Two of Mammoth Energy Services’ subsidiaries have sold all of the company’s equipment used in its hydraulic fracturing business in a $15 million deal with MGB Manufacturing, LLC.
Mammoth reported the sale in a filing with the Securities and Exchange Commission, explaining the sale was by subsidiaries Stingray Pressure Pumping LLC and Mammoth Equipment Leasing LLC. The equipment was part of the company’s Well Completion segment and the transaction was completed simultaneously with the signing of the agrement on June 16.
As a result of the transaction, Mammoth concluded that the carrying value of goodwill associated with its hydraulic fracturing business exceeds its fair value. As a result, the company expects to recognize impairment expense during the second quarter of 2025 ranging between $7.7 million and $9.2 million.
MGB is headquartered in Katy, TX, with manufacturing, sales & service locations in Brookshire and West Texas…