US Well Services (NASDAQ:USWS) is one of the biggest gainers in pre-market trading.
As of 8:12, USWS is trading at $1.19 up 23 cents or 24.26%. So far more than 2.31 million shares have exchanged hands.
USWS Released News Late Monday
US Well Services Announces Move Towards Full Electrification of Portfolio
- USWS announced its commitment to becoming an all-electric hydraulic fracturing services provider and expects to have fully exited the diesel frac market by the end of Q4 2021. As a result of this strategic transition, USWS expects to become the first publicly-traded, pure-play electric completions services provider.
- The Company also announced it has entered into a definitive agreement to sell certain diesel-powered hydraulic fracturing equipment to a privately-held buyer for net proceeds of $21 million, subject to certain closing conditions.
- Further, the Company is in active negotiations with several counterparties and anticipates entering into a series of additional transactions to sell the majority of its remaining diesel fracturing equipment as well as certain power generation assets.
- In total, the Company believes it should generate in excess of $100 million of cash from non-core asset divestitures, with the net proceeds expected to reduce outstanding indebtedness and fund general corporate purposes, including the buildout of USWS’ next-generation all-electric fracturing fleets.
“We are excited to execute on our strategy and become fully-electric,” commented Joel Broussard, US Well Services’ President and CEO. “US Well Services has believed in the superiority of electric technology since our first Clean Fleet® was deployed in 2014. Today, we are beginning to realize our vision of going all-electric, reducing a significant amount of our outstanding debt and streamlining our focus to become the new market leader in our industry.”
|+/- EMA(20)||0.90 (+6.67%)|
|+/- SMA(50)||0.94 (+2.13%)|
|+/- SMA(200)||0.72 (+33.33%)|