Vermeer, a leading manufacturer of horizontal directional drilling equipment and tooling, has purchased substantially all of the operating assets of Horizontal Rig & Equipment, Inc. (HRE) based in Conroe, Texas.

HRE is a prominent manufacturer of horizontal directional drilling (HDD) rigs and currently produces three drills with pullback forces of 500,000, 750,000 and 1,000,000 pounds. Production of these units will move to the Vermeer manufacturing plant based in Pella, Iowa, in early 2008.

The units will carry the Vermeer brand name and be sold through the Vermeer exclusive distribution channel beginning in the spring of 2008.