Baker Hughes Closes $13.6 Billion Chart Industries Acquisition, Adding Third Operating Segment

Baker Hughes completed its $13.6 billion, all-cash acquisition of Chart Industries on July 16, 2026. The deal closed at $210 per share, making it one of the largest transactions in the energy technology and industrial services sector in recent years. Chart Industries generated $4.3 billion in revenue in fiscal year 2025 and operates in more than 50 countries across gas infrastructure, nuclear, and advanced energy markets.

Chart specializes in thermal management, air and gas handling, cryogenic equipment, and aftermarket lifecycle services. Its product lines serve liquefied natural gas terminals, carbon capture and storage facilities, nuclear plants, data centers, and geothermal operations. CEO Lorenzo Simonelli said Chart's thermal management capabilities "accelerate our portfolio strategy" by adding complementary technologies to Baker Hughes' existing industrial energy lines.

Three Reporting Segments After the Close

Baker Hughes previously operated two reporting segments: Oilfield Services and Equipment, and Industrial and Energy Technology. Chart now forms a third distinct reporting segment, preserving its commercial and operational identity through integration. Jim Apostolides, formerly Baker Hughes' Chief Infrastructure and Performance Officer, has been appointed senior vice president to lead the Chart segment.

The addition of Chart expands Baker Hughes' industrial footprint into markets adjacent to oil and gas services. On July 9, 2026, Baker Hughes announced a substantial equipment and services award from Cheniere Energy's Sabine Pass LNG terminal for a liquefaction expansion project. On June 29, 2026, Baker Hughes extended a long-term service agreement with Nigeria LNG for critical expansion support. Chart's cryogenic equipment is a core component of LNG liquefaction trains, creating potential for integrated supply packages across both companies' client bases.

Synergy Targets and Financing

Baker Hughes targets $325 million in annualized cost synergies within three years of the July 16 close. Integration priorities include supply chain optimization, manufacturing consolidation, and functional support harmonization. The company financed the acquisition with bridge loans and plans to replace that debt with permanent long-term financing, targeting an A credit rating and net leverage of 1.0 to 1.5 times within two years post-close.

The $325 million synergy target represents approximately 32.5 percent of Chart's fiscal 2024 adjusted EBITDA of approximately $1 billion. Supply chain rationalization and shared manufacturing infrastructure across both companies' gas equipment product lines are among the primary integration workstreams. Baker Hughes expects commercial synergy opportunities to provide additional upside beyond the cost savings target.

Market Scale and Deal Context

The $13.6 billion enterprise value implies approximately 13.6 times Chart's 2024 EBITDA and approximately 3.2 times Chart's FY2025 revenue. Baker Hughes paid above typical oilfield services M&A multiples, which generally run 1.5 to 2.5 times revenue. Chart's diversified exposure to data center cooling, carbon capture, and nuclear steam supply gives it growth profiles independent of oil price cycles.

Chart had previously agreed to an all-stock merger with Flowserve Corporation, valued at approximately $19 billion, before terminating that agreement to pursue the Baker Hughes offer. Chart's entry into Baker Hughes comes as WTI crude settled at $82.49 per barrel on the July 17 CME close. Elevated oil prices support upstream and midstream capital spending that benefits Baker Hughes' Oilfield Services and Equipment segment, while Chart's industrial markets provide earnings diversification when commodity prices soften.

Oil Authority previously reported Baker Hughes rig count data in our recent North American rig count coverage, where U.S. oil rigs stood at 452. The Chart acquisition broadens Baker Hughes' revenue base by roughly 18 percent, based on Chart's $4.3 billion in FY2025 revenue. This addition shifts roughly one in five Baker Hughes revenue dollars into industrial markets with growth drivers independent of commodity price cycles.