By Chris Wack
Mammoth Energy Services shares were up 21% at $2.29 after the company said its Lion Power Services subsidiary completed a transaction to sell all equity interests in three wholly owned subsidiaries for $108.7 million.
Lion Power sold its 5 Star Electric, Higher Power Electrical, and Python Equipment subsidiaries.
At the close of the transaction, Lion received cash proceeds totaling $98.3 million, with the remaining $10.4 million deposited into an escrow account to fund post-closing adjustments for at least 90 days and indemnified liabilities until at least May 15, 2026.
As part of the transaction, Mammoth's current chief executive, Phil Lancaster, will become an employee of Peak upon July 1, or the appointment of a successor CEO.
Mammoth has also purchased eight small passenger aircraft under lease with a commuter airline for $11.5 million.
Write to Chris Wack at chris.wack@wsj.com
(END) Dow Jones Newswires
April 14, 2025 10:26 ET (14:26 GMT)
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