NEW YORK MRC Global Inc. is acquiring the operating assets of Dan H. Brown Inc., which operates as Flow Control Products.
The transaction is expected to close in the third quarter.
Odessa, Texas-based Flow Control provides pneumatic, electric and electrohydraulic valve automation packages and related field support to the Permian Basin energy industry, according to MRC.
The Permian Basin is the most active oil drilling and production region in the United States, Houston-based MRC said.
MRC is also expanding its existing facility in Odessa into a 110,000-square-foot regional distribution center. Flow Controlwhich recorded revenue of $28 million in 2012 and employs 25 peoplewill operate from that site when the expansion is complete in 2014, MRC said.
Meanwhile, MRCs Tulsa, Okla.-based McJunkin Red Man Corp. subsidiary has extended an agreement with NiSource Inc. to provide pipe, valve and fitting products and supply chain services to NiSources pipeline, distribution and midstream businesses.
"With our infrastructure modernization programs under way across NiSource, its comforting to know we have a resource we can depend on," Jimmy D. Staton, executive vice president and group chief executive officer of NiSources Columbia Pipeline Group, said in a statement.
MRCs 2012 revenue from its business with Merrillville, Ind.-based NiSource was approximately $100 million, the company said, noting that it has been supplying NiSource since 1997.