Baker Hughes Acquires Chart Industries: A Strategic Move Towards Energy and Industrial Technology Leadership
U.S.-headquartered energy technology giant Baker Hughes has made a multibillion-dollar play for Chart Industries to take its energy and industrial technology strategy to a new level. This acquisition high-grades Baker Hughes’ portfolio with differentiated capabilities across diverse markets, focusing on natural gas, data centers, and energy transition initiatives to drive further growth.
Under the definitive agreement, Baker Hughes will acquire all outstanding shares of Chart’s common stock for $210 per share in cash, totaling an enterprise value of $13.6 billion. This move is set to transform Baker Hughes’ Industrial & Energy Technology segment by integrating highly complementary capabilities, offering enhanced value-creation solutions for customers and accelerating aftermarket growth through increased service penetration.
With an expected $325 million in annualized cost synergies within three years, the acquisition is poised to have a positive financial impact, being accretive to growth, margins, EPS, and cash flow. Chart Industries’ products and solutions span every phase of the liquid gas supply chain, from engineering and design to ongoing digital monitoring.
Jill Evanko, Chart’s President and CEO, expressed, “This all-cash transaction with Baker Hughes delivers immediate value to Chart shareholders. Our engineering-focused culture aligns well with Baker Hughes, and together we can address critical energy access and sustainability needs.”
This acquisition broadens Baker Hughes’ offerings in growth markets like data centers, space, and new energy while strengthening its capabilities in industrial sectors such as industrial gas, metals and mining, and food and beverage. It underscores the company’s commitment to solving complex energy challenges and supporting sustainability goals.
Lorenzo Simonelli, Baker Hughes’ Chairman and CEO, stated, “This acquisition underscores our strategic focus as a leading energy and industrial technology company. Chart’s products complement our offerings and enhance our ability to provide end-to-end lifecycle solutions for customers.”
Baker Hughes’ Rationale Behind Chart Acquisition
Chart, with 65 manufacturing locations and over 50 service centers globally, generated $4.2 billion in revenue and $1 billion adjusted EBITDA in 2024. Baker Hughes aims to strengthen its lifecycle revenue mix and expand operating margins through this acquisition, meeting its return criteria, including double-digit ROIC.
The synergy of Baker Hughes’ core competencies in rotating equipment, flow control, and digital technology with Chart’s expertise in heat transfer, air and gas handling, and process technologies is expected to drive growth and margins.
Both companies’ boards of directors have approved the transaction, pending shareholder and regulatory approvals, with completion expected by mid-2026. Simonelli emphasized, “The acquisition positions Baker Hughes as a technology leader in lower-carbon energy solutions, delivering financial returns and enhancing our growth profile.”