Flowserve terminates merger with Chart Industries, to receive $266M

Flowserve (FLS) announced it has terminated its previously announced merger agreement to combine with Chart Industries (GTLS). The termination follows the Flowserve board’s decision not to submit a revised offer to merge with Chart, after being notified that Chart’s board had determined that a recent unsolicited acquisition proposal from Baker Hughes (BKR) constituted a “superior proposal,” the company said in a statement. Flowserve will receive a $266M termination payment. “The decision not to pursue a revised offer for Chart demonstrates our commitment to financial discipline, as well as our confidence in the growth prospects of our standalone business. Our results reflect the successful execution of our 3D growth strategy-Diversify, Decarbonize, and Digitize-while the Flowserve Business System continues to enhance productivity, expand margins, accelerate decision-making, and unlock long-term value,” said Flowserve CEO Scott Rowe.