically identified therein as being incorporated therein by reference. 2
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. ARCHROCK, INC. By: /s/ Stephanie C. Hildebrandt Stephanie C. Hildebrandt Senior Vice President, General Counsel and Secretary May 21, 2024 3