SLB Completes Acquisition of ChampionX, Strengthens Portfolio and Extends Asset Life

SLB has completed its acquisition of ChampionX Corporation, exchanging 0.735 SLB shares for each ChampionX share. The deal strengthens SLB's portfolio and extends asset life, enabling the integration of production chemicals, artificial lift, digital, and emissions reduction technologies. CEO Olivier Le Peuch noted that the acquisition aligns with the company's yield-focused growth strategy, with expected annual pre-tax synergies of $400m within three years and a goal to return $4bn to shareholders by 2025.

Schlumberger Limited (NYSE: SLB) has successfully completed its acquisition of ChampionX Corporation, exchanging 0.735 SLB shares for each ChampionX share. The transaction, announced on July 15, 2025, further enhances Schlumberger's portfolio by integrating ChampionX's production chemicals, artificial lift, digital, and emissions reduction technologies. The deal aligns with Schlumberger's yield-focused growth strategy and is expected to generate significant benefits for the company and its shareholders.

The acquisition, which was first disclosed on April 2, 2024, marks a strategic move for Schlumberger to expand its presence in the less cyclical and growing market for production and recovery. By combining ChampionX's leading production-focused solutions and customer relationships with Schlumberger's strong international presence and history of innovation, the two companies aim to drive significant value for customers and stakeholders globally.

According to Schlumberger's CEO, Olivier Le Peuch, the acquisition comes at a pivotal time in the industry as customers increasingly prioritize advancements in production to maximize recovery of oil and gas. The integration of ChampionX's technologies will extend asset life and optimize production, helping to reduce the total cost of ownership for Schlumberger's customers.

Schlumberger expects to realize annual pretax synergies of approximately $400 million within the first three years post-closing through revenue growth and cost savings. Additionally, the company aims to return $4 billion to shareholders by 2025, underscoring the financial benefits of the acquisition.

Analysts have responded positively to the acquisition. ATB Capital Markets has upgraded Schlumberger's rating from Sector Perform to Outperform, citing the expected benefits from the ChampionX merger. UBS has maintained its Buy rating on Schlumberger, emphasizing the potential of the company's digital business as a major growth driver. Jefferies has slightly lowered its price target for Schlumberger to $53 from $54 while maintaining a Buy rating, expecting the company's second-quarter EBITDA to be around $2.02 billion.

Schlumberger's acquisition of ChampionX is a significant step forward in its strategic initiatives to drive growth and innovation in the energy sector. The integration of ChampionX's technologies will strengthen Schlumberger's leadership in the production and recovery space, positioning the company for continued success in a dynamic and evolving market.

References:
[1] https://ca.investing.com/news/sec-filings/schlumberger-receives-uk-approval-for-championx-merger-plans-closing-wednesday-93CH-4102464
[2] https://www.marketscreener.com/quote/stock/SCHLUMBERGER-LIMITED-14411/news/SLB-Completes-Acquisition-of-ChampionX-50524797/