Astec Industries Inc. has finalized the purchase of the GEFCO and STECO divisions of Blue Tee Corp.

The purchase price is approximately $30.8 million, subject to customary post-closing adjustments to be finalized by Dec. 1, 2011. 

GEFCO (formerly known as George E. Failing Co.) is a leading manufacturer of portable drilling rigs and related equipment for the water well, environmental, ground water monitoring, construction, mining and shallow oil and gas exploration and production industries. Established in 1931, GEFCO manufactures Failing, SpeedStar and King Oil Tools drilling rigs and equipment.

Astec Industries Inc. has formed a new subsidiary, GEFCO Inc., to operate the acquired businesses, and will continue to manufacture the George E. Failing, SpeedStar, King Oil Tools and STECO equipment from the current Enid, Okla., headquarters.

Commenting on the announcement, Dr. J. Don Brock, chairman and chief executive officer, states, "We are pleased to announce that we completed the purchase of GEFCO and STECO. We are excited about the synergies with American Augers and other Astec Industries product lines. This purchase completes an additional expansion into the energy business for our company. We look forward to growing the existing GEFCO and STECO businesses, and developing new and improved Astec Industries products for the energy industry."

Aaron Harmon, president of GEFCO, says, "This is an exciting event for GEFCO and STECO. Our customers and the employees of GEFCO and STECO will benefit from this acquisition as we grow and expand our product line."