Natural gas provider Clean Energy Fuels Corp (CLNE.O: Quote, Profile, Research, Stock Buzz) said it will acquire oilfield services company Exterran Holdings Inc's (EXH.N: Quote, Profile, Research, Stock Buzz) natural gas fueling station business for $5.9 million.
Besides the immediate volume and revenue benefits for Clean Energy, this strategic acquisition expands our participation in the transit industry nationwide, Chief Executive Andrew Littlefair said.
He added that with more than 20 percent of United States transit buses running on natural gas fuel, the deal would also help the company position itself better to qualify for new contracts, renewals and extensions with transit agencies.
Thecompany said the deal includes Exterran's natural gas station operations and maintenance contracts for four transit operators.
Seal Beach, California-based Clean Energy said that of the total deal value, it has already paid $3.2 million on closure of contract sales related to transit agencies in Los Angeles and Massachusetts.
Shares of Clean Energy closed at $8.71 Thursday on Nasdaq, while Exterran shares closed at $20.01 on the New York Stock Exchange.
For the alerts, double-click [ID:nWNAB6318] (Reporting by Shradhha Sharma in Bangalore; editing by Akshay Lodaya)