CERF announces strategic acquisition of Zedcor Oilfield Rentals

On February 2, 2016, CERF Incorporated (CERF) announced that it acquired Zedcor Oilfield Rentals Ltd. (Zedcor), creating one of the largest oilfield rental providers in Western Canada, for a purchase price of approximately C$21 million.

The purchase price consists of the issuance to the shareholders of Zedcor an aggregate of 3,049,968 CERF common shares and 4,400,000 CERF preferred shares both at a deemed price of C$0.70 per common share, as well as the assumption of approximately C$10,800,000 in debt and a vendor take back note of C$5,000,000.

Following the acquisition, TRAC Energy Services ("TRAC"), a wholly owned subsidiary of CERF, will be merged with Zedcor, with the combined entity operating under the name Zedcor Energy Services.

Zedcor is a private oilfield equipment rental company based in Acheson (Alberta) with field offices in Fort St. John (BC), Grande Prairie (Alberta), and a corporate office in Calgary (Alberta).

CERF is a Canadian public corporation engaged in the rental, sale and service of industrial and construction equipment and waste management and environmental services.

Further information can be found on CERF's website.