The agreement marks a strategic shift for Baker Hughes as it deepens its Industrial & Energy Technology (IET) portfolio with technologies essential to the liquefied natural gas (LNG), decarbonization, and digital infrastructure sectors. The all-cash transaction is expected to close by mid-2026, pending regulatory and shareholder approvals.
Baker Hughes Chairman and CEO Lorenzo Simonelli called the move “a milestone” for the company. “Their 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.”
Chart Industries, headquartered in Georgia, is known for its advanced process technologies and engineered equipment for gas and liquid molecule handling. The company’s expertise spans LNG, hydrogen, biogas, and CO₂ capture technologies—critical applications in the transition to a lower-carbon economy.
“This all-cash transaction with Baker Hughes delivers immediate value to Chart shareholders,” said Jill Evanko, President and CEO of Chart. “Our complementary solutions fit seamlessly with Baker Hughes’ Industrial & Energy Technology segment, and together we can help our customers solve the most critical energy access and sustainability needs.”
The deal will immediately enhance Baker Hughes’ earnings, margins, and free cash flow, with the company projecting $325 million in cost synergies by year three. Areas of synergy include:
The combination also significantly expands Baker Hughes' installed base, offering new aftermarket and service revenue streams. The companies will jointly serve a broader customer base in sectors like:
Chart, which generated $4.2 billion in revenue and $1 billion in adjusted EBITDA in 2024, operates 65 manufacturing sites and 50+ global service centers.
Baker Hughes will pay $210 per share in cash. The deal will be funded by a combination of bridge financing from Goldman Sachs and Morgan Stanley, to be refinanced with permanent debt. Post-acquisition, the company aims to reduce its net leverage to 1.0–1.5x within 24 months.
The Baker Hughes Board unanimously approved the transaction, as did Chart’s Board, which has recommended that shareholders vote in favor. According to the company, the acquisition is consistent with its return criteria and will be accretive to earnings per share in the first full year post-close.
This acquisition solidifies Baker Hughes’ pivot from an oilfield services legacy to a diversified industrial and energy technology firm. It also reflects a broader trend of industrial players investing in decarbonization infrastructure and digital energy management. With sectors like LNG, hydrogen, and data centers continuing to see compound annual growth, the combined entity will be positioned at the nexus of energy transition and industrial digitization.
