Baker Hughes to buy Chart Industries for USD13.6 billion in cash deal

29th July 2025 16:32

(Alliance News) - Baker Hughes Co on Tuesday said it has agreed to acquire Chart Industries Inc in a USD13.6 billion all-cash deal, significantly expanding its capabilities in energy and industrial technology markets.

The Houston, Texas-based energy technology company said it will pay USD210 per share for Chart, representing a premium that values the process technology and equipment specialist at a multiple of about 9 times forecast 2025 earnings before interest, tax, depreciation and amortisation on a fully synergised basis.

Shares in Baker Hughes were down 1.6% at USD45.82 in New York on Tuesday morning, giving the company a total market capitalisation of USD45.26 billion. Shares in Chart Industries jumped 16% to USD198.70 for a market capitalisation of USD8.93 billion.

Baker Hughes said the deal will strengthen its Industrial & Energy Technology segment, enhance exposure to high-growth markets such as liquefied natural gas, data centres and decarbonisation, and improve margins and earnings per share from the first full year following completion.

"This acquisition is a milestone for Baker Hughes," said Chief Executive Officer Lorenzo Simonelli. "[Chart's] products and services are highly complementary to our offerings and strongly aligned with our intent to deliver distinctive and efficient end-to-end lifecycle solutions for our customers across their most critical applications."

Chart, which is based in Georgia, reported USD4.2 billion in revenue and USD1.0 billion in adjusted Ebitda in 2024. It has 65 manufacturing sites and over 50 service centres globally.

Baker Hughes said it expects USD325 million in annual cost synergies by the end of year three, achieved through scale, supply chain consolidation and operating cost optimisation. The firm plans to fund the deal through fully committed bridge financing, later replaced with permanent debt.

The transaction has been unanimously approved by both companies' boards and is expected to close by mid-2026, subject to Chart shareholder and regulatory approvals.

By Eva Castanedo, Alliance News reporter

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