VANCOUVER, Oct. 5, 2012 /PRNewswire/ - Ridgeline Energy Services Inc. ("Ridgeline" or the "Company") (TSXV: RLE, OTCQX: RGDEF, FSE: RL7) an energy services and water treatment company, today announced that effective October 3, 2012 it has closed the previously announced (October 1, 2012) transaction to acquire the assets of Piedmont Technical Services, Inc. ("PTEC"). PTEC is a private equipment manufacturing company based in Charlotte, North Carolina that specializes in the production, sale and leasing of dissolved air systems, which assist in the treatment of wastewater by removing suspended matter, including oils and solids.
Tony Ker, CEO of Ridgeline, stated, "We are excited to welcome the PTEC team to Ridgeline. Continuing to bring manufacturing and engineering expertise inside Ridgeline is key to meeting our growth objectives. PTEC adds managerial depth, an established customer base, and growing revenues. The acquisition will accelerate our manufacturing process as we ramp up to meet the increasing demand for our treatment systems. PTEC's equipment has historically been centered on water treatment in the food processing industry, a new profit center for Ridgeline. We expect the combination of Ridgeline and PTEC will help accelerate the rate of growth in Ridgeline's current markets which will now include the food processing industry."
Dennis M. Danzik commented "PTEC has supplied several base components for our waste water systems for over two years. In the environments which we operate robust design and quality of the manufactured product can be no less than superior. Chris Windsor and Bob Stone have delivered product exceeding our design criteria from day one. The PTEC team have been great manufacturing partners and will now add substantial depth to our engineering and management team".
The consideration to be paid to PTEC for the assets will be US$1,600,000 in cash and 1,500,000 common shares, of which, 300,000 common shares will be released to PTEC every four months commencing three months after the closing date. An additional 1,500,000 common shares are issuable on an earn-out basis if Ridgeline's EBITDA and sales exceed certain targets over a three year period.
About Ridgeline Energy Services Inc.
Ridgeline Energy Services Inc. is an energy services and water treatment technology company. The Company is applying proprietary technology to treat water generated from industrial and commercial waste water markets. These markets include a wide variety of clients across a broad spectrum of industries including oil and gas. Through its environmental consulting and remediation divisions, Ridgeline Environment has built a reputation as an established provider of environmental services to the Western Canadian oil and gas industry. Ridgeline GreenFill provides soil remediation and wet waste disposal services to the oil and gas industry. The Company trades on the TSX Venture Exchange under the symbol "RLE", the OTCQX as "RGDEF" and the Frankfurt Stock Exchange as "RL7".
Additional information is available on the Company's website at: www.ridgelinecanada.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Tony Ker, CEO
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SOURCE Ridgeline Energy Services Inc.