Flowco Holdings Inc. has finalized its purchase of Lifting Solutions Energy Services Inc., an Edmonton-based oilfield services company, in a cash deal valued at approximately $113 million. The transaction expands Flowco’s artificial lift business and gives the company a larger operating base in Canada alongside international energy markets.
The deal brings Lifting Solutions’ continuous rod and progressing cavity pump, or PCP, technologies into Flowco’s production optimization division. Lifting Solutions, founded in 2014, serves oil and natural gas wells across Canada, the United States, the Middle East and other international regions, and has built a vertically integrated manufacturing and service operation from its Alberta headquarters.
Flowco financed the purchase through borrowings under its asset-based lending facility. The transaction was structured on a cash-free, debt-free basis and remains subject to standard purchase price adjustments. Flowco calculated the approximately $113 million price using a CAD/USD exchange rate of 0.71.
Contingent Payout Tied to Future Performance
As part of the agreement, Lifting Solutions’ sellers may receive up to C$10 million in additional contingent consideration, depending on the company’s financial performance in 2027. Any such payment would be issued in early 2028.
Flowco President and CEO Joe Bob Edwards said the acquisition broadens the company’s artificial lift portfolio and strengthens its ability to serve customers across the full lifespan of a well. He added that the deal extends Flowco’s geographic reach and opens opportunities to introduce a wider range of technologies to customers of both companies.
Lifting Solutions founder and CEO David Labonte described the two companies as highly complementary, saying the combination creates a foundation for further growth.
Expanding Artificial Lift and International Reach
Artificial lift systems help maintain or boost oil and gas production when reservoir pressure alone isn’t enough to bring fluids to the surface efficiently. As wells age, the choice and optimization of lift technology becomes more significant to operating costs and the overall economic life of the asset.
By adding continuous rod and PCP technology, Flowco gains greater exposure to later-stage well applications, broadening the range of production optimization solutions it can offer. The company also pointed to cross-selling potential, citing complementary products, technical capabilities and geographic footprints between the two businesses.
Flowco said it expects the acquisition to be accretive to both earnings per share and free cash flow per share, though it did not disclose specific earnings contributions, synergy targets, or a timeline for realizing those financial benefits.
Advisors on the Deal
Flowco was advised on the transaction by Troutman Pepper Locke, Blake Cassels & Graydon, and Vinson & Elkins. Lifting Solutions was represented by TPH&Co., the energy arm of Perella Weinberg Partners, as exclusive financial advisor, with Dentons Canada serving as exclusive legal counsel.
With the acquisition now closed, Flowco gains an established Canadian manufacturing and service platform, additional international reach, and two complementary artificial lift technologies. The company said the deal positions it to capture a larger share of production optimization spending across the lifecycle of oil and gas wells, while expanding its offerings to Lifting Solutions’ existing customer base.
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