Baker Hughes Plans $540M Acquisition of Continental Disc
Baker Hughes Plans $540M Acquisition of Continental Disc

Baker Hughes Plans $540M Acquisition of Continental Disc

News summary

Baker Hughes has agreed to acquire Continental Disc Corporation (CDC) in an all-cash deal valued at approximately $540 million, expected to close in the fourth quarter of 2025 pending regulatory approval. CDC, based in Liberty, Missouri, specializes in safety-critical pressure management products such as rupture discs and pressure-relief valves, serving industries including pharmaceuticals, chemicals, oil and gas, and aerospace. Around 80% of CDC's projected $109 million revenue in 2024 is recurring, enhancing profitability and providing a steady revenue stream. This acquisition complements Baker Hughes' Industrial & Energy Technology segment, expanding its product portfolio and is anticipated to be immediately accretive to earnings and cash flow per share. The transaction aligns with Baker Hughes' strategic focus on portfolio optimization to drive sustainable earnings and cash flow growth through targeted acquisitions and divestitures. Company leadership expressed confidence that CDC’s established market presence and complementary product lines will enhance Baker Hughes’ global reach and growth opportunities.

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