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SLB announced the acquisition of ChampionX in an all-stock deal valued at $7.75 billion, reflecting ongoing consolidation in the North American energy sector.

  • Acquisition Goals: SLB’s acquisition of ChampionX aims to enhance its operations by incorporating production chemicals and artificial lift technologies into its portfolio.
  • Previous Acquisitions: The acquisition marks SLB’s second deal in a week and its largest since 2016, when it acquired Cameron International for $14.8 billion.
  • Financial Forecast: SLB anticipates annual pre-tax savings of approximately $400 million in the first three years post-closure, expected before the end of 2024.
  • ChampionX Shareholders: ChampionX shareholders will receive 0.735 shares of SLB common stock, or $40.59 per share, representing a 14.7% premium to ChampionX’s last closing price. ChampionX shareholders will own approximately 9% of SLB’s outstanding shares following the acquisition.

Analysts view the deal positively, noting its potential to expand SLB’s exposure to a less cyclical and growing base of production globally, aligning with its returns-focused, capital-light strategy.

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