The twoway the two oilfieldservices companies faced pressure from. Halliburtons takeover of baker hughes is setting out to be the oil and gas merger of the year. During its 80year history prior to its merger with baker hughes, baker oil. The deal comes just six months after houstonbased halliburton co. Reuters oilfield services provider halliburton co hal. Aside from the antitrust concerns centered on the merger, the doj also took action against valueact capital, a hedge fund associated. If the proposed takeover of baker hughes by halliburton falls apart, it will cost at least one of the companies dearly. This agreement and plan of merger this agreement is made and entered into as of november 16, 2014, among halliburton company, a delaware corporation parent, red tiger llc, a delaware limited liability company and direct, wholly owned subsidiary of parent merger sub, and baker hughes incorporated, a delaware corporation the company. Department of justice sued halliburton to block its proposed acquisition of baker hughes bhi, buy, the two companies have announced the termination of the november 2014 merger agreement, effective april 30, 2016. Halliburton and baker hughes abandon anticompetitive merger. The department filed suit on april 6, 2016, to block the merger, alleging that the transaction would.
Halliburton calls off plans to acquire baker hughes. We expect these regulators will keep a close eye on the u. Baker hughes company is an american international industrial service company and one of. Halliburton baker hughes merger falls through offshore. Halliburtons deal to acquire baker hughes is likely to be called off on monday, ending a bid to create an oil services industry giant. The division sued to block the merger in april 2016 in the u. Will halliburtonbaker hughes deal spark more mergers.
For jv and ecsc cases old cases not available via the search page follow this link. Baker hughes and halliburton call off merger charts. Baker hughes to downsize ahead of ge merger news for the. Baker hughes agrees to general electric merger after.
Lynch said regulators were concerned that a halliburton merger with baker hughes would lead to decreased competition and higher prices. Halliburton and baker hughes provide update regarding doj. Halliburton and baker hughes announce termination of merger agreement. The agreement was approved by the shareholders of both companies in the spring but the deal still had to be cleared by the federal. While both companies expected the proposed merger to.
Late sunday, after months of reassuring everyone in public at least that their proposed merger was still on, halliburton and baker hughes, the second and third largest oil field service. Halliburtonbaker hughes merger sinks on regulators. Yet the stock price of both companies rose on the announcement that the merger was being abandoned. Halliburton and baker hughes, the worlds second and thirdlargest oilfield services. The complaints assert that the members of the baker hughes board breached their fiduciary duties to baker hughes stockholders during the merger negotiations and by entering into the merger agreement and approving the merger, and that baker hughes, halliburton and merger sub aided and abetted such breaches of fiduciary duties. The halliburtonbaker hughes merger is officially dead. Why halliburton baker hughes deal failed business insider. Halliburton is scrubbing its plans for a megamerger with baker hughes. Merger would eliminate significant headtohead competition in oilfield services industry. The department of justice filed a civil antitrust lawsuit today seeking to block halliburton companys proposed acquisition of baker hughes inc. But the tieup raises questions about whether the takeover will survive antitrust scrutiny, given the level of consolidation that it promises within the oil. In november 2014, the company entered talks with halliburton over a merger deal valued at. Bhi today announced that the companies have terminated the. Halliburton company has announced that its stockholders approved halliburtons proposal to issue shares of halliburton common stock as contemplated by its merger agreement with baker hughes incorporated.
Halliburton company may not sell these securities until the registration statement filed. Halliburton will discuss the termination of the merger agreement during its previously scheduled conference call on tuesday, may 3, 2016, at 8. The merger is expected to create a strong company and achieve substantial efficiencies enabling it to compete aggressively to provide efficient, innovative and lowcost services. To view pdf files on this website you need the free adobe reader. Bhi today announced that the companies have terminated the merger agreement they entered into in november 2014, effective april 30, 2016. This time the two oil field services companies the second and third largest oil field service companies in the united states. For currently open merger cases follow this link open merger cases. Oilfield services giants halliburton and baker hughes have nixed their merger following opposition from. Halliburton company and baker hughes announce termination of planned merger.
The halliburtonbaker hughes merger has been delayed again. In addition, baker hughes has announced that its stockholders adopted the merger agreement and thereby approved the proposed combination of the two companies. Delay for the halliburtonbaker hughes merger houston press. A number of those jurisdictions have already cleared this merger.
Halliburton and baker hughes abandon merger after department of justice sued to block deal. What the failed halliburtonbaker hughes deal means for the oil service industry. A merger agreement between baker hughes and fellow energy industry giant halliburton was. The justice department sued to block the proposed merger of halliburton and baker hughes saying the merger of two of the three largest providers. Baker hughes tries to reassure investors as halliburton. Halliburton and baker hughes announce termination of merger. Halliburton, baker hughes extend closing date for merger. If approved the deal, which is due to be ratified in the summer, will see the. One of the largest such deals in years, it has not, however, met with unanimous approval. Halliburton takeover of baker hughes falls apart under. Halliburton and baker hughes merger becomes target for doj.
The contract governing halliburtons acquisition of baker hughes expired saturday without an agreement by the companies to extend it. Decisions, press releases and other communications from the commission are published as. When the merger is completed, baker hughes stockholders will receive 1. For latest updates of cases follow this link updates of cases. Justice department sues to block halliburtons acquisition. What the failed halliburtonbaker hughes deal means for. Halliburton and baker hughes announce termination of. Halliburton, baker hughes to scrap controversial merger. The second and thirdlargest companies in the oil and gas industry said sunday theyre ditching the deal they first reached. Justice department is seeking additional information from general electric co. The merger between halliburton and baker hughes is global in scope, requiring clearance from numerous regulators around the world. Halliburton and baker hughes announce termination of merger agreement may 1, 2016 houston business wiremay 1, 2016 halliburton company nyse.
Halliburton takeover of baker hughes falls apart under antitrust scrutiny the deal would have combined two of the worlds largest oil services firms. Halliburton and baker hughes believe that the proposed merger is good for the industry and customers. Halliburtonbaker hughes merger delayed until april. Halliburton equipment in the equipment yard thomson reuters halliburton and baker hughes tried to get together. Baker hughes employees in norway have been offered severance packages ahead of a planned merger with ge oil and gas. The end of halliburtons merger with baker hughes the. Two of the biggest oilfield services companies, halliburton and baker hughes, are discussing a merger that would help both companies fend. Halliburtonbaker hughes merger is off business insider. Baker hughes, general electric expected to merge in 2017. Halliburton, baker hughes terminate merger agreement. Houston halliburton and baker hughes have terminated the merger agreement they entered into in november 2014, effective april 30, 2016.