Oil Services M&A Should Pick Up, Pritchard Capital Says

Mergers and acquisitions activity in the oil services sector is primed to increase following Seadrill (Nasdaq: SDRL) beating out Ensco (NYSE: ESV) for Score.

Atwood Oceanics (NYSE: ATW) and Pride International (NYSE: PDE) are on the list of M&A candidates, Pritchard said. M&A should be a catalyst for the names in the group and help drive up some valuations, with the least Gulf of Mexico exposure outperforming, Pritchard added.

Vantage Drilling (AMEX: VTG) is another takeover candidate, according to Pritchard Capital.