Calvetti Ferguson

Global Energy Services

Global Energy Services — Moving Quickly to Meet Transactional Timelines; Secure Capitalization

Global Energy Services provides state of the art drilling systems and rig components for operators and drilling contractors. Once a client of a global public accounting firm, the private equity-backed company began looking for a new public accounting firm that would be more responsive to its needs.

GES’ priorities were finding a firm that would provide more partner-level involvement, better adherence to filing deadlines and a more sophisticated audit team that would make GES’ involvement more efficient.

After considering several firms, including a “Big 4” firm, GES chose Calvetti, Ferguson & Wagner for its audit work. CF&W performed the first audit of the company’s December 31, 2010 financial statements.

In October 2011, GES announced its intention to spin off two divisions into a newly formed drilling contractor. While the deal would allow GES’ assets to be utilized more effectively thereby creating more value for its investors, the deal hinged on CF&W’s ability to provide audited financial statements for the two divisions, in an incredibly tight timeframe, so the company could provide the potential new investors with the necessary information.

GES asked that CF&W provide 2009 and 2010 audits, and review three quarters of 2011, in just six weeks (of two divisions that had never been audited individually before!), so the company’s deal team could undertake a road show before the holidays. Waiting until mid-January would have meant that the company would have had to provide the 2011 audit too, which might have delayed the deal by months.

It was an incredibly tall order, but one that CF&W delivered on by working six and seven day weeks, and fourteen hour days, even through the Thanksgiving holiday. CF&W delivered the audits in the first week of December, allowing the deal team to hit the road that same week. “CF&W’s quick work and dedication allowed us to capitalize on a unique opportunity, in the timeframe we needed,” said Will Franklin, managing director at Lime Rock Partners, one of the private equity firms involved.

Chris Ruffner, GES’ Chief Financial Officer, added, “CF&W impressed us initially with the level of partner involvement they provided. But their ability to meet this timeframe blew us away. We had a goal, they made a commitment, and absolutely fulfilled it.”