https://business.financialpost.com/pmn/business-pmn/baker-hughes-to-sell-rod-lift-business-to-private-equity-group
4 replies (most recent on top)
First of all, KPS only spent $200M and although the rusty pumpjack division is definitely the dog of the group, they did get downhole pumps and automation (and more) which have both been quite profitable; and the pumpjack division is being turned around. Plus, KPS negotiated to not take any of the huge debt that Lufkin had, and had Baker pay for all the layoff packages. Pretty smart business move actually.
Let’s spend a billion to buy some rusty pump jacks. What a dumb a@@.
Here here!
Wow, didn't see this one coming! LOL
Overall, good move for BHC and Lufkin. Lufkin was an iconic brand in the oilpatch until they were plundered by GE. Hopefully now they'll get a reset and a fresh start. Good luck to their employees. As for BHC, we need to double-down on what services and products we do well, and jettison the rest. No more screwing around.