Baker Hughes is set to acquire Chart Industries in a US$13.6 billion all-cash deal that will significantly bolster its position in sectors handling gases and liquids at extremely low temperatures, such as liquefied natural gas (LNG) and nuclear energy.
The acquisition, which offers Chart shareholders US$210 per share — a 22 per cent premium on the company’s recent market value — is poised to enhance Baker Hughes’ Industrial & Energy Technology segment, currently valued at US$46 billion.
Chart Industries specialises in advanced process technologies and equipment for managing gas and liquid molecules and operates 65 manufacturing sites and over 50 global service centres, with a strong presence in LNG, hydrogen, biogas, and CO₂ capture technologies.
This strategic move disrupts Chart’s earlier planned US$19 billion merger with Flowserve, whose deal has now been terminated following Baker Hughes’ superior offer.
After the announcement, Chart’s shares rose sharply by 16.5 per cent in after-hours trading, while Flowserve shares also gained 5.2 per cent.
Baker Hughes expects the acquisition to deliver US$325 million in annualised cost synergies by the end of the third year, driven by manufacturing efficiencies, supply chain consolidations, and R&D optimisation.
Under CEO and Chair Lorenzo Simonelli, Baker Hughes aims to expand beyond its traditional oilfield services business to diversify into growth markets such as LNG and decarbonisation technologies.
The acquisition complements this strategy by strengthening its energy technology portfolio and aftermarket service offerings.
The deal is anticipated to close by mid-2026, pending regulatory and shareholder approvals, with Baker Hughes maintaining its targeted strong credit rating and aiming to reduce net leverage significantly within two years.
Additionally, Baker Hughes is preparing to acquire Continental Disc for US$540 million, a move that will expand its safety pressure management solutions, with the transaction expected to close in the fourth quarter of 2025.
This acquisition marks a major milestone in Baker Hughes’ evolution into a diversified industrial and energy technology leader focused on lower-carbon and efficient energy solutions to meet rising global demand in critical sectors.