Chart Industries Terminates Flowserve Merger, Accepts Baker Hughes $13.6B Offer

Chart Industries terminated its $19 billion merger agreement with Flowserve Corporation in favor of a new $13.6 billion all-cash acquisition offer from Baker Hughes, which Chart's board deemed a "Superior Chart Proposal." Despite the lower valuation compared to the Flowserve deal, the Baker Hughes offer values Chart's equity at a 22% premium to its market capitalization, leading to a 16.5% rise in Chart's stock price following the announcement. Flowserve will receive a $266 million termination fee and emphasized its commitment to a standalone growth strategy focused on diversification, decarbonization, and digitization. Chart's decision reflects proactive governance and strategic repositioning to enhance shareholder value and expand its technological capabilities within the energy and industrial gas sectors. The transaction is subject to regulatory and shareholder approvals, with potential risks including operational disruptions and integration challenges. Both companies retain strong financial momentum, with Chart supported by extensive manufacturing and service networks and Baker Hughes highlighting the acquisition as a milestone for growth and earnings accretion.