06:30 AM EDT, 10/20/2025 (MT Newswires) -- STEP Energy Services ( SNVVF ) , shy of 52-week highs, late Friday said it has entered into an agreement with funds advised by ARC Financial to take the company private in an all-cash transaction.

Under the agreement with 659160 Alberta and the limited partnerships comprising ARC Energy Fund 8, ARC will acquire all of the issued and outstanding common shares of STEP that ARC does not yet own for $5.50 per share in cash.

The purchase price represents a premium of about 29% to STEP's Sept. 24 closing price on the TSX, being the last trading day before the announcement of the non-binding offer from ARC.

STEP obtained a formal valuation of the shares as at Oct. 14 from Ernst & Young, an independent valuator. EY determined that the purchase price is in the fair market value range of $4.80 to $5.70 per share.

The deal has been unanimously approved by the members of STEP's board of directors and will be subject to shareholder approval, court approval and customary closing conditions.

The transaction is expected to close Dec. 16.