Newly formed Houston firm sheds subsea tree business to focus on core product lines

July 1, 2025, by Nadja Skopljak

Innovex International, a Houston-based provider of products and technologies to the oil & gas industry, established in 2024 by the merger of Dril-Quip and Innovex Downhole Solutions, has completed the divestment of its Subsea Tree product line to compatriot Trendsetter Engineering in an all-cash transaction.

Adam Anderson, CEO of Innovex. Source: Business Wire

According to Innovex, the non-core product line had generated less than 1% of combined revenue in the trailing twelve-month period as of the end of Q1 2025.

Of note, Dril-Quip, a developer, manufacturer and provider of highly engineered equipment and services for the offshore and onshore oil & gas industry, announced in September 2024 the completion of the merger with Innovex Downhole Solutions, a designer and manufacturer of products for upstream onshore and offshore activities.

The combined company began trading on the New York Stock Exchange on September 9, 2024, under the ticker symbol “INVX”.

Innovex will retain intellectual property rights for the recently installed subsea tree orientation systems (VXTe) with the intent of licensing this technology to subsea tree manufacturers.

According to Adam Anderson, CEO of Innovex, the divestment enables the company to focus on core product lines within its subsea portfolio, improving customer responsiveness and delivering superior growth, cash flow, and returns for shareholders.

“This acquisition represents a significant and exciting step forward for Trendsetter,” said Mario Lugo, CEO of Trendsetter Engineering. “Entering the subsea tree product space rounds out our offering of subsea production solutions to the industry and expands our reach into new markets.”

Trendsetter Engineering recently tucked a new milestone under its belt with the first delivery of its 20,000 psi (20K) intervention system, which has been deployed from a drillship at a deepwater oil project operated by the U.S.-headquartered Beacon Offshore Energy in the Gulf of America.