GE has completed the merging of its oil and gas business with Baker Hughes, which resulted in the formation of a new $32bn company with operations in over 120 countries.
Through combining digital solutions and technology from the GE Store, Baker Hughes (BHGE) offers differentiated services for customers in the oil and gas field.
The combined company can now provide a range of equipment, services and digital solutions across the entire spectrum of oil and gas development.
As per terms of the deal, GE holds a 62.5% stake in the partnership, while Baker Hughes shareholders own the remaining 37.5% interest through their ownership of BHGE.
The deal was first announced in October 2016.
In June, GE secured US antitrust approval for the merger deal. To clear the merger proposal, the US Department of Justice has laid a condition that required GE and Baker Hughes to divest GE’s Water & Process Technologies (GE Water) business.
In the same month, the European Commission also approved GE’s purchase of oilfield services company Baker Hughes without any conditions.
The new firm is dual headquartered in Houston, Texas and London, UK.
GE chairman and CEO Jeff Immelt said: “BHGE is an industry leader positioned to deliver in any economic environment and assist our customers in driving productivity.
“This deal capitalizes on the current cycle in oil and gas while also strengthening our position for the market recovery.
“I am extremely proud of the GE and Baker Hughes teams for completing the combination in just eight months, which is a testament to the team’s unwavering focus and dedication since the announcement last October.”
Image: Baker Hughes’ eco-centre facility. Photo: courtesy of Baker Hughes Incorporated.