Cactus enters agreement to acquire 65% controlling interest in Baker Hughes SPC

Cactus (WHD) announced that its subsidiary Cactus Companies has entered into a definitive agreement with certain subsidiaries of Baker Hughes Company (BKR) to acquire 65% and assume operational control of the Baker Hughes Surface Pressure Control Business, SPC. SPC designs, manufactures and services specialized surface pressure control solutions, primarily wellheads and production tree equipment, for international markets. Business Highlights: Acquisition establishes Cactus’ position as a premier, capital-light and geographically diversified oilfield equipment manufacturer; Transforms Cactus’ geographic footprint, with ~85% of SPC revenues generated in the Middle East and no material U.S. external sales, providing for a more diverse and stable consolidated Cactus Pressure Control revenue profile through market cycles ; Greater revenue, earnings and cash flow visibility from the acquisition resulting from SPC’s $600+ million product and aftermarket service backlog as of December 31, 2024; Highly accretive to financial metrics while maintaining a conservative balance sheet; A Joint Venture will be formed to hold SPC, and Baker Hughes will retain 35% ownership in the Joint Venture post-closing