Baker Hughes Secures $2.6 Billion Loan for Chart Industries Acquisition

Baker Hughes has secured a $2.6 billion loan from Goldman Sachs to finance the acquisition of Chart Industries. The loan is contingent upon the completion of the acquisition and has various covenants and conditions with a maturity date of two years from the funding date. The company's stock has a Buy rating with a $43.00 price target.

Baker Hughes Company (BKR) has secured a significant financial boost with the announcement of a $2.6 billion term loan credit agreement with Goldman Sachs Bank USA. This loan is designed to finance the acquisition of Chart Industries, Inc., contingent upon the completion of the deal. The agreement includes various covenants and conditions, with loans maturing two years from the funding date [1].

The acquisition of Chart Industries, a leading provider of pressure vessels and systems, is expected to enhance Baker Hughes' offerings in the energy technology sector. The company has been focusing on improving energy efficiency and sustainability across the oil and gas industry [1].

Analysts have shown a positive outlook for Baker Hughes stock, with a recent analyst rating of a Buy with a $43.00 price target. Spark, TipRanks' AI Analyst, rates BKR as an Outperform, citing strong financial performance and strategic earnings call insights, which highlight significant growth potential [1].

Institutional investors have also shown increased interest in Baker Hughes, with Tocqueville Asset Management L.P. boosting its stake by 24.1% in the first quarter of 2025, bringing its holdings to 108,458 shares valued at approximately $4.77 million [2]. Several other large investors, such as Rockefeller Capital Management L.P., Townsquare Capital LLC, XTX Topco Ltd., Jump Financial LLC, and United Capital Financial Advisors LLC, have also increased their holdings in Baker Hughes [2].

Baker Hughes' stock has been trading at a market capitalization of $42.2 billion, with a price-to-earnings ratio of 13.99 and a price-to-earnings-growth ratio of 1.95. The stock's fifty-two week low is $32.25, and its fifty-two week high is $49.40. The company reported earnings per share of $0.63 for the latest quarter, beating analysts' estimates by $0.08 [2].

In summary, Baker Hughes' acquisition of Chart Industries, backed by a substantial loan from Goldman Sachs, signals a strategic move to expand its service portfolio and enhance its market position. The positive analyst ratings and increased institutional investment further underscore the company's potential for growth and value.

References:
[1] https://www.tipranks.com/news/company-announcements/baker-hughes-secures-2-6-billion-loan-for-acquisition
[2] https://www.marketbeat.com/instant-alerts/filing-tocqueville-asset-management-lp-increases-stock-holdings-in-baker-hughes-company-nasdaqbkr-2025-08-17/