Houston, TX-based oilfield services provider Baker Hughes is set to acquire Chart Industries’ in a $13.6 billion that significantly expands the former’s presence in the liquid natural gas market. The companies announced the pending deal on July 29.

In early June, Chart had previously agreed to be acquired by thermal solutions provider Flowserve in a $19 billion deal.

Based in Ball Ground, GA, Chart designs and manufactures process technologies and equipment for handling gases and liquids across industrial and energy markets. The company’s products support the full liquid gas supply chain, including design, installation, maintenance and digital monitoring. In 2024, Chart reported $4.2 billion in total sales and $1 billion in adjusted EBITDA. The company operates 65 manufacturing sites and over 50 service centers worldwide.

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Baker Hughes listed the strategic and financial highlights of the acquisition:

• Supports Baker Hughes’ strategic direction: Combining with Chart adds complementary technologies to address energy and industrial needs, enhancing Baker Hughes’ position in low-carbon and efficiency-focused markets.
• expands market reach: Chart strengthens Baker Hughes’ presence in sectors like data centers, space and New Energy, while also deepening access to industrial markets such as industrial gases, metals, mining and food and beverage.
• Product synergies: The companies’ offerings complement each other; Baker Hughes’ strengths in rotating equipment and digital tools align with Chart’s heat transfer and gas handling expertise.
• Increases recurring revenue: A larger installed base and digital services, including Chart’s Uptime platform, are expected to boost high-margin aftermarket and service revenues.
• Cost synergies: Baker Hughes projects $325 million in annual cost savings within three years through manufacturing scale, supply chain integration and reduced SG&A and R&D expenses.
• Financial impact: The deal is expected to immediately boost growth, margins and cash flow, with double-digit earnings per share growth in the first full year and long-term return on capital targets met.

Chart shareholders will receive $210 per share in cash, valuing the deal at $13.6 billion, or about 9x Chart’s estimated 2025 EBITDA post-synergies. Baker Hughes secured bridge financing and plans to replace it with long-term debt. It aims to maintain an A credit rating and reduce net leverage to 1.0 to 1.5x within two years post-close, while gradually increasing shareholder returns.

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“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 across their most critical applications,” Baker Hughes Chairman and CEO Lorenzo Simonelli said in a July 29 news release. “The combination positions Baker Hughes to be a technology leader that can provide engineering and technology expertise to meet the growing demand for lower-carbon, efficient energy and industrial solutions across attractive growth markets such as LNG, data centers and New Energy.

Both companies’ boards approved the deal, which is subject to regulatory and shareholder approvals and is expected to close by mid-2026.