8-KMaterial AgreementsFinancial EventsOther Events+1

Baker Hughes Co 8-K Report, Material Agreement (Mar 11, 2026)

Filed March 11, 2026For Securities:BKR

Summary

Baker Hughes Company (BHC) has filed an 8-K detailing a significant debt offering, raising a total of €3.0 billion and $6.0 billion through the issuance of senior notes across multiple maturity dates and interest rates. These notes were issued by its subsidiaries, Baker Hughes Holdings LLC and Baker Hughes Co-Obligor, Inc., and are fully and unconditionally guaranteed by BHC. The primary purpose of this substantial financing is to fund a portion of the cash consideration for the pending acquisition of Chart Industries, Inc. (Chart), along with associated transaction fees and the repayment of Chart's outstanding indebtedness. This move indicates a strategic step towards completing a major acquisition, which will likely reshape the company's capital structure and operational landscape.

Key Highlights

  • 1Baker Hughes successfully closed a dual-currency offering of senior notes, raising €3.0 billion and $6.0 billion.
  • 2The proceeds are earmarked to fund the cash portion of the pending acquisition of Chart Industries, Inc.
  • 3The debt issuance includes notes with maturities ranging from 2029 to 2056, with interest rates varying by maturity and currency.
  • 4The senior notes are fully and unconditionally guaranteed by the parent company, Baker Hughes Company (BHC).
  • 5This offering represents a significant capital raise to support a major strategic acquisition.
  • 6Baker Hughes terminated approximately $11.0 billion in commitments under a prior bridge facility related to the Chart acquisition, indicating a shift in financing strategy.

Frequently Asked Questions

The primary purpose of the new debt issuance is to fund a portion of the cash consideration for Baker Hughes' pending acquisition of Chart Industries, Inc., as well as to cover related transaction fees and expenses, and to repay Chart's outstanding indebtedness.

Baker Hughes raised a total of €3.0 billion (comprising €600 million due 2030, €900 million due 2034, €750 million due 2038, and €750 million due 2046) and $6.0 billion (comprising $500 million due 2029, $1.25 billion due 2031, $750 million due 2033, $2 billion due 2036, and $2 billion due 2056) through the issuance of senior notes.

The full and unconditional guarantee from Baker Hughes Company (BHC) means that the parent company is legally obligated to ensure the timely payment of principal and interest on these notes. This provides an additional layer of security for the noteholders and reflects the strategic importance of this financing at the corporate level.

Yes, effective March 11, 2025, Baker Hughes terminated approximately $11.0 billion in commitments under a previously disclosed bridge facility for the Chart acquisition. This suggests a strategic decision to utilize the proceeds from the senior notes offering and potentially other sources for the acquisition funding, rather than relying solely on the bridge facility.