Pennsylvania-based Heckmann, which supplies, treats and disposes of water used for hydraulic fracturing, will pay Power Fuels $125 million in cash along with 95 million Heckmann shares, worth about $256 million as of last week’s close. Heckmann will also take on about $150 million of Power Fuels’ debt.
“This transaction makes Heckmann the largest pure-play company handling fracturing fluids with 2013 revenues likely nearing $1 billion,” one analyst said.
Once
