Halliburton Buying Baker Hughes For $34.6 Billion
Halliburton Co. will buy Baker Hughes Inc. for about $35 billion in cash and stock, Reuters is reporting.
The combined entity could challenge oilfield services market leader Schlumberger as customers begin to cut spending due to falling oil prices.
Halliburton expressed confidence that the deal would clear regulatory hurdles, but Baker Hughes shares were trading well below the offer, suggesting that investors were not so sure.
Reuters reports that Halliburton also said it was ready to divest businesses that generate revenue of $7.5 billion to satisfy regulators and would pay Baker Hughes $3.5 billion if the deal was not cleared.