Flotek Industries (FTK) announced a transformative deal in which it will sell its Florida Chemical subsidiary to Archer Daniels Midland (ADM) in a $175 million cash deal. This deal has a big price tag, allowing the company to pay off its debt and leaving plenty of cash to improve its core energy business which is subject to so much discussion and debate.
I like the move a lot and am willing to initiate a small but very speculative position.
The Deal & Implications
Flotek has reached a deal with Archer Daniels