General Electric, the company that recently formally opened its new oil and gas energy research site in Oklahoma City has reached a nearly $30 billion deal to combine its oil and gas business with Baker Hughes Inc.
The “New” Baker Hughes will be a leading equipment, technology and services provide in the oil and gas industry with $32 billion of combined revenue and operations in more than 120 countries, according to an early Monday-morning announcement by Baker Hughes. The announcement said that by drawing from GE technology expertise and Baker Hughes capabilities in oilfield services, the new company will provide best-in-class physical and digital technology solutions.
Under terms of the deal, one approved unanimously by the boards of directors of both companies, at the closing of the transaction Baker Hughes shareholders will get a special one-time cash dividend of $17.50 a share and 37.5% of the new company. GE will own 62.5% of the company and the transaction is expected to close in mid 2017.