This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Flotek Industries Announces Repurchase Of Convertible Notes & Confirms Upcoming Investor Presentation

HOUSTON, June 25, 2012 /PRNewswire/ -- Flotek Industries, Inc. ("Flotek" or the "Company") announced today that it has entered into transactions to repurchase $15 million of the Company's outstanding convertible notes from existing holders.

The transactions, privately negotiated, provide for the Company to repurchase the notes from institutional holders for 102% of the principal value plus accrued interest through closing. The Company will fund the repurchase with cash on hand. The transactions are scheduled to close on June 29, 2012.

"The repurchase of over 20% of Flotek's outstanding convertible notes further reinforces the Company's strong financial position and Flotek's continued robust cash generation," said John Chisholm, Flotek's Chairman, President and Chief Executive Officer. "Moreover, our outlook for the balance of 2012 provides comfort that, even with this aggressive reduction in the Company's total debt, we will generate cash well in excess of our capital needs, providing plenty of dry powder to act on future strategic initiatives."

Including this debt reduction, the Company has improved its balance sheet through reducing leverage by approximately $99 million, or 64% since March 2009. At the same time, net of debt reduction and recent tax payments, the Company's cash balances have risen from just $600,000 on March 31, 2009 to approximately $24 million prior to the settlement of today's debt repurchase. In addition, the Company has an additional $35 million revolving credit facility which remains undrawn.

In the first six months of 2012, Flotek retired $51 million in debt.

"There is no doubt that Flotek is a stronger, more robust enterprise as the result of the continued improvement in our balance sheet," added Chisholm. "This is the result of the hard work and dedication of the entire Flotek team. Moreover, that dedication continues to result in new business opportunities that should continue to provide industry-leading revenue and profit growth in the second quarter and beyond."

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs