Chart, Flowserve Merge in $19B All-Stock Deal

Chart Industries and Flowserve have agreed to merge in an all-stock transaction valued at approximately $19 billion, including debt. Chart shareholders will receive 3.165 Flowserve shares for each Chart share and will own about 53.5% of the new company, with Flowserve shareholders owning the remaining 46.5%. The combined entity will assume a new name and brand after the deal closes, which is expected in the fourth quarter, pending shareholder and regulatory approvals. The merger is anticipated to generate significant cost savings, create a differentiated leader in industrial-process technology, and is based on a roughly 10x EV/EBITDA multiple. Both companies' shares slipped in premarket trading following the announcement, reflecting initial market skepticism. The deal aims to drive operational synergies and expand aftermarket opportunities.