Enerflex expands its reach

Article Excerpt

ENERFLEX LTD. $18.47 (Toronto symbol EFX; TSINetwork Rating: Extra Risk) (403-387-6377; www.enerflex.com; Shares o/s: 88.2 million; Market cap: $1.6 billion; Dividend yield: 1.8%) will now pay Mesa Compression $106 million U.S. for its compression business. The addition of Mesa’s 112,000 horsepower brings Enerflex’s global contract compression fleet to over 600,000 horsepower. The acquisition is a small one for the company. The Mesa compression business generated revenue of $25.7 million U.S. in 2016. To put that in context, Enerflex reported revenue of $1.1 billion for the same year. Nonetheless, the new operations widen the company’s geographic exposure, specifically in the fast-growing Permian and Scoop/Stack natural gas basins of the U.S. Enerflex remains a buy. buy…