Global oil filed services giants Halliburton and Baker Hughes have agreed, along with the US Department of Justice, to extend the current review period of Halliburton’s proposed US$35 billion acquisition of Baker Hughes.
The US Department of Justice requires the proposed merger to go through an ‘antitrust’ review. It’s currently uncertain if the DoJ will give the merger the go a head, having already turned down the US$ 45 billion mega-merger of Comcast Corp – Time Warner Cable Inc this year.
Both Halliburton and Baker Hughes proposed that the review period should now be extended to the 25th November of this year or 90 days after Halliburton and Baker Hughes achieve “substantial compliance” with the department’s second request.
As part of the push to get the merger through the DoJ review, Halliburton have proposed to divest any of their businesses that generate revenue up to US$ 7.5 billion. This puts the number of business Halliburton has to sell up from the pervious proposal.
The deal, if accepted by the US DoJ, is anticipated to go through by 1st December, and will make Halliburton Baker Hughes the largest oil field services company in the world, overtaking the current holder Schlumberger.
Last updated on 08:52PM - 23/07/15