Ranger Energy Services announced the acquisition of American Well Services (AWS) for approximately $90.5 million as part of its third-quarter earnings release.
Houston-based Ranger’s rig fleet will expand by approximately 25%, positioning the combined company as the largest well services provider in the US Lower 48. The transaction is expected to generate annual synergies of about $4 million.
AWS is a Permian Basin–focused well services provider operating 39 rigs. Its service line includes workover and completions support, along with fluid transfer, hot oiling, water tank rental, and wellsite construction services. The company was formerly known as Pioneer Well Services until 2021, when Tulsa, Oklahoma-based Argonaut Private Equity acquired the assets from Pioneer Natural Resources.
Under the terms of the deal, Ranger will pay $60 million in cash and issue 2 million shares of common stock, with an additional $5 million to be paid if AWS reaches $36 million in pre-tax revenue within 12 months of closing.
“The reputation of the assets and strength of AWS’ customer franchise accelerates our strategic roadmap, deepens our relationships with the major operators, and expands our future opportunity set. The fleet of workover rigs at AWS has been well maintained and includes a breadth of complementary equipment,” Stuart Bodden, CEO of Ranger, said in the announcement.
Ranger added that the future cash flow expected from the deal will help support its ability to invest in new technologies, including its hybrid-electric rig program and the deployment of artificial intelligence.
For the third quarter of 2025, Ranger reported revenue of $128.9 million, down 16% from $153 million in the same period last year and 8% lower than the $140.6 million reported in the second quarter of 2025.