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22 min ago 2 min read
Global energy company Baker Hughes has completed its $13.6bn acquisition of US cryogenic equipment company Chart Industries, following the European Commission’s approval earlier this week (13 June).
The transaction adds Chart Industries’ cryogenic and heat transfer technologies into Baker Hughes’ broader LNG and energy transition portfolio.
Chart Industries will operate as a new reporting segment within Baker Hughes to preserve its commercial and operational focus.
Lorenzo Simonelli, Chairman and CEO of Baker Hughes, said Chart’s thermal management solutions bring complementary capabilities and aftermarket service offerings.
“Together, we will expand the solutions we deliver across a broader range of energy and industrial markets,” he said.
Baker Hughes has also appointed Chief Infrastructure and Performance Officer Jim Apostolides as Senior Vice-President to lead the Chart Industries division.
Prior to approving the acquisition, the the deal over concerns it would reduce competition in the global market for liquefied natural gas (LNG) equipment and technologies, potentially harming prices and innovation.
It found that Baker Hughes holds a dominant position in LNG compressor trains, which it could use to unfairly advantage Chart’s LNG business, making it harder for rivals to compete effectively.
To address the Commission’s preliminary competition concerns, both firms offered to sell Chart’s proprietary and small-scale process technology business to a Commission-approved buyer, and ensure their equipment interoperates with third-party LNG equipment.
The commitments will remain in place for 10 years.
