Drilling Tools International Corp. (US) has entered into a definitive agreement to acquire Saltire Energy Limited and Foxley Energy Limited. The transaction values Saltire at approximately $80 million in cash and 17.4 million shares of DTI common stock. While the cash component is fixed, the market value of the share consideration will fluctuate with DTI's share price.
Wayne Prejean, Chairman and Chief Executive Officer of Drilling Tools International, announced the deal during a conference call held on October 8, 2026. Prejean spoke from Abu Dhabi, United Arab Emirates, alongside David R. Johnson, DTI's Chief Financial Officer, and Michael David Loggie, Founder and Chief Executive Officer of Saltire Energy Ltd. The acquisition targets Saltire's established presence in the North Sea, the Middle East, and other Eastern Hemisphere growth markets.
The companies described the combination as strategically complementary. Both entities operate similar models in the downhole tool rental sector, providing mission-critical equipment such as bottom hole assembly components, pipe, tubulars, and pressure control equipment. Management noted that the two companies have limited customer overlap, which allows them to create a more diversified global platform. Prejean stated that the partnership solidifies DTI's foundation by bringing together two businesses with distinct geographic footprints.
Zach Vaughan, Senior Vice President at Dennard Lascar Associates LLC, introduced the call and outlined the regulatory steps involved in the transaction. DTI intends to file a registration statement on Form S-4 with the U.S. Securities and Exchange Commission. This filing will include a proxy statement and prospectus for DTI stockholders. The company also plans to submit the call transcript to regulators as part of its communication regarding the proposed merger.
Investors were advised that the call contains forward-looking statements regarding the anticipated timing, completion, and financial impact of the acquisition. Management cautioned that actual results may differ materially due to risks such as financing conditions, integration challenges, and market conditions. The transaction is not guaranteed to close on the anticipated terms or timing. DTI undertakes no obligation to update these forward-looking statements except as required by law.
The call included a reminder that non-GAAP financial measures, such as adjusted EBITDA and adjusted free cash flow, may be discussed in related materials. These measures should not be considered in isolation from comparable GAAP measures. Reconciliations for these non-GAAP metrics are available in the press release and investor presentation furnished prior to the call.
A replay of the conference call is available via webcast on drillingtools.com and by telephonic recording until October 15. The information provided speaks only as of October 8, 2026, and time-sensitive details may no longer be accurate when listening to replays or reading transcripts. Jameson Parker, Vice President of Corporate Development at DTI, was also present for the question-and-answer portion of the call.